New Product Development PDF

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KATARINA DANIJELA YELAVICH 19283164

NEW PRODUCT DEVELOPMENT The Next Generation SmartCup by frank green is a unique product which has not been offered on the market prior to its development and introduction. This product is centred to customers as a way of maintaining both individual and environmental health while maintain aesthetics and functionality. According to CanStar Blue (2020), the SmartCup was part of the original range of reusable cups offered by frank green. It is part of the Next Generations collection in which features such as vacuum insulation, thermal double-wall and an inbuilt chip which provides payWave payments up to $50. To begin the new-product development process idea generation must be fulfilled to see what new product can be offered on the market that will see a large customer base and flourishing profits. Benjamin Young who is the entrepreneur and founder of frank green is both a coffee enthusiast and environmental advocate ( frank green 2020), by fusing his two strongest passions into a product he was able to provide a quite unique product to the market grabbing the attention of many globally. Because this product and its concepts had not been introduced to the market already, its introduction saw the excitement of many individuals all around Australia and eventually globally. Young’s research and development of the product was based on his belief that people’s behaviours and attitudes towards the environment were first priority before waste is created, and then recycling as a last resort. According to frank green (2020), the cup has been designed to be reused many times over saving coffee cups and the environment and can be efficiently recycled when discarded. Maintaining a healthy attitude and behaviour towards the environment reflects Rebel Sport’s core passion of providing its customers with products to maintain a healthy lifestyle as by using the SmartCup not only is the environment healthy but an individual as well. To intrigue more customers into buying the SmartCup, frank green offers many aesthetic customisations to the cup which best suits an individual’s needs. This included monograming, colour selection, size preference and loading a credit card for payments (frank green 2020). By acquiring this product Rebel Sport will greatly contribute to its customers healthy lifestyles as well as providing an incomparable product to the market. The frank green Next Generation SmartCup has successfully been introduced into the market and is flourishing in the growth stage as profits have rapidly increased and a customer base has been established. Product is at a growth stage as sales in country of origin (Australia) have soared thus the company has expanded globally, and in which currently distributes to 36 countries e.g. Australia, Asia, USA and the UK. Rising profits are undeniable and are reflected in company’s obvious expansion globally. There is enough profits, marketing and risk to be able to expand internationally, this proven possible by a thriving customer base. Another factor as to why profits have increased is because manufacturing costs have been lowered due to the rapid increase in SmartCup orders, that is the higher the product volume the lower the production costs thus increased profit to put back into the company or retained as personal earnings. According to Armstrong (2017), products are supposed to compete with competitors in the growth stage in which the distribution and profit sales of a product increase. However, the SmartCup is a one of a kind product offered on the market and there is no direct competition. Sales are still continuously increasing though as because it is an uncommon product, customers are flocking to purchase this product. Frank green’s products are a part of the reusable and sustainable coffee cup market that exists globally today, however the design and the

KATARINA DANIJELA YELAVICH 19283164

NEW PRODUCT DEVELOPMENT function of the SmartCup has been introduced as a game changer in the market. CanStar Blue (2020) describes the product as ‘quite unique’ as it functions as a reusable coffee cup and a way to make payments, boasting up to 12 hours of thermal longevity as well as payments up to $50 via visa payWave Rebel Sports are driven to provide their customers with the best products offered in the market that suits a healthy lifestyle, offering an exceptional range or products and enthusiasm (Rebel Sport 2020). Acquiring the SmartCup product will greatly benefit the reputation of Rebel’s customer service as they can offer a product that can greatly aid an individual’s healthy lifestyle. This is achieved by individual’s using the sustainable and reusable cup and changing their behaviour when disposing of waste, by using the cup they do not create as much waste and when discarding of the product they recycle it and don’t harm the environment. Rebel Sport has to uphold its social responsibility when regulating acquired products to make sure that the product can potentially sell to a large customer base and that it reaches the company’s passion for providing their customers with products to maintain a healthy lifestyle. Therefore, it is clear by the evidence provided above that it is in Rebel Sport’s best interests for customer relations and business that they stock the SmartCup as it is incomparable on the current market. By establishing a healthy behaviour and looking after the environment, individuals will gain a healthier lifestyle knowing they are making a positive impact to society and can recycle it once ready to be discarded. The development of the SmartCup is an innovation greatly beneficial Rebel, frank green and the individual.

KATARINA DANIJELA YELAVICH 19283164

NEW PRODUCT DEVELOPMENT REFERENCES: Armstrong, G (2017) Principles of Marketing, 7th ed. Melbourne, Pearson Australia Frank Green, 2020, viewed 20th April Rebel Help Desk, 2020, viewed 21st April

Reusable Coffee Cup Comparison, 2020, viewed 22nd April,...