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POLYTECHNIC UNIVERSITY OF THE PHILIPPINES

College of Business Administration
Department of Marketing Management

In Partial Fulfillment of the Requirements for the

Degree of Bachelor of Science in Business Administration
Major in Marketing Management MARK 3123
Product Management

Submitted by:

Hernandez, Ellen Marie A.

BSBA-MM 4-1

Submitted to:

Prof. Angelina G. Goyenechea

Professor

S.Y 2019-2020
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TABLE OF CONTENTS

I. Introduction p. 01
II. Review of Marketing Environment p. 02
A. External Environment p. 03
B. Internal Environment p. 03
III. Product Planning and Development Concepts p. 04
A. Purpose of Product Planning and Development p. 04
B. The Role of Product Development
In the Marketing Cycle p. 05
C. The Product Life Cycle p. 08
D. Product-Policy Decisions p. 10
E. Product-Mix Decisions p. 11
F. Product Line Planning p. 12
IV. Categories of New Products p. 13
V. New Product Development Process p. 14
A. Generating New Product Ideas p. 15
B. Screening New Product Ideas p. 16
C. Business Analysis p. 16
D. Prototype Development p. 17
E. Market Test p. 17
F. Commercialization p. 17
G. Managing the New Product Process p. 18
VI. Designing Product Features p. 18
A. Factors Affecting Product Design p. 18
B. Identifying and Branding of Products p. 19
C. Package Design p. 19
VII. Product Planning and Development Issues and Updates p. 20
VIII. References p. 27
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I. INTRODUCTION

Product management is the business structure of a company that is responsible for

planning, developing and managing the activities of the company within the product’s
product life cycle. They are also responsible on how they will introduce a product to the
market. In product development, companies strive for new things without knowing what
they will be, how much will they cost and how the market will react to them but as they
move forward to this process, the new things that they generated will become lesser and
lesser by setting the criteria on how new products should be developed.

Products are in the market to satisfy the needs and wants of the target market. Needs
is the basic requirements for a person to live. They are the reason why consumers are
looking for a product. Wants is the consumer's specific needs. There are a lot of products
to choose from in the market, but there is a brand that you have your trust on. An
expectation is when a consumer set their wants in a product that they're looking for.

There are different types of products in the market. The consumer products are the
products and services that are purchased by the consumer for their consumption. Under
consumer products there are convenience products like foods, drinks, soaps and other
products for us to use. These products are usually positioned in the groceries and
convenience stores and are usually in lower prices. Shopping products are frequently
bought products or services by the consumers. They take effort and time on purchasing
shopping products, this usually compares on such attributes as sustainability, quality,
price and style. Specialty products have a high price that have a specific exclusive
distribution in its market area. These products have its unique characteristics and special
purchase effort. An unsought consumer product varies on its price. These are the products
that the consumers know exists but they aren’t considering it as a need.
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Industrial products are the type of products that are purchased by the wholesaler to
their businesses. Industrial product is divided into three groups; materials and parts
include the raw materials and services in creating new products or services of the
business. Some of raw materials are agricultural products like fruits and vegetables, and
natural products like fishes. There are also manufactured materials like component parts
and materials. Capital items are industrial products that help the buyer in manufacturing
or processing its products. This includes plants, buildings and accessory equipment.
Supplies and services products takes minimum effort in purchasing these that includes
maintenance in services and repairs of their products.
A product is anything that can be offered to the market to satisfy the desire or need of
a consumer. It can be a good, service, or idea consisting of a bundle of tangible and
intangible attributes that is available for consumer use. Organizations offer services that
could also be a product, people like celebrities and influencers can also be considered as a
product, places like resorts and amusement park gain profits by the services they’re
offering to the consumers and ideas are also considered as products because some of the
ideas turn into physical products.

II. REVIEW OF MARKETING ENVIRONMENT

There are several factors that can affect to the marketing activities of the business.
Some of those factors can be handled by the business easily, but there are some factors
that they can’t handle so the business has to adapt itself to avoid being affected by
changes in these factors. In marketing environment there are two sets of needs that must
be met in new product development which affect the company’s ability to build a
relationship and serve its customers. One is internal which looks at the company’s
objectives and resources, while the other is external which looks at the customer’s needs
and wants.
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A. EXTERNAL ENVIRONMENT

In satisfying the customer’s needs and wants, we have to identify opportunity

gaps, determine the target market, and provide products or services that satisfy changing
consumer preferences or those that set a trend. This is the pull portion of new product
development because new products are introduced by identifying and then satisfying
customer’s needs and wants. The external environment is divided into two components:
micro environment or the task environment is also specific to the business, it consists of
factors engaged in producing, distributing and promoting the offering. The macro
environment or the broad environment includes larger societal forces which affect society
as a whole. The broad environment includes larger societal forces which affect society as
a whole. The broad environment is made up of six components: demographic, economic,
physical, technological, political-legal, and socio-cultural environment.

B. INTERNAL ENVIRONMENT

The company’s needs deals with fulfilling the company’s vision and mission,
doing better performance than the competitors, ensuring availability of financial
resources, and accomplishing target financial performance such as return on investment,
return on equity and return on sales. This is the push portion of new product development
because new products are introduced to satisfy the company’s needs by identifying
relevant customer needs and wants. The internal environment is company specific and
includes owners, workers, machines, and materials.
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III. PRODUCT PLANNING AND DEVELOPMENT PROCESS

Product development is the creation of products or innovation of product in its

characteristics that will offer new and additional benefits to its consumers. New product
development program has three purposes, first is to effectively respond to changing
customer’s needs and wants, next is to effectively respond or preempt competitors and
threats fast and lastly is to effectively respond to the company’s expansion plan. There
are environmental analyses and assumptions for product development and those are
customer lifestyle, macro and micro environment, raw materials costs, availability and
limitations, competition, technology, social forces and our government.

A. PURPOSE OF PRODUCT PLANNING AND DEVELOPMENT

Product planning is simply creating a product based on a particular plan. It is not a

simple task which can be performed in just a day, it takes time which is important to take
into consideration many factors, such as target demographics, financial aspects of the
product preparation, deadline, and others. Product planning is an elaborate process which
requires a lot of attention of a person who has specific skills and mindset. It cannot be
perceived as a one-time activity as it has to be monitored throughout all the product’s
stages.

You're experiencing slow growth or no growth at all. If a company's sales are

declining then a company should look for solutions, if it isn't the economy or some
outside force beyond control. Your top customers are giving you less business, every
piece of business of your competitors is the business you're not getting. You find yourself
competing with companies you've never heard of, some of those companies have found
their way to come out to market with their new products. You're increasing pressure to
lower your prices, this happens whenever your company is mot gaining any profit and
decided to just lower the product. Some companies think that this is a smart move to do
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when having a problem like this, but it’s not. This pricing strategy will just worsen the
problem of your company. You're experiencing higher than normal turnover in your sales
force, this is a problem in selling your products. Business owners start to pressure their
sales force to get order levels up, morale drop because they think that there isn't much
that they can do. You're getting fewer and fewer inquiries from prospective consumers,
customers are asking for product changes you can't or don't want to make. It is not easy to
make changes suddenly just because someone said they didn't like something about your
product, they might hate it but others might love it. When it comes to changing
something in your product, you are releasing a large amount of money. And the last one,
competitors are leaving the market, this is a good opportunity for your product to increase
in sales but there will come a time that new competitors will enter the market. Product
development is a great move when the sales growth of the company has become stagnant
for a while, the way to increase your chances of coming up with successful good ideas is
to follow the process of product development.

B. THE ROLE OF PRODUCT DEVELOPMENT IN THE MARKETING

CYCLE

It is normal to encounter a problem in a newly released products and companies have

learned how to run new products to minimize those problems. Managers are personally
involved today in the product development. They want safe and useful products because
they sell better and they bring back the money that was used in producing the products,
launching products with defects will just ruin the brand that you established in the
market. Companies nowadays have set their standards high and have been training new
product employees. Before launching a product, firms have learned how the customers
will use their products and if there are problems, they have to make an action now so
there will be no difficulties in the launch of the product.
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Companies have to expect that the sales in the introduction stage are slow. Consumers
need time to think if they have to buy or not to buy your product because consumers
won’t buy a product with an unfamiliar brand. Market pioneer is an advantage, since
consumers are seeing the product only in your company and your company has already
made a name in the market. A company must know when to launch their product. But
known companies sometimes can’t have a success. Competitors are always around,
before they introduce their own product they study the market first and check for the
weaknesses from your product, there are times that competitors are most likely to launch
their product before the demand for the product came. And consumers will come to them
because they have the improved version of your product. Market pioneers uses a pricing
strategy called the competitive pricing strategy in which they tend to lower their prices to
gather again the consumer that they lost, and competitors will also do the same and
consumers don’t have to pay a premium price for a particular product. Competitors will
eventually leave the market and pioneers will remain with their improved product.

Sales rise much faster than the promotional expenses for consumers to be able to
familiarize with your brand and product. During this stage, companies must use strategies
to maintain and sustain the rapid market growth as long as possible. First is to improve
your product quality and adding new product features and improve styling, because
everyone wants a good product. Next is to add new models and flanker products,
consumers are now into choices and the more choices are the better. Entering new market
segments and increasing distribution coverage and entering new distribution channels,
target market should also be improved. And shifting from product awareness advertising
to product preference advertising and lowering prices to attract new consumers, low price
strategy is an effective way to gather consumers.

Products in the market are in the maturity stage of the life cycle because this is where
a product stays the longest. There are strategies to avoid getting stuck in this stage, one of
the strategies is market modification, where a company might try to expand the market
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for their brand by working on expanding the number of brand users. It can be converting
non-users, entering new market segments and winning competitors’ customers. Product
modification is the other strategy, this is where an improved product can gather
customers, it can be an improvement for the quality, for the feature or the style. Improved
product increases the product’s performance and improvements can win the loyalty of the
consumers. Marketing mix modification is where managers can try to increase sales by
modifying other marketing mix such as product, price, promotion and place. But because
it can easily be imitated, company may not gain as much as expected.

The company’s sales on most products eventually decline for so many reasons. The
strategy for this stage is the company have to reposition its product or maintain only the
strongest product and remove the weak product to maximize profit because some
companies at this stage are leaving the market and don’t have that much confidence to
take the risk. Increase and maintain the company’s investment to strengthen its position,
harvesting the company’s investment to recover sales as soon as possible and divesting
the business quickly by disposing of its assets.

There are several strategies on positioning your products. One of those strategies is to
position your product against a competitor, this will give impression to the competitor a
specific product superiority claim. Next is to position your product away from your
competitor, this strategy will help your company because the consumer’s attention is
focused on your product. Another strategy is to focus on a benefit your product is gives to
your consumer. Highlighting a specific attribute of your product can also be compelling.
A company should also try comparing their products to the other product in a different
category, it is an effective way to differentiate yourself in the market. You should also
consider the usage occasions of the product that you are offering, emphasize when and
how to use your product and the last strategy that is effective is to focus on the unique
characteristics of specific users.
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C. THE PRODUCT LIFE CYCLE

Entering the business is always in survival mode. A company has to adapt changes
for them to be able to survive, and just like humans, products also have its life cycle
because products have a limited life, product sales pass through distinct stages, each
posing different challenges, opportunities, and problems to the seller. Profits also rise and
fall at different stages of the product life cycle and products require different marketing,
financial, manufacturing, purchasing and human resource strategies in each stages in the
cycle.

There are four stages in the Product Life Cycle:

First is the introduction stage, is a period of slow sales growth as the product is
introduced in the market. There are not many profits in this stage because of the expenses
with the product introduction. Pioneer products are most likely to have an advantage but
that does not mean that they are going to be successful just because they are the first to
launch the product, some businesses start late but they become successful because they
are able to study the market, the weaknesses and the positioning. Some brands are already
known in the market, and there are also brand that are still establishing them, it is an
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unfamiliar brand so consumers are trying to figure out what product you are offering
them. The consumer buying decision at this point is slow, low profits are present and
prices are high because of the expenses the company had in promoting the new product.

The next stage is growth, this is the stage where your product is starting to get
accepted in the market and there are improvements in the profits that are entering in the
company. Since the consumers already know your brand and product and you already
made a trademark, there is no need for too much promotional expense. Profits are starting
to improve because the market is appreciating the products because of the benefits and
opportunities that a certain product gave them.

After building a strong name in the market, sales growth is starting to slow down
again because the product has achieved acceptance by the potential buyers. Profits may
be stable and it may also decline because of competition. In all of the stages, product
stays in this stage the longest.

The last stage in the product life cycle is the decline stage. As the graph shows above,
this is the start where your sales started to drift down. This happens in this stage because
of several factors, it can be a change in technology, change in preferences and taste of the
consumers and increased in competition. Because of the decline stage, profits erode and
companies are starting to leave the market and the other companies who have just started
are reducing their production.

Marketers must consider what stage of the product life cycle the product is in in
developing new products and in anticipating future market development. Product life
cycle shows the process where both the consumer and the suppliers change their behavior
while interacting in the market.
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D. PRODUCT POLICY DECISIONS

Product policy is concerned with defining the type, volume and timing of products the
company offers for sale. These are the rules that is set by the management in making
product decisions. Good product policies are the basis on which the right products are
produced and marketed successfully. One of the important elements of the marketing mix
is the product.

There are four types of product policy decisions, first is the individual product
decision. It is consist of product attribute, it is consists of the quality, feature, style and
design of the product. The quality of the product ensures that the product is good. The
style and design of the product helps get the attention of the customers towards the
product. Product branding is a must in a product, this will help consumers to differentiate
your products from the other products in the market. Product packaging is the outer cover
that protects the product. Product labeling gives the consumer information about the
product and product support services are the services which are provided to the customer
after selling the product to the customer. Next is the product line decision is a group of
product that are closely relate to each other, product mix decision is the total products
produced and sold by the company. This is consists of product mix width, product mix
length, product depth and product consistency. And last is the product positioning
decision, it is the way by which marketer communicate the information of the product to
the buyer and is done on the bases of price, size or usage of the product.
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E. PRODUCT MIX DECISIONS

Product mix is the set of all product lines and items that a particular seller offers
for sale. An organization with several product lines has a product mix. A company’s
product mix has four important dimensions: width, length, depth and consistency.

Product mix width refers to the number of different product lines the company
carries. Product mix length refers to the total number of items a company carries within
its product lines.

Product mix depth refers to the number of versions offered for each product in the
line. The consistency of the product mix refers to how closely related the various product
lines are in end use, production requirements, distribution channels, or some other ways.
These product mix dimensions provide the handles for defining the company’s product
strategy. The company can increase business in four ways, it can add new product lines,
widening the product mix, and the new lines build on the company’s reputation in its
other lines.

The company can lengthen its existing product line to become more full line
company. It can add more versions of each product then deepen its product mix and the
company can pursue more product line consistency or less depending on whether it wants
to have a strong reputation to a single field or to several fields. The face of recent
economic difficulties companies have streamlined their product mixes to pare out
marginally performing lines and models and sharpen their value propositions. Other
companies have been making their product mixes by adding more affordable options.
Because of the economy, consumers are talking about reassessing their favorite brands if
they think they can get a better value with the same price. As consumers rethink their
brand preferences and priorities, marketers must do the same. They need to align their
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product mixes with changing customer needs and profitably create better value for
customers.

F. PRODUCT LINE PLANNING

Product line is a group of product that are closely related to each other because
they function in a similar manner. These products are sold to the same customer groups
and marketed through the same type of outlets, or fall within a given price range.
Companies may develop one product line or may diversify to appeal to the masses.
Product line strategies help the company to decide and determine which product and what
kind of product to produce and how they should be launched in the market. Companies
offer the same product but they differ in prices. The quality of the product that they use is
the basis for the level of the price of a product. Companies will market their product to
their specific target market at different age range.

Product line planning involves a research technique that determines the set of
product combinations like colors, flavors, scents, sizes and the likes that will minimize
marketing risks and maximize the difference between items to avoid similarity. This
process provides a company with answer before they work on product development.

There are two different product line decisions, first is the product line length, this is
the number of items in a product line. The product line length is influenced by the
objectives of the company and its resources. And the other one is expanding the product
line. There are two was in expanding the product line of a company, first is line filling
which means to add more items within a range of line and line stretching which means
that a company adds a new product by stretching the product line upward, downward or
both ways.
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IV. CATEGORIES OF NEW PRODUCTS

Managers are usually not required to have technical know how. This means that it
is possible to get away without knowing the details of what the employees do. But what
about certain important terms given to products? In marketing, they do exist and it would
be embarrassing for the manager to not know about them. This is true especially if the
company makes products. They have six categories which are very important to
understand because they are related to the success of the business. Below we go through
the explanation of each.

There are six categories of new products which are very important to understand
because they are related to the success of the business.

First is the new to the world products, these products are the products that are never
been seen before. These products have to have manuals in them for a consumer to be able
to use them properly or by showing a demonstration on how to use the particular product.
Successful products will become popular and popular products can boost the reputation
of the company. While these products are still not coming out on the market, a company
should be very careful and make sure that they protect their designs from being stolen by
your potential competitors.

Next is the new to the firm products, these products can be a product that your
company has never made but it is already in the market because other companies are
producing it. This means that the market already knows how to use a particular product.
The product that you will include in your firm must fit the image of what the company
produces.
Next category is called the addition to the existing product line, these are the
products that will complement their other existing products. This category can bring good
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profits but people would rather choose the cheaper ones and just focus on the main
product that your company is offering.

Improved and revised products are the current products that is made better for re-
release. This happens when a company listens to the feedback of their consumers to come
up with this solution. This new product strategy will help save the company's reputation.
This can be a product's change in formula or sometimes packaging.
Repositioning the product helps companies to make surethat their profit is flowing.
This makes a product to have new users and new target markets because the purpose of
repositioning a product is retargeted for new use or new application.
New products are released to replace existing products that are already in the market.
To reduce the cost of the product, there is going to be a change in materials that will be
used in the product and outsourcing the job to developing countries. Reduction in cost of
the products is to provide customers a new product that has the same performance of the
current products but the difference is that the new product is offered at a lower cost.

V. NEW PRODUCT DEVELOPMENT PROCESS

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New product development can be a development of an original product, product

modifications, improving a product that is already existing in the market and new brands
through a company's own product development efforts. A firm can obtain new products
in two ways, first is through acquisition, this is where a company is buying a whole
company, patent or license for them to be able to produce someone else's product and the
other one is through the firm's own new product development efforts. New product
development is important to both consumers and marketers. New products will bring new
solution and varieties to the lives of the consumers. And for the firm to be able to
continue growing, they have to come up with a new product. Developing a new product
can be very expensive and risky and you also have to consider everything so for a
company to be able to not to fail their launch on the new product, an idea has to be good,
estimate the market correctly, product design should be good to be able to be attractive to
customers, it should be positioned correctly, and it should launch at the right time, right
price and right advertisement.

A. GENERATING NEW PRODUCT IDEAS

In developing new product, the process starts with generating new product ideas. A
company is generating thousands of idea just to find a few good ones. There are many
sources to help generate ideas and one of those is the internal source. A company can find
new ideas through their formal research and development and they can encourage
employees to envision and develop new product ideas.

External source can also help generate new product ideas, such as the customers
wherein the company analyzes customers' questions and complaints to find a new idea
that will solve their problems, competitors are always there and they will always have a
way have clues about other companies, a company can also buy the competitor's product
for them to be able to know how they work, analyze sales and decide whether they should
bring out new product of their own. Distributors are the people who are close to the
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market, they can tell a company about consumer problems and new product possibilities
and suppliers can tell information about new concepts, materials and techniques that can
be used to develop new products. But the most important source to generate ideas is the
customers.

B. SCREENING NEW PRODUCT IDEAS

After generating new product ideas where there are a large number of ideas,
screening new product ideas is the next step. This step is intended to lessen the ideas
generated. In here, the company will select a few ideas that they think will have a
potential in the market and they will eliminate the poor ideas. A large amount of money
is allotted in the business for a new product. They will write the idea describing the
product or service, the proposed customer value proposition, target market, and the
competition. It is not easy to make estimates on the market size, product price,
development time and costs, manufacturing costs and the rate of return. An idea is not
being eliminated just because they don't want a certain idea, this idea is going through a
product criteria wherein it says all the quality and functions a product must have and also
to meet the objectives of the company.

C. BUSINESS ANALYSIS

The business analysis stage is like the continuation of the idea screening stage,
this is where they perfect the product idea even more before moving on to the
development of an actual prototype. Business analysis involves a review of sales, costs,
and profit projections for a product to find out whether of they meet the company's
objectives.
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D. PROTOTYPE DEVELOPMENT

If the product concept passes the business analysis step, it goes into prototype
development. His is where they develop a product idea into a physical product. This step
helps the company to know if the product idea can be turned into a workable product.
Developing successful products can take years depending on the product and the
prototype method. Before testing it to the real market environment, the products undergo
several tests to make sure that they perform safely and effectively or of the consumers
will find value in them.

E. MARKET TEST

To start testing the product in the real market environment, the product has to pass
the prototype development. This will ensure that the product is ready to be introduced in
the market and to make sure if the product is working together and in the way that they
assume. This step is important because it makes the decision makers in the firm to
objectively allocate resources and for them to prove that the product can make its way in
and has the potential in the realistic market.

F. COMMERCIALIZATION

Test marketing lets you know if your product is ready to be introduced in the market
and distribute it. Introducing new product in the market will face high cost. Introduction
timing matters the most, it depends on what kind of product you are going to launch. The
company must also decide on where to introduce their product, if it is in a single location,
regional or in the national market or international market.
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G. MANAGING THE NEW PRODUCT PROCESS

The new product development process highlights the important activities needed
to find, develop and introduce new products. New product development involves more
than just going through a set of steps. Companies must make a move in managing this
process. Successful new product development requires a customer-centered products,
team-based and system effort.

VI. DESIGNING PRODUCT FEATURES

A. FACTORS AFFECTING PRODUCT DESIGN

Product design is a process of multiple aspects of designing a product with its

research and development. Product design includes form design which is the shape and
appearance of the product and this is less important because it does nothing to the
product's performance but a product must have this because a product won't sell if it's not
attractive enough for consumers to buy, and functional design is how the product works,
it is considered successful if the product works as i is expected to work.

Product design includes package designing too. We all know that a good looking
package lures in customers to try the product, if a product's packaging is not attractive
enough, that will just make the consumer to turn you product down.

Product design has to give respect to the requirements of customers. A company has
to make sure that the design of the product is made for the convenience of the
consumersand has to be in a way that can be used in all conditions. The design of the
product doesn't have to be complicated, because this might cause the slowdown of
producing products and this might bring inconvenience to the operator so the design and
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facilities should be comfortable to handle. The product also has to function for which it is
made.
Its appearance and service should be able to work properly to satisfy them. Designs
should be cost effective, have better designs and the one that attracts a consumer. The
quality of the product is what matters the most, the design and the quality should go hand
in hand and to have the best quality product, a company should use quality materials to
make the desired product. Packaging is as important as the design of the product,
attractive packaging makes an increase in sales.

B. IDENTIFYING AND BRANDING OF PRODUCTS

Branding is the process of giving a meaning to a company, product or services. It

is a marketing strategy for the consumers to be able to quickly identify a certain brand's
products from its competitors and to let them know the reason why they have to choose
your brand over the other companies. A brand name can be a name, term, design, symbol
or any other features that distinguishes a company from the other competitor.
The objective of branding is to attract loyal consumers and to build relationship with
them by making them trust your brand. A brand helps a consumer decide whenever
they're feeling indecisive about the same product from different companies. Besides
helping the consumer distinguish your products from another brand, successful branding
strategy is also adding to the company's reputation that will help employees and
shareholders.

C. PACKAGE DESIGN

Packaging involves designing and producing the container or wrapper for a

product. The primary function of the package was to hold and protect the product.
Numerous factors have made packaging an important marketing tool as well. Increased
competition and clutter on retail store shelves means that packages must now perform
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many sales tasks from attracting attention to describing the product. Companies are
realizing the power of good packaging to create immediate consumer recognition of a
brand. Poorly designed packages can cause headaches for consumers and lost sales for
the company. The packaging that are hard to open, sticky labels, with finger splitting wire
twist ties and sealed plastic clamshell containers. Innovative packaging can give a
company an advantage over competition and boost sales. Sometimes even seemingly
small packaging improvements can make boost sales. Product safety has also become a
major packaging concern. We all have learned to deal with hard to open childproof
packaging. Packaging design is the silent salesman that will grab busy consumers’
attention in-store. It informs consumers about the product’s properties and visually
differentiates the brand from the competition on-shelf.

VII. PRODUCT PLANNING AND DEVELOPMENT ISSUES AND UPDATES

Managers of new products are facing problems and issues as they attempt to deal
with social and legal pressures. According to a report, 7 out of Filipino consumers are
buying a new product in their last grocery shopping. Filipinos are one of those consumers
who try new products and shows strong affinity for brands with fresh product
development. Existing brands provides assurance of quality and lends credibility to its
effectiveness. Product line extensions create confidence in a new product's ability to
deliver against promises. But that's not how it goes with the products that are launched
without the advantage of having a strong brand name, products like this needs extra care
to provide a strong promise which underscores that the product provides good value for
money.

Influencers have the most impact on consumers nowadays. Some consumers consider
influencers' product review as their preferences before buying or trying out a product that
is new in the market. Especially influencers that are already known and have made their
name in the market.
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U.S. produces make up products in the world and they are number one in it. Ever
since make up became a trend, many brands have been entering the market and began
selling make up products.

One of those brands is the Kylie Cosmetics that is owned by a famous celebrity in the
U.S. from a well known family, Kylie Jenner. She decided to come up with this kind of
business because she has insecurities in her that only make up can cover up other than
surgeries and shared her products to the people that has the same experiences as hers.
Other than her makeup line, last May of this year, she launched her Kylie Skin. This
product line is consists of skin care products that she applies on her face. She revealed
this line on the internet saying that she perfected the formula of each of her products.
After posting the description and ingredients of every product, she sent pr packages to
known influencers to try and review her products. Before her launch, the walnut scrub,
one of her products, is criticized by a influencer saying that her skin had bleeding because
of the walnuts that is in the scrub. And another influencer said that she's not going to buy
her products because for her those were like the normal products that were already in the
market. Despite these controversies, Kylie Jenner still decided to launch her skin care line
and it was sold out the day it was launched. After all, consumers won't care whether a
product works or not, as long as it's from a known brand they will still buy it.

Another influencer named Jaclyn Hill made collaboration with Mac Cosmetics and
they've been working for years. Their first collaboration was an eye shadow palette and it
was a success, next is the makeup synthetic brushes that were designed perfectly to apply
makeup on the skin. Their third collaboration, it is called The Vault, this too is a
collection of eye shadow palettes that was divided to their corresponding colors. There
was no problem during the launch but when consumers started receiving their products
that was ordered online and shipped to them, there are palettes that are broken and there
are shades that are pressed too much so the pigment of the eye shadow is not applying on
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the skin. Jaclyn decided on a solution to reproduce the collection again and gave a full
refund on her customers who received a failed product. After this issue, she decided to
have a break on collaborations with brands and made a brand of her own.

This June, Jaclyn Hill launched her own make up line called Jaclyn Cosmetics. It is
consist of eighteen shades of bullet lipsticks on her signature silver color. This is one of
the most awaited brands in the makeup industry because she has been saying that she will
be having her very own brand and it finally happened. And again, her lipsticks are having
issues and she addressed it again with a solution. She is giving full refund of the lipstick
and they will be giving the customer a new one that has no damage or anything in it. She
has been trusted by her fans so the problem with her lipsticks stopped when she told them
about her solution.

Milk tea is a beverage found in many cultures, it is the combination of tea and milk
and now it has several flavors wherein you can add tapioca pearls and other ingredients.
And because of these flavors, milk tea has become a trend here in the Philippines.

Last October 2017, Jollibee, one of the Philippines top fast food brand launched two
products that will bring and offer you the joy and sweetness of strawberry, the Strawberry
Tea Float and Strawberry Fries.
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They introduced a drink that is unlike the beverage in the fast food, Strawberry Tea
Float is a strawberry tea based that emphasizes the sweetness and tangy flavor of a
freshly squeezed strawberry topped with their usual creamy vanilla soft-serve ice cream.
And this is complimented with the Strawberry fries, crispy fries coated in strawberry
flavored powder, this is in line with their flavored fries, they first introduced the cheese
flavored fries, barbecue flavored fries and sour cream flavor. These products are good for
strawberry and non-strawberry lovers.

McDonald's also joined the milk tea madness and introduced new beverages last
month of this year, it is the new Milk Tea McFloat.

This drink comes in two flavors, classic and wintermelon topped with their signature
vanilla soft-served ice cream. This launch created uproar all over social media in the
Philippines. Netizens who bought their Milk Tea McFloat were saying that their milk tea
wasn't good enough and packed powdered milk tea is much better. One particular post
have spread and it says there that the milk tea tastes like a doorknob in which the others
didn't approve of.
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KFC chose not to join the milk tea craze and decided to introduce a Mexican-
American fusion food last May, their reinvention of a usual taco but KFC style, the
Chaco.

The Chaco or Chicken Taco has a chicken shell, this is their alternative for the usual
taco shell, with salsa, lettuce, mayonnaise, corn and grated cheese.

Last February, Apple innovated their accessories and turned it into wireless. They
launched AirPods with wireless charging case.
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Apple's AirPods is a wireless headphone, and they're ready to use with their other
Apple products like iPhone, Apple Watch, iPad or iMac. It is a simple one-tap setup, it is
automatically on and always connected to the Apple device. It can detect of it is in your
ears and it automatically pauses once it detects that it is not in your ears anymore. With
the help of the Apple's Artificial Intelligence called "Siri", you can adjust volume, change
the song, make a call, or even get directions.

Samsung also launched a wireless earbuds called Gear IconX but this is much more
developed than the AirPods. Gear IconXearbuds works even of you leave your phone at
home.

This works as standalone media players when you upload music from your phone and
if you need your phone, this ear buds is connected via bluetooth and with a single tap you
can play or pause track, double tap will make it answer calls or play the next track, triple
tap is for playing the previous track, tap and hold will reject calls and hear the menu
readout, double tap and hold will play the next playlist and swipe up or down to raise or
lower the volume. This is available in three different sizes that will fit every ear.
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Avon's Mega Effects Mascara was launched last 2013 and made a commotion
because of its unique appearance as a mascara.

This mascara transforms your lashes, this is clump proof, sweat proof, non-flacking
and non-smudging. The brush fits the natural shape of lashes and the ergonomic brush
bends for comfort and control. And the handle is also bendable to distribute the product
even more. Despite its unique appearance, it works and it applies more good than the
usual mascara.

Some of the new products are successfully accepted in the market and there are some
products that failed. But human wants are unpredictable, there will always be new
products that will be introduced in the market.
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VIII. REFERENCES

 Strategic marketing management, LuizMoutinho, Philippine Edition 2013

 New Products Management 10th Edition, Merle Crawford, et.al. 2010

 Principles of Marketing Management, 14th edition, 2013, Philip Kotler

 Fundamentals of Marketing, 2015, Josiah Go

 Product Development 2nd Edition, 2014, Anil Mital, et.al.

https://www.rappler.com

https://www.apple.com

https://www.samsung.com

https://orangemagazine.ph

https://ph.phonebooky.com

https://www.beautybulletin.com