Customers are primarily concerned with two

customers are primarily concerned with two
characteristics, the product's Performance and
Size. Over time they expect products to become
smaller and more powerful.
Getting To Know
the R&D
Department
Let's look at Positioning first. The Perceptual Map
at the lower left is a marketing tool used to show
how well your products meet customer
expectations. <br><br>Your customers are
primarily concerned with two characteristics, the
product's Performance and Size. Over time they
expect products to become smaller and more
powerful.
Getting To Know
the R&D
Department
Try entering different coordinates for each of your
products. Notice the Black and Pink labels on the
perceptual map. The Black label tells you where
Able is today, January 1st. The Pink label tells you
where it will be when it emerges from R&D and the
Revision Date tells you when it completes from the
R&D department.
Getting To Know
the R&D
Department
Getting To Know
the R&D
Department
Getting To Know
the R&D
Department
You control the product age by moving the product
on the perceptual map. When a product is moved,
customers perceive it as younger. Its age is cut in
half on the day it emerges from R&D. It becomes
the "new-and-improved" product, with half its
former age.<br><br>The "Age at Revision" tells
you what the new perceived age will be on the day
the project completes.

HRD_7
HRD_7
HRD_9
HRD_9
HRD_12
Getting To Know
the R&D
Department
You control the product age by moving the product
on the perceptual map. When a product is moved,
customers perceive it as younger. Its age is cut in
half on the day it emerges from R&D. It becomes
the "new-and-improved" product, with half its
former age.<br><br>The "Age at Revision" tells
you what the new perceived age will be on the day
the project completes.
Getting To Know
the R&D
Department
Reliability is the third factor of importance in a
customer's buying criteria. We measure reliability
in hours, MTBF or Mean Time Before Failure. For
instance, High tech customers help make a buying
decision based on an industry range. Ranges are
found in the customer buying criteria in each of the
segment analyses. Outside a range of a segment
may result in a loss of demand (if less) or no
additional demand (if more).
Getting To Know
the R&D
Department
Customers feel torn about reliability. On the one
hand, they want your sensor to last forever. On the
other hand, they know that the higher the MTBF
specification, the higher the material costs. As a
result, you may pass those costs on to
them.<br><br>You can see this in the Material
Cost chart. Try increasing and decreasing the
MTBF specifications for your products.
Getting To Know
the R&D
Department
In the end customers require a minimum
Reliability, and they reward you with increased
demand as you increase MTBF above the
minimum up to a point where they do not care.