Screening new products for potential winners

New product success is predictable. This paper highlights the findings of an extensive study into new product success and failure, and pinpoints what separates winners from losers. The key success factors are: product superiority—delivering unique benefits to customers, upfront homework—before development gets underway, sharp and early product definition, a strong market orientation with constant customer contact and input, and quality of execution of key activities in new product process. Sadly many firms and new product efforts are lacking on these success factors. This points to the need for a more disciplined approach to product development. One solution proposed is the implementation of a stage-gate or formal new product process—a blueprint for the process from idea to launch. A generic stage-gate is outlined in the article. The experiences of managers in firms which have implemented such processes are investigated, and the performance results are positive: improved teamwork, less recycle, higher success rates and shorter cycle times.