
On one level, the Show can be viewed as a new product forum and on another, more like a collection of forward-looking concepts that are better seen as leading indicators, much like the Commerce Department's leading economic indicators that signal where the U.S. economy is heading.
Let's take a look at the consumer show as a new product forum. Since the overwhelming majority of the cars on display are not available in showrooms at your local dealers, it invites the question: What elements make sense in the new product development process?
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It's fair to say that this concept resonates well with those companies having products or services directed mainly in the B2C (business to consumer) market. We can also infer that a sense of fashion and a corresponding need for novelty are underlying drivers.
At the same time, being able to provide a tangible touch and feel representation of the future (through the cars) provides a 3-D roadmap that product developers have relative to their customers and their anticipated needs. Other benefits of opening a model year are creating glamour, excitement, and brand buzz. Arguably, it provides a vision (picture) that the automotive market might not otherwise have of the future.
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While the working "model" approach has some appeal, notice that it also has a series of disconnects that don't address the day-to-day reality of new product developers.
The cost is very high both in real dollars and more importantly time. From a market research standpoint gathering feedback was difficult, because the audience interested in the "concepts" did not represent the main buyers. Many of these developers are working in the B2B (business to business) arena and a glitzy demonstration of the future doesn't address the here-and-now requirement to meet their customers' needs.
While the Show focuses more on futuristic themes, today's product developers are constantly looking for ways to shorten product development cycles to meet customer needs. In other words, our customers are looking for ways to get solutions to their problems from our drawing board to their P&L statement's bottom line sooner than later. Saying that it will take three to five years before a solution is available just doesn't cut it.
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