A Successful Case of New Product Development Insight in China

1. Prepared for: Open World Network
Prepared by: Tae Kim, Partner
RisingSun Marketing Research & Consultancy, China
Contact: E-Mail (Tae.Kim@risingsun-mr.com) /
Mobile (+86-13311813427)
Your Strategic Research Partner in China!
‘A Case Study of A Strategic Partnership with Clients, Which
Created a Difference’
A Special Paper About

2. 2
Table of Content
I. Case Background
II. Research Scope and Approach
III. Research Findings
IV. The Result - New Product Concept Developed
V. Appendix

3. 3
Situation
Complication
Resolution
• Client X experienced
a very challenging
market situation with a
fierce competition and
rapid trend change
driven by global and local
players in China
• Client X faced an
issue how to accelerate
“Strengthening Client X
position in China”
• Thus, Client X raised the
localization issue for the
first priority in China
by developing a product,
which attracts Chinese
consumers with China
oriented product design
• In fact, Client X used to
introduce a
global platform product,
which is all identical in
designs globally
• Therefore, this
Localization approach was
a way of innovating their
new product
development process in
China
• It was a challenge for
how to embed a Chinese
Culture and Element in
the Product Design
• As a product design
needs an immediate
impact on consumers at a
first glimpse, the instinct
acceptance should be a
key for NPD
• So Client X decided to
conduct
a consumer deep-dive
research to understand
the China Consumers
fundamentally
• Hypothetically The
starting point was a zero
base approach (digging
out Value, Needs,
Historical facts,
Cultures, Daily Living,
Home usage, home
at home, etc.)
with following questions:
- How China is different
in Environment?
- Unique Culture & Values?
- ‘A Hidden Code’ ruling
and influencing the China
Consumers?
Discover a Hidden Rule / Culture Based insights ruling China Consumers and
Visualize it to Product Design for New Product Development
Project Background & Objective

4. 4
 Client X intended to have an innovation for New Product Development aiming for obtaining an from
consumers at first sight.
3 4
1 2
Bench marking
(Copying Idea)
New Creation
(Innovation)
Market Situation
(Common)
Competitive Advantage
(Differentiation)
NewtoCompany
New to Competitor
Mission for Exploring New Product Development
• The client X planed to
achieve a New
Creation result in
the product design
by understanding
deeply about Chinese
Consumers

5. 5
Table of Content
I. Case Background
II. Research Scope and Approach
III. Research Findings
IV. The Result - New Product Concept Developed
V. Appendix

6. 6
Ethnography - Home
Fact Findings
Localization Strategies
Impact
Opportunity & Insight & Implication
Primary
Focus
Concept
Secondary
Focus
Selectively
Pursue
Ignore
HighLow
High
Strategic
Implication
Project Scope
 Comprehensive approaches were used to help Client X’s Mission for an Innovate New TV Design
Discover for China Market
• Ethnographic Deep-Dive
• Home Visit
• IDI
• Desk Research
• Trend Research
• Anthropology / History / Culture
Expert Interviews
• Design Expert Interviews
Design Test
• Concept Test
• Product Design Test
Strategic Direction for NPD (New Design)

7. 7
 Client x planed to develop a new product development in the combination of the technology and
differentiated new design factors deriving from both lasting culture codes and new trendy factor
simultaneously
 Importantly new design must solve the pain points, unmet needs, or hidden needs
Point of view for TV product development approach
Differentiated
TV New Design
Development
Technology
• Trendiness
- Cool
- New
• Prompt Acceptance
- Culture Code
- Core
- Lasting
Basic Factor New Design Factors
+ +
Pain
point
Unmet
needs
Hidden
needs
Must to Find & Solve
+

8. 8
Table of Content
I. Case Background
II. Research Scope and Approach
III. Research Findings
IV. The Result - New Product Concept Developed
V. Appendix

9. 9
Research Process
Launching an
Innovative
New
Product
Design
Stage2
Stage 3
Stage 1
New Design Test
- Checking Consumers’
Acceptability with Mock-Ups
applying Hidden Needs and
Culture Codes in the New
Product Design
Ethnography for Product:
- How the product is placed at
home?
- How is the Environment at
Home?
- What are the hidden culture
codes at Home?
Fact & Insights Findings
- Hidden Needs and Culture
Codes Findings
- Verifying the Hidden Needs
from Historical Facts
- Selecting a Design Direction

10. 10
Stage 1 – Ethnography
 Items placed nearby TV at China Homes – Chinese Word Character (Good Luck), Sword, Firework, Apple,
Hand Fans, Goddess of Mercy, Fish, Ship Miniature, Bamboo, Buddhist Image, etc

11. 11
中国结
（喜庆 & 吉利）
放鞭炮
摆苹果
（平安）
贴春联
贴福字
贴窗花
放橘子
（大吉大利）
鱼
（年年有余）
放元宝
放花生
放辣椒挂灯笼
招财猫
发财树
财神像
金刚经
佛像
观音
葫芦
貔犰
放铜钱平安符
风铃
鱼缸
富贵竹
竹
一帆风顺
剑
吉福
平安
财运
Good Luck & Happiness
Peace and Safety
Wealth & Prosperity
Stage 2 – Why Good Luck Items Placed at Home
 Meaning of Placing Items – Why?
 Those are for Good Luck & Happiness, Peace & Safety, and Wealth & Prosperity

12. 12
Stage 2 – Historical Item Representing of Good Luck, Safety, Wealth
 Ships represent a meaning that everything goes well, connecting with others and finally being rich, and
(Good Luck)
 Thus, the Ship design direction was selected for New Product Design

13. 13
Table of Content
I. Case Background
II. Research Scope and Approach
III. Research Findings
IV. The Result - New Product Concept Developed
V. Appendix

14. 14
Stage 3 – New Product Design of Client X TV for China
“Good Luck” TV with a Ship Stand Design
 New Product Design was selected a Dominant Winner among Competitive Models
 After launching this New Product, it became No 1 Best Seller in client X
(A Ship Shaped TV with Stand
with a Cultural Red Color)

15. 15
Delivering Tangible
and Actionable and
Insights