CBI ProdDevGuide

Your Guide to
Product and Range

Development
Home Textiles
Home Decoration, Accessories and Gifts
DEFINITIONS
Definition of product related terms used in the Guide:
For the purposes of this guide the following terms are defined as follows:
Product range: The total product range that you are developing for a particular market eg. Export Product Range.
Style: A distinctive common aspect that appears in all products, determined by the raw materials, the production techniques or inspiration
behind the products eg Contemporary, Traditional, Classic.
Theme/Story/Concept: A subject of trend where ideas are drawn and collated from common inspiration to create a unified look.
Storyboard/Concept board: A visual representation of the above.
Product group: Groups of products that have the same overall function
or are produced from the same material type.
Collection: Families, groups or sets of products that have common elements of design linking them to each other eg. decoration, shape, finish.
Product line: An individual product.
Your Guide to
Product and Range
Development
Home Textiles
Home Decoration, Accessories and Gifts
Designed and written by Aileen Brindle
CONTENTS
INTRODUCTION
Page 7
Page 8
Page 8
Page 9
The aims of the guide

The importance of planning
What is product development and why is it so important?
How does product development fit into the process of business management?
STEP 1
BUSINESS REVIEW
Page 13
Page 13
Page 14
Page 17
Page 17
Page 17
Background and Explanation

1a) Understanding Cooperative Objectives or Mission
1b) Understanding Corporate Identity
1c) Defining current business position
1d) SWOT analysis under the marketing headings product, price, place,
promotion
1e) Defining desired position in terms of sales/profit growth
STEP 2
MARKET RESEARCH
Page 22
Page 22
Page 24
Page 24
Page 25
Page 26
Page 26
Page 28
Page 28
Page 43
Page 49
Page 50
2a) The importance of understanding the market

2b) Understanding and profiling the existing market
2c) The importance of defining market segments
2d) Researching promotional possibilities
2e) Identifying trend in product growth areas, determined by consumer
habits, economy etc
2f ) Understanding the competition
2g) The importance of knowing the market/trade requirements relevant to
your product
2h) The importance of trend
2i) What makes a trend a trend?
2j) Researching trend information and how to use it to create direction
2k) The development of storyboards based on your market research
2l) Defining market opportunities
STEP 3
CREATING A
CRITICAL PATH
Page 53
Creating a critical path
STEP 4
RANGE STRATEGY
Page 56
Defining overall range strategy
STEP 5
RANGE STRUCTURE
Page 59
Page 60
Page 61
Page 62
Page 62
Page 64
5a) Managing your range in product groups

5b) The importance of sales analysis by product group and by customer
5c) Defining the total size of your range size
5d) Defining the role of products within a range
5e) Product collections
5f ) Pricing strategy and price pointing
STEP 6
PRODUCT REVIEW
Page 67
Page 68
Page 69
6a) Identifying your most successful products

6b) The importance of knowing the strengths and weaknesses of your existing
product range in relation to market needs
6c) The importance of knowing the capacity and situation of your product
or raw material suppliers
STEP 7
RANGE BUILDING
Page 72
Page 72
Page 72
Page 74
7a) Defining which products you wish to retain

7b) Adapting existing products
7c) Reviewing new innovations, new samples, new suppliers
7d) Calculating the number of new products that you need to develop
STEP 8
RANGE PLANNING
Page 77
Page 77
Page 77
8a) How range planning will lead to focused and managed product
development
8b) Collating products into new concepts
8c) Identifying starting points for collections
STEP 9
DEVELOPING THE
DESIGN BRIEF
Page 80
The importance of describing the desired objectives of a product/product range

to a designer
STEP 10
DESIGN AND
SAMPLE
DEVELOPMENT
Page 83
Page 86
Page 86
Page 86
Page 86
Page 87
10a) Building on successes: adapting existing products, developing new

products and forming collections
10b) Export Costing and Pricing
10c) Testing
10d) Evaluating first samples
10e) Revising first samples if required
10f ) Packaging
Page 92
Page 92
Page 92
11a) Final product selection

11b) Final pricing
11c) Finalising product descriptions, coding and price lists
STEP 11
PRODUCT
SELECTION
STEP 12
RANGE
PRESENTATION
Page 96
Page 96
Page 97
Page 98
Page 99
12a) Ensuring that you have selected the right products for each promotion
12b) Displaying your range
12c) Supporting promotional material
12d) Targeting and approaching new customers
12e) Requesting feedback information to start the cycle again!
YOUR GUIDE TO PRODUCT AND RANGE DEVELOPMENT

INTRODUCTION
The aims of the guide
This guide provides you with a comprehensive step-by-step approach to the

process of product and range development. It will enable you to consider the
needs of your business, the needs and opportunities in the market place, and
the life cycle management of your product range. Combining theory, practical
advice and creativity will result in a clear and informed strategy to product
development and range building for export.
The guide provides explanation and directed tasks at each stage of the
process, allowing you to build up the information and action required to
complete your own Product Development Plan (PDP). The enclosed workbook, Your Product Development Plan (PDP) can be used to develop a plan
specifically for your own business.
In summary the process is described in the following format:
Included in this guide:
Explanation about each stage of the process
LINKS to existing CBI manuals or planning guides available via the
CBI website http://www.cbi.eu
A series of directed tasks including the following:
Areas that you need to consider and research
Activities that you need to undertake
Specific questions which you need to ask about products and
markets in order to complete your own Product Development Plan
Included in the enclosed workbook: Your Product Development Plan:
Blank templates to enable you to complete your own product
development plan
A series of management tools to help you with the various activities
described.
Some working examples, of a completed Product Development Plan to
illustrate different parts of the process
Included on the enclosed cd:
A copy of the guide
A copy of the workbook, enabling you to generate duplicate copies of the
various templates and management tools. These can then be introduced
into your business on an on-going basis.
7
The importance
of planning
Successful product development for export requires skilful planning to ensure

that the right product is available to the right market at the right time at the
right price. It will be essential to have an overview of the process, to plan, to
understand the information required, the action required, and the people
who need to be involved etc. Working through this guide step-by-step will
enable you to successfully do this. The process is divided into 12 basic
steps. The first 2 steps are the preliminary preparation stages that will inform
and direct the remaining steps.
Step 1:
Step 2:
Step 3:
Step 4:
Step 5:
Step 6:
What is product
development and
why is it so important?
Business Review
Market Research
Creating a Critical Path
Range Strategy
Range Structure
Product Review
Step 7:
Step 8:
Step 9:
Step 10:
Step 11:
Step 12:
Range Building
Range Planning
Developing the Design Brief
Design and Sample Development
Product Selection
Range Presentation
Product development is the process of creating, adapting or changing a

product. This term can be used to describe the development of an individual
product or a range of products. In the business of trading the product or
product range is your most important asset. It is what creates your business.
Getting your product right is therefore crucial in determining the on-going
success of your business.
Your product range should not be viewed as something static. The success of
a product is usually measured by its success in terms of sales to a particular
market. As markets change and evolve so must your products to meet the
needs of that market. Not responding to change could lead to loosing your
position in the market place.
In summary there maybe a number of different reasons why a business needs
or chooses to develop its product range:
To increase sales
To offer existing customers new products
To attract new customers
To offer choice and variety of product
To replace products which are not selling well
To build on the success of good selling products
To differentiate the range from the competition
To be in line with seasonal trends
To utilize new raw materials, new techniques, or new technology
8
How does product

development fit into
the process of business
management?
Fig 1 The Wheels of Business overleaf illustrates how product development

is an integral part of the business management process. It is an important
driving cog in the wheel of business management interacting with many
other elements of the marketing function. Each of the wheels is interdependent. The activities and the division of work may be different from one business to another but this diagram illustrates how one function cannot work
effectively without the other, if the overall mission of the business is going to
be driven forward and the goals met.
Fig 1 also illustrates that the process of product development is part of a
cycle. The needs of the business are generally moving and being reviewed on
an annual basis. The needs of the market evolve normally on a seasonal
basis. Therefore the process of product development needs to be introduced
to your business as part of this cycle continually moving.
Fig 1 illustrates that product development is normally included in the marketing function of an organisation. Depending on the size of your organisation
there may be a number of people who need to be involved in the process e.g.
Marketing Manager, Product Manager, Design Manager etc. All of these
people are likely to have an important role to play in terms of providing
direction, information, carrying out activities etc. However, as the process is
so crucial to the success of the business and because it requires a lot of
coordination, it is advisable to allocate responsibility to one team member to
drive, and manage the process.
M
BUSINESS
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FIG 1: THE WHEELS OF BUSINESS
MARKETING
PLANNING
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INT E RN AL C US
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PROMOTION RESEARCH
SALES ANALYSIS/PROMOTION
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
EXISTING CUSTOMER SALES
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LINKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DEVELOPING THE DESIGN BRIEF
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
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TOM
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Step
Business Review
BUSINESS
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PROMOTION RESEARCH
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
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STEP 1
BUSINESS REVIEW
Background and
Explanation
Step 1 aims to help you understand and review the objectives and needs of
your business before you embark on the process of product development.
This will ensure that you develop products in context of the businesses
mission, values, style, financial and market position.
LINK: the CBI interactive EMP builder guides you step by step in preparing
an Export Marketing Plan (EMP) http://www.cbi.eu (Export tools: Export
Marketing Plan)
Relevant sections of the EMP are indicated in some steps of this guide. If you
have already created this Export Marketing Plan (EMP), use the following
explanation to revisit and extract the relevant pieces of information for product development planning. This information can be used to answer the questions in the Business Review section of the workbook Your Product
Development Plan PDP
If you have not created an EMP you can use the CBI EMP builder. The explanation and LINKS below direct you to the relevant section of the interactive
guide. You may wish to complete this in full, however you may also wish to
refer to it just for information. In this case you can use the explanation in the
EMP combined with the explanation below, to answer the questions in the
Product Development Plan. (PDP)
Depending on the structure or size of your business the following subjects
can be discussed within a team or can be worked through as an individual. It
will be useful to involve the people concerned in this initial review stage if
you are planning the work to be carried out by a team.
As Product Development is an integral part of the whole business manage1a) Understanding

Cooperative Objectives ment process it has to be guided by the overall mission or cooperate
or Mission
objectives of an organisation. Fig 1 illustrates how the mission is the
guiding wheel to all the functions of the business machine. It provides the
overall perimeters in which all the other functions work. Therefore it is
important to understand the overall mission of your business before you
continue developing products to realise that mission.
LINK: visit Chapter 1 of the EMP. This explains more about Mission and
creating a Mission statement. http://www.cbi.eu (Export Marketing Plan:
Introduction and Mission).
13
1b) Understanding
Corporate Identity
Branding is one way in which successful businesses communicate their identity.

The components or building blocks of this identity are your values and your
style. Identity is something that is not only translated in your communication
i.e. letterhead etc. Whether you have developed a branded approach or not your
values and style need to be reflected in your product range. Having a clear
sense of values, and a definite signature style in your product range strengthens
your identity. This will help create your place in the export market and distinguish
you from the competition. Before embarking on product development you should
have an understanding of what makes your identity: your values and your style.
LINK: more is explained about Corporate identity in Part 1 of Your Image
Builder http://www.cbi.eu (CBI publications: Export manuals)
Values
Your values may relate to different relationships with your stakeholders i.e. your
suppliers, your customers, your workforce, your shareholders etc.
The sourcing of products and the value you place on the relationship with suppliers, i.e. ethical sourcing and fair trade or the impact on the environment are
becoming increasingly important in the market. Communicating these types of
values is an important part of forming your identity, but will also direct how and
with whom you develop your product range.
LINK: refer to http://www.cbi.eu (market information: CBI database) for
more information about non-tariff barriers and social responsibility.
Signature Style
You may have also already clearly defined your overall signature style or it may
be an area on which you have not previously focused or have taken for granted.
However, it is important to consider and clearly define, as it will not only help
direct your product development but it will also help you in targeting certain markets. Promoting a clear style will support the decision of customers with this
style preference to buy from you.
Styles can generally be defined by considering distinctive common aspects that
appear in all your products: A thread that connects the products to each other.
These are usually determined by the raw materials and production techniques used
and the inspiration behind products. Within your range you may have the opportunity to market a number of styles, however these generally need to be each clearly
defined. Mixing of many different styles is possible, but this eclectic approach can
be very difficult to execute well and has to be developed as a style in itself.
There are many examples of types of styles in the market place. The definitions on
the following pages represent only some types of style. The images show how some
companies have based their identity on a particular distinctive style of products.
14
Traditional products that have

a historic cultural reference, a heritage,
and are either genuinely produced using
traditional techniques and decoration or
are reproduced to appear traditional.
Traditional in the context of Europe
would mean products typical of a particular region or period of time.
E.g. Liberty of London:
http://www.liberty.co.uk
Traditional Ethnic products may

relate to genuine antiquities which
are traditional to a particular ethnic
race, region or culture
E.g. As Art (Paris)
Classic products are generally simple,

harmonious, proportioned and finished
to a high quality, with no particular
reference to culture or a period of time
E.g. Keramica
(Stoke-on-Trent UK)
Contemporary products are

modern representing the lifestyle of
present or recent times, simple lines
often combining function and style
E.g. Ocean:
http://www.ocean-furniture.co.uk
Contemporary Ethnic products

may still relate to an ethnic culture
or heritage but are developed to
have a modern living contemporary
twist, or are contemporary products
designed to have an ethnic twist.
E.g. Umae:
http://www.umae.fr
Eclectic products from a variety of

other styles collated cleverly in an
eclectic mix
E.g. Graham and Green:
http://www.grahamandgreen.co.uk
1c) Defining current

business position
Whilst reviewing your business, if you are planning future expansion it is

important to understand how your business has reached its current position and
what role the product has played in this. This provides the starting point or the
platform on which to build.
LINK: chapter 2 (Current Market Position) of the EMP builder explains how you can
analyse your current market position using the marketing mix. http://www.cbi.eu
1d) SWOT analysis

under the marketing
headings product,
price, place,
promotion
If you are a successful business you will be offering a product that the market
wants, at a price that the market will accept, bringing it to the attention of the
market by successful promotion and putting it in place in the market though
effective distribution.
As part of the Business Review it is important to understand the strengths and
weaknesses of your business under the highlighted marketing headings, as well
as understanding the opportunities and threats that exist in the market.
The process of building on your strengths, addressing your weaknesses, taking
advantage of your opportunities and defending your business from threats will
result in detailed product, pricing, distribution, promotional strategies and action
plans all of which impact on product development.
By answering the questions in the Tasks section to follow you will find the first
points of direction to your product development plan. They should give you overall direction on strong product areas to build on and weak areas to strengthen.
They should also indicate if any changes need to be made to your pricing policy
or promotional plans.
LINK: chapter 4 (Export Audit) and 7 (Market Entry Strategy) of the EMP builder
explain more about SWOT analysis and developing action plans http://www.cbi.eu
1e) Defining desired

position in terms of
sales/profit growth
As well as understanding how you have arrived at your current position it is

important to understand what the business objectives are in terms of market
expansion, sales growth and profitability. This will reflect directly on your product
development plans i.e. the size of range required to achieve the revenue
objectives of the company and the resources available to do this. Understanding
the financial perimeters in which you are working is therefore important from
the outset of product development planning.
As the process of product development takes often more than 12 months, you
may be developing products for the following year or the year after that. Therefore
it is important to look at expected growth figures for three years if possible.
LINK: defining export objectives and setting budgets and forecasts are explained
briefly in Chapter 6 (Export Objectives) and 10 (Budget and Forecasts) of the EMP
builder http://www.cbi.eu
17
STEP 1
BUSINESS REVIEW
Using the explanation provided, the Links and the visual references, follow
the directed tasks step by step to develop your own product development
plan. Refer to the working example in the PDP for guidance.
TASKS:
Business Review
Revisit your mission statement to consider the following questions:

What is the name of your business?
What does your business do?
In which country are you based?
In which region or countries do you sell your products?
Why do you do it and what are your business values?
Enter the answers in the Business Review: mission section of the PDP.
Focusing on your raw materials and production techniques available and
the inspiration behind your products and using the previous descriptions
to help you, consider the following questions:
What are the distinctive features that form a thread though your
product ranges?
How would you define your product style?
Enter the answers in the Business Review: style section of the PDP.
Describe your current position by considering the following questions:
What products do you sell?
What market do you currently sell to?
What distribution channel do you use?
What is your general pricing policy?
What promotional tools do you employ?
What is the current financial position (turnover/profitability) of
the business?
Enter the answers in the Business Review: current business position
section of the PDP.
18
Revisit the SWOT in relation to your marketing mix: product, price, place,
and promotion. If you are working as a team this discussion should involve
all team members.
Select from the SWOT strengths, weaknesses, opportunities and threats that
concern product, prices and promotion. Consider the following questions
How can you build on the strengths that you have identified?
How can you address the weaknesses that you have identified?
How can you take advantages of the opportunities that exist?
How can you protect yourself from the threats that exist?
Enter the answers in the Business Review: SWOT analysis section of the
PDP
for each of these elements of the marketing mix.
Consider the following questions to define your desired position in

terms of sales/profit growth. (Some of these figures may have to be revised
once the detail of the product development plan emerges)
What is your forecasted turnover for the next year?
What % growth has been forecast?
What is the forecasted turnover for the next 3 years?
What % growth has been forecast?
Is your budget for product development going to increase, decrease or
stay the same?
Enter the answers in the Business Review: financial objectives section of
the PDP
19
Step 2
Market Research
BUSINESS
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PROMOTION RESEARCH
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
LI
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STEP 2
MARKET RESEARCH
2a) The importance of
understanding the
market
Now you are clear about the overall business objectives of your export
range, the next important stage in the process of product development is to
consider the export market for which your range is being developed and
what products are needed by that market.
Very often marketing can be mistaken for selling and therefore something
very different than product development. Selling alone is the process of
making your customer buy your products. Marketing is the process of finding out what your customers want, then developing, producing, promoting
and distributing the right products to the right place at the right time.
Adopting a marketing focus or marketing mentality is therefore crucial in
product development planning. This involves the process of understanding
both your existing markets, and your potential market.
The SWOT process will have highlighted market opportunities and threats
that you already know about. You maybe however require more information
to build a complete picture of the market requirements. The process of
market research enables you to do this.
LINK: more is explained about why research is so essential and the different
methods that you can use in chapter 1.1 of CBI Your Guide to Market Research
http://www.cbi.eu (market information: CBI publications; Export Manuals)
2b) Understanding
and profiling the
existing market
In order to continue to satisfy the needs of your existing customers it is

important to understand their likes, dislikes, their purchasing cycles, the
distribution channel they use (retail, wholesale etc), their product and marketing plans, their values, the profile of their end consumers etc. This will
enable you to build a profile of your existing market and to build on your
existing successes by continuing to satisfy this market. It will also inform you
on how to expand this market by finding like-minded customers.
Your customer is likely to be the importer/wholesaler or importer/retailer. In
the case of a wholesaler they sell to a retailer. In the case of a retailer they sell
to an end consumer. The end consumer therefore is the individual who finally
buys and uses your products.
22
Understanding the profile, and likes and dislikes of your end consumer will
also help you develop appropriate products therefore satisfying the needs of
your customer.
It can also be very useful to visualize your customer. Developing an understanding of your end consumers likely environment (urban or rural), their lifestyle,
their age range, whether they are male or female, their likely employment,
whether they are trend oriented, their values etc. is especially important for
manufacturers of gifts and interior products.
LINK: more information about how to research consumers/buyer profiles is
found in Part 3 (3.1.8) of Your Guide To Market research http://www.cbi.eu
(market information: CBI publications; Export Manuals)
STEP 2
MARKET RESEARCH
TASKS: Understanding
your existing market
Using the template of a customer questionnaire in the PDP, contact your top
5-10 customers to build up the profile of your existing market. This also
includes questions about the profile of their end consumer. If you use this
method you need to plan and allocate a suitable amount of time in your
planning schedule for this to happen.
Using the results from the questionnaire, collect images from magazines,
customer brochures, photos etc. to build up an image of the type of person you
are selling to and the type of environment they are living in.
Paste the images onto a customer profile board.
Using the information from the results of your customer questionnaire and
your customer profile visual, describe the profile of your existing customer and
end consumer under the following headings:
What type of organisations are your customers?
What type of market do your customers sell to?
What is the profile of their end consumers?
Where, when and how do they source their products/suppliers?
What is their sampling and ordering process/cycle?
Enter your summary in the Market Research: customer profile section of
the PDP.
23
2c) The importance of

defining market
segments
Before you start developing your range it is important to understand the different
segments of the market that you might be selling to. The previous exercise has
provided a lot of information about your existing customer who will represent
one segment of the market or a niche within a market. If you are considering
developing products for other segments of the market it is important to also
understand the needs of this new market segment.
Market segments are sub-divisions of a market. Segmentation is based on the
product pricing level and behaviour of a certain market. Segments are usually
described as low, mid, and high. However, methods of sourcing, distribution and
promotion used by the importer, and the profile of their end consumer may all
differ from one segment to another.
Defining and understanding which market segment you are selling to or are hoping to sell to are crucial. This will direct everything you do within the whole marketing mix from what products you develop, at what price, to when and how you
promote and distribute them - your positioning.
Whilst you are researching market opportunities, consider which segment you are
focusing on. Once you have carried out the research tasks suggested below you
will be able to answer the questions in the Market Research: market segment section of the PDP at the end of Step 2.
LINK: chapter 3, of the CBI Export Planner, describes the process involved in
selecting your target market segment. Chapter 7 of the EMP builder and
Chapter 4 of the Export Planner explain more about Positioning Strategy,
selecting target markets and the importance of market segmentation.
http://www.cbi.eu market information: CBI publications: Export planner
2d) Researching
promotional
possibilities
Once you are clear about which segment of the market you are targeting and
through which distributional channels they buy, you can start to plan in which
way you promote your products. You may have a history of promoting your
products in certain ways, i.e. a catalogue, a certain trade fair or via your website.
During your SWOT analysis you will have considered the strengths and
weaknesses of your promotions.
LINK: more information on researching promotion possibilities is found in part 3
of Your Guide to Market Research 3.3.4 http://www.cbi.eu (market information:
CBI publications; Export Manuals)
24
STEP 2
MARKET RESEARCH
TASKS: Promotional
Planning
Revisit the SWOT to ensure that you are clear about the strengths and
weaknesses of each of your promotions particularly in relation to the
appropriateness of the product range, the way in which products were
presented and the style of promotion. Be aware of the opportunities and the
constraints that certain promotions may have to certain products.
Research what promotion possibilities there are and what suits your products
and your business.
Decide how and when your product range being developed is going to be
promoted. This will affect the timing of the launch of the range and the way in
which you build and ultimately present the range.
Using the above analysis and research, consider the following questions:
What are the planned promotions for the product range to be developed?
What is the launch date?
What is the deadline for final sample products to be available?
Enter your answers in the Market Research: promotional research section of
the PDP.
2e) Identifying trend

in product growth
areas, determined by
consumer habits,
economy etc
If you are considering developing new product lines for specific segments of the
market it is important to research the market growth for this particular product
group. This type of information is available through CBI Market Surveys. These
can be accessed via the CBI website. Specialist market research agencies such as
Mintel (http://www.mintel.com), Keynote (http://www.keynote.co.uk) and
Euromonitor (http://www.euromonitor.com) also publish this type of information.
LINK: http://www.cbi.eu: market information: CBI publications: CBI Market
Surveys on the EU market and the market in individual member states for gifts
and decorative articles.
25
2f ) Understanding
the competition
We live in a very competitive market. There is increasing competition for well

designed gift and interior products from all over the world. Your competitors are
the existing suppliers of your potential customers! In order to give yourselves an
edge over the competition it is essential to research the offer of your competitors.
This should be reviewed fully by looking at the product ranges available, the
prices, styles, and other added value elements such as packaging. Collecting
information and visualising the competition will provide a base from which to
work, enabling you to develop more competitively priced, innovative, and market
focused products.
LINK: The EMP Builder Chapter 4 explains more about Competitor analysis
More information on how to collect information on your competitors is also
available in Part 3: 3.1.7 of your Guide to Market Research http://www.cbi.eu
(market information: CBI publications; Export Manuals)
2g) The importance

of knowing the
market/trade
requirements
relevant to your
product
Once you have established for which market you are developing your product, it
is important to check if any legislation or other trade barriers apply. This may
relate to:
1. Legislative requirements
2. Non-legislative requirements
3. Tariffs and quota
LINK: More information about the relevance of this is discussed in Chapter 4 of
the EMP Builder.
More information about researching this aspect of market requirements refer to
Part 3 - 3.1.2 Your Guide To Market Research.
Specific information on what legislation applies to which products is detailed on
the website http://www.cbi.eu (Market Information: market access requirements:
CBI database)
26
STEP 2
MARKET RESEARCH
TASKS: Product
Growth Areas
Using the information from the surveys consider the following questions:
What product areas relevant to your existing range are forecast as growing?
What product areas relevant to your existing range are forecast as declining?
Which other product areas forecast as growing do you have the potential to
produce?
Enter your answers in the Market Research: market growth areas section
of the PDP
TASKS: Competition
Collate visual information about your competitors. You can research this
information by visiting shops, websites and looking at trade magazines and/or
visiting international trade fairs.
Compile a comparative shop report or a trade fair report with as many visual
references as possible. This will enable you to build up a good impression of
what your competitors are selling. This could be structured under headings
such as key products, key price points, strong design features, added value
aspects such as packaging.
Using the above research and considering the range of products available,
design, prices and added value aspects of products, consider the following
questions:
In which product groups do your competitors have particularly strong
products?
In what ways do you have a competitive advantage?
Enter the answers in the Market Research: competitors section of the PDP
TASKS: Legislation/
Market Requirements
Select relevant product areas and identify where legislation and/or market
requirements apply.
Using the above research consider the following questions:
In which product areas does legislation or particular market requirements
apply and in which country?
Can you meet these requirements and legislation?
If you cant, what action can you take to meet the requirements or legislation?
Enter the answers in the Market Research: legislation section of the PDP
27
2h) The importance

of trend
The overall style of your products will remain in your range from one season to
the next. This will link to the particular style preferences of the consumers who
buy your products. However in order to keep these customers buying, to create
something new, to keep in line with consumers changing interests and lifestyle
and to respond to developments in the industry, products need to and can be
updated. This is TREND.
Section 2e discusses economic trend in the market, however trend in terms of
consumer taste is also highly relevant. Trend affects the types of products and the
styles of products that people are likely to buy during a particular buying season.
Trends in Europe change from one season to the next. A season is usually regarded as a 6 month selling season. Keeping abreast of these trends is vital for successful market development. Understanding and using trend information is
therefore a very important starting point in the product development process.
2i) What makes a

trend a trend?
Trends in fashion or home interior products emerge as a result of a number of

social, cultural and economic factors in the market. Images on the following
pages provide examples and explanation of how this happens:
28
AUTUMN/WINTER SEASON
The weather in different seasons
has an impact on the colours
that you may use in product
development and on the colours
or weights of fabrics that people
decide to wear or use in their
house. Inspired by the colours of
the season, darker, richer,
colours in heavier fabrics tend to
be favoured in Autumn/Winter.
SPRING/SUMMER SEASON
Fresher, brighter colours in
lighter fabrics tend to be
favoured in Spring/Summer.
ENTERTAINMENT
Films or cultural events
can influence designer's
interest in certain eras or
styles. For example the
resurgence of the Indian
Movie industry:
Bollywood has lead to a
trend in kitsch Indian
Bollywood style images
and colours being used in
gift and interior ranges.
FILM
Films like Crouching Tiger
and Hidden Dragon have
lead to designers looking
to the 'East' and especially
China for their inspiration.
CULTURE
An interest in the art, religion
or philosophies of cultures
emerging from international
events, political focus or art
exhibitions can also affect trend
in fashion and home interiors.
For example the political,
media and cultural focus on
Africa in recent years has
resulted in African influences
in home interior products.
ART
Artists from the past also
continue to provide inspiration to designers.
Mondrian for example has
been the inspiration behind
the range of products in the
visual example.
SOCIAL CHANGES
Increased focus on the
importance of relaxation in
the home as a contrast to the
highly stressed environment
in which we work, has lead
to the development of more
'well-being' products such
as candles and alternative
relaxation therapies.
SOCIAL AWARENESS
The growth of foreign travel and
more media communication
about foreign countries has also
lead to more awareness about
the world around us, and a
trend in products sourced or
inspired by different world
cultures.
DESIGN LEADERS
Using the same influences,
leading designers create
trends themselves that then
'trickle down' to lower market
segments. The visual example
illustrates how Paul Smiths
signature stripe designs have
created a trend in the use of
stripes in many home wear
products.
TECHNOLOGY
New technological developments in computer-aided
design, dyes, fibres, fabrics,
also effects what possibilities
are open to designers. This
again results in trends
emerging. For example new
rapid prototyping computer
technology and laser cutting
technology have lead to the
development of products in
this visual example.
PREVIOUS ERAS
A general interest in the art,
design or philosophies of times
gone by can also affect trend in
fashion and home interiors.
This often stems from the focus
of a leading designer on a particular era for inspiration, or
from an exhibition of designs
from a particular era or designer
of the times.
THE TRANSFER OF TRENDS

FROM FASHION TO INTERIORS
Fashion trends change more
rapidly than interiors trends,
often influencing the following
season. For example the metallic leather in this visual was first
used in fashion but then was
absorbed by the interiors and
gifts market as a technique to
use. Therefore it is useful to also
keep abreast of more frequently
changing fashion trends.
INSPIRED BY NATURE:
MADE BY NATURE
Designers
are
forever
inspired by our natural

surroundings. These images
illustrate how products have
been inspired and produced
using natural materials or
natural colourways.
PATTERNING INSPIRED
BY FABRIC STRUCTURE
The patterning and textures
created by different textile
constructions such as knit,
lace, print, pleating have
inspired the patterning on
the products in this illustration.
2j) Researching trend

information and how
to use it to create
direction
Trend information is all around us: in shops, in magazines, in films, in art galleries, the Internet, at trade fairs etc. Internationally available magazines that provide particularly good direction for gifts and home wear products are listed below.
Elle Decoration
The World of Interiors
Marie Claire Maison
Maisons Cote Est/Sud
Objekt International
There are an increasing number of websites supplying links and design blogs for
trend information. A few examples include::
http://www.fashionmission.nl
http://www.designsponge.blogspot.com
http://www.notcot.com
http://www.peclerstrends.net
http://www.ohjoy.blogs.com
http://www.bloesem.blogs.com
http://fabulouslygreen.blogspot.com
http://blog.stylehive.com
There are also a number of agencies that specialise in forecasting trends for the
coming seasons. To subscribers these provide direction on themes, colours,
materials, shapes and finishes etc. Examples of forecasting agencies are:
Fashion Trendsetter (http://www.fashiontrendsetter.com)
Peclers Paris (http://www.peclersparis.com)
Nelly Rodi (http://www.nellyrodi.fr )
Carlin International (http://www.carlin-international.com )
Promostyl (http://www.promostyl.com)
Trend Union (http://www.edelkoort.com) or (http://www.trendunion.com)
Jenkins (http://www.jenkinsuk.com)
Specialist predication magazines include:
International Textiles
View publications (http://www.view-publications.com)
Mix Future Interiors (http://www.mixfutureinteriors.com)
LINK: You can also access fashion forecasts via

http://www.cbi.eu (market information: CBI publications; fashion forecasts)
43
STEP 2
MARKET RESEARCH
TASKS: Identifying
relevant trends
Using the examples of storyboards on the following pages identify the trends
that relate to your products under these headings:
Product types
Shapes
Materials used
Colours
Textures/finishes
Motifs/print styles
(Refer to the working example in the PDP for guidance)
N.B. Note that these storyboards do not relate to any particular season. They
are included only to illustrate a part of the process.
Using the resources indicated above, identify trends that relate to your products
under the same headings. Whilst researching this information it is important to
look at products relevant to your particular style and the type of raw materials
and product techniques that you have available.
Collate your information by developing idea files in product groups relevant to
your business. Ensure that you have good references for the main trends in the
above headings within each specific theme. These references (which you may
collect over a period of time) will become the basis and resource for your own
storyboards.
44
FUNKY FUSION
Fabulous and funky finds
from near and far combine in
this funky fusion of bold
colours and contrasting
materials.
Products are quirky and fun.
Both in utility items and giftware a sense of humour is
conveyed.
Brightly coloured basketry accessories, storage items and
matting are combined with
recycled plastics, wire and
metal in funky sculptures, or
fun kitchenware.
Glass and ceramics are bold
and colourful, both plain and
patterned.
Textiles are inspired by multicoloured African Kanga
screen prints in accent scatter cushions. Stripes, spots
and simplistic floral designs
in felt and crochet add even
more colour and texture to
this eclectic mix.
NOSTALGIA
A range inspired by craft traditions of ancient cultures
and our own times gone by.
A soft, faded, feminine feel is
created by delicate and intricate decoration and a subtle
combination of antiqued pastel hues.
Giftware such as frames,
boxes, bowls /plates is decorated using engraved or
embossed silver/antiqued
metal, shell inlay, or chalked
and brushed carved wood.
Glass,
in
traditional
shapes of candleholders,
vases, or bottles is clear or
frosted, etched or decorated
with silver wire.
Ceramics are simple or rustic
shapes in pale terracotta or
white, plain in colour or with
simple, lattice like patterning.
Paisley motifs and old fashioned floral designs in 1 or 2
colours are block printed or
embroidered onto silk or cotton quilts, throws or cushions
for maximum femininity.
2k) The development

of storyboards based
on your market
research
Once you have compiled relevant trend information you can start to organise it
into themes or concepts. By looking for common points of inspiration (as
described in the images about the development of trend), or common uses of
colour, finishes or shape you will be able to identify important themes. This
information can be collated in the form of storyboards. The term storyboard
term simply means a board that tells a story using images. In this case the story
is about existing or predicted trends in the market place. The story needs to
provide information about all the elements of a product i.e. product types ,
colours, shapes, raw materials, finishes/textures, motifs/print styles etc.
By developing your own storyboards you will create clear direction and reference
points for developing your range. This will not only provide starting points for
inspiration, but will also enable you to remain focused on the look that you want
to achieve.
It is possible to develop more than one concept/theme within a range but
advisable not to work with more than four themes within one selling season.
STEP 2
MARKET RESEARCH
TASKS: Creating
Storyboards
Using the idea files complied from your market research, collate images into
themes. Choose between 1 and 4 themes.
Select themes that are that are particularly relevant to your products, raw
materials and techniques available.
Stick the images onto boards to create storyboards to illustrate the particular
themes/concepts you have chosen. Include references in each storyboard for
the following headings:
Product types
Shapes
Materials used
Colours
Textures/finishes
Motifs/print styles
Using the above research and storyboards, summarise the thematic direction of
your range by considering the following questions:
What are the main themes/concepts emerging as trends in the market?
What themes are relevant for your business?
What themes/concepts have you chosen to base your range development?
Briefly summarize the main trends for products relevant to your business
under the headings product types, shape, colour, materials, finish for each
of the themes
Refer to the working example in the PDP for guidance
Enter your summary in the Market Research: trends and concepts section of
the PDP.
49
2l) Defining Market

Opportunities
As part of this business review stage you have considered your strengths.
As part of the market research stage you have considered the different market
opportunities that exist in terms of trend, customer demand, growth etc.
These opportunities may relate to a number of specific market segment/product
opportunities. These may exist across a number of different market segments.
STEP 2
MARKET RESEARCH
TASKS: Defining
Market Opportunities
If you are working as a team re-visit the SWOT analysis, and the results of the
market research to identify, important product/market and promotional
opportunities.
Using the results of your customer questionnaire and other background
information about your market, including information about market growth
areas, competition, legislation and trend information, to consider the following
questions:
What different product/market opportunities exist?
Define the market you are currently selling to in terms of low, mid or up
market.
Define the market identified in each of the above product/market
opportunities in terms of low, mid or up market.
Enter your summary in the Market Research: market opportunities/market
segment section of the PDP
50
Creating a Critical Path

Step 3
BUSINESS
PLANNING
IS
RA
CO
RP
S
SI
TE
L
OA
MARKETING
PLANNING
PP
LI
WITH
IN TE RNA L C UST
52
STO
CU
SU
KS
IT
LIN
W IT
RS
PROMOTION RESEARCH
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
LI
R
ME
STEP 3
CREATING A
CRITICAL PATH
Now you have a clear vision of the business objectives and an understanding
of the market and the promotions for which you are developing a product
range, you can start to put a detailed plan together. This needs to include
details of actions required, by whom, by when and ideally an allocation of
budget required. (This will ensure that you have the financial means available
at each stage). This type of management plan can be described as a Critical
Path. Using such a tool is imperative to communicate and coordinate the
process of product development.
STEP 3
CREATING A
CRITICAL PATH
TASKS: Critical Path
Using the blank template and the completed example in the Critical Path
section of the PDP, try to create your own Critical Path. The best way to do
this is to work backwards by entering the date by which your product range
is going to be launched i.e. this might be the date of a trade fair, the date of
a catalogue launch, the date of a website going live. Remember this needs
to be at the time that your customers are looking for new products! Refer
to the results of the questionnaire of Step 2 for this information.
Using your previous experience, assess how much time is required for
completing each activity before proceeding to the next activity in the
template. You may run out of time and need to review when the product
range can realistically be launched. This may also influence the size of
range that you decide to develop.
Once you have completed your timeline, allocate responsibility for each
activity to a member of staff or team. Then allocate a budget to each
stage ensuring that there are the funds available. If the process has not
been budgeted for, the depth of the process and maybe the size of the
range will need to be reviewed. Once you have completed your critical path
you have a good management plan. This needs to be communicated and
distributed to all those involved. The coordinator of the process, or team
leader will need to call frequent meetings to be updated on the progress of
the activities.
53
Range Strategy
Step 4
BUSINESS
PLANNING
IS
RA
CO
RP
S
SI
TE
L
OA
MARKETING
PLANNING
PP
LI
WITH
IN TE RNA L C UST
55
STO
CU
SU
KS
IT
LIN
W IT
RS
PROMOTION RESEARCH
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
LI
R
ME
By working through the preliminary stages of reviewing your business and

STEP 4
DEFINING OVERALL researching the market you now have a framework of conditions and
objectives that can be summarised and defined in your overall range strategy.
RANGE STRATEGY
This now provides you with clear direction for practical product development.
TASKS:
Range Strategy
Refer to the template in the Range Strategy Section of the PDP for defining
your own range strategy.
Copy the relevant answers from the Business Review stage and Market
Research stage into the range strategy headings.
Commercial objectives (forecasted turnover for range)
Promotions planned
Target Market Segments
Guidelines from pricing strategy
Overall style and important distinctive elements
Themes/concepts
Social/environmental considerations
Communicate this to the team via a Range Strategy meeting, to
communicate the strategy and to agree on the critical path.
56
Range Structure
Step 56
BUSINESS
PLANNING
IS
RA
CO
RP
S
SI
TE
L
OA
MARKETING
PLANNING
PP
LI
WITH
IN TE RNA L C UST
58
STO
CU
SU
KS
IT
LIN
W IT
RS
PROMOTION RESEARCH
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
LI
R
ME
STEP 5
DEFINING RANGE
STRUCTURE
5a) Managing your
range in product
groups
Now you have a strategy in place for developing your range you can start to
fill in the detail of specifically which products you are going to develop and
how.
You have taken general direction from both the review of your existing business and the market research, however to determine exactly which products
to retain, adapt and develop you need to focus on more internal analysis in
the form of sales analysis and a product review. This analysis could be done
on an individual product basis although it is easier to manage by dividing the
range into product groups.
By structuring your range in product groups, you will create a clearer picture
of what is working and what is not. It will also help you in defining your range
in your promotions to your customers.
Product groups can be defined as groups of products that have the same
overall function or are produced from the same raw material type.
For example in a general crafts range you may have the following generic
types of major product groups:
Ceramics
Stone Carving
Interior Textiles
Metal ware
Basketry
Lacquer ware
Wood carving
The more specific common products within these headings can be called
minor product groups for example:
Ceramics: Vases, plates, cups, bowls etc
Interior Textiles: Cushion covers, bedspreads, curtains, floorcoverings
Basketry: Furniture, storage, matting
Wood carving: Sculpture, bowls, boxes, spoons, candlesticks
Stone Carving: Sculpture, bowls, boxes, frames
Metalware: Sculpture, boxes, candleholders, bowls, frames
Lacquerware: Boxes, decorations, incense holders, frames
59
You may also structure your range by end use or setting of the product rather
than material type. For example a producer of stone, ceramic or wooden items
may structure their product groups as follows:
Major product proup:
Dining
Bathroom
Kitchen
Office
Decorative
household
accessories
The more specific minor product groups within these headings could be as
follows:
Dining: Large plates, small plates, dessert bowls, serving bowls
Bathroom: Soap dishes, toothbrush holders, cups
Kitchen: Storage jars, mugs, fruit bowls
Office: Desk tidies, paperweights, storage boxes, wastepaper baskets
Decorative household accessories: Vases, candleholders, tea lights, sculpture
5b) The importance of

Sales analysis by
product group and by
customer
In order to measure the performance of individual products or product groups it

is important to analyse sales results on a frequent basis.
This process enables you to focus on what sells well. It also offers you the
opportunity to invest in product development wisely i.e. in specific areas where
you are going to see a return. It also enables you to save money and time by
identification and elimination of less successful products.
STEP 5
DEFINING YOUR
RANGE STRUCTURE
TASKS: Defining
Range Structure
Using the list above to help you, decide how you intend to define your product
groups to structure and analyse your range.
You may have an existing computer database that enables you to analyse your
sales by product group and by customer. If this is the case, or you are
intending to set up such a system, consider the questions below and enter you
answers in the Sales Record section of the PDP.
If your computer system does not allow this analysis you can still develop a
simple manual system using this example in the PDP and method
described below.
Identify your major product groups and list them in the Range Structure: Sales
Record section of the PDP in the cells marked product group 1,2 etc.
List all your export customers in the cells marked Customer 1, 2 etc. The
template can be expanded to suit your needs.
Enter the year that you intend to analyse at the top of the template.
(Refer to the working example in the PDP for guidance).
60
Using each of your customers export orders for the relevant year, record the
sales of each major product group ordered, by entering the data in the Range
Structure: Sales Record section of the PDP. This template is designed to
enable you to analyse sales of major product groups by customer. The value is
the amount in dollars/euros for example and the quantity is the units sold.
Once you have compiled the data consider the following questions:
What % of the total sales did each major product group sell during last year?
What was the most successful major product group (in value terms)?
What was the least successful major product group? Do you know why?
Which successful major product areas could be expanded and how?
Which major product groups should be discontinued (if any)?
Using the % breakdown, and the answers to the above, decide how you want
to structure your new range.
Calculate what % of your total turnover you want each major product group
to achieve in your new range.
Enter your answers in the Sales Analysis: major products section of the PDP.
Once you have completed the exercise for major product groups, you could
repeat the exercise for minor product groups. Once you have compiled the data
answer the questions in the Sales Analysis: minor products section of the PDP.
5c) Defining the total

size of your range size
When deciding the number of products in your range you need to consider the
following factors:
There needs to be a sufficient number of products to satisfy the needs of your
customer and to provide a broad opportunity for choice.
There needs to be a sufficient number and balance of products to achieve the
required total turnover and profit.
There should not be too many products otherwise you may not achieve the
minimum turnover/product required to justify the development and
management costs of the product.
There needs to be a sufficient number of products to create a balanced
concept/s and to create impact.
Any changes to pricing strategy have an implication on turnover and profit.
The tasks section in Step 7 will guide you on how to use the above information
to determine the number of new products to develop.
61
5d) Defining the role

of products within a
range
Within a range different products may have different roles. Some of these roles
are commercial and some are not.
For example
Core or basic products: The role of these products is to achieve the
required turnover and required margin. These products generally should
make up the bulk of your range.
Star sales products or star margin products: These products may traditionally
achieve much more volume sales or more margin than your average
requirement.
Range setters: The role of these products is to create the mood of
themes/concepts within the range or the collection. This will be linked to a
specific trend that you are using.
Eye catchers: The role of these products is mainly to attract the attention of
the customer maybe via a new technique or innovation.
If your range is quite utility based i.e. a range of textiles, you may have a range of
core or basics which are complemented by your range setters and eye catchers.
Ideally all the products in your range should aim to realise the turnover and margin
required to justify their development costs and contribution to overall profitability.
However, including some room for other roles is also important. Clever marrying
of these roles is difficult but if successful will result in both a commercial and
dynamic range.
5e) Product collections Within each range you may also have families or groups of products called
collections. These are groups of products that have common elements of
design linking them to each other. This is likely to be how they are decorated,
coloured, shaped or finished.
Collections might be formed in a number of different ways. For example:
The same finish or decorative technique can be applied across a
complimentary range of products.
The same shape and style product can be offered in different sizes.
The same size and shaped product can be decorated in a variety of
coordinated ways.
The same product, finished and decorated in the same way can be offered
in a variety of different shapes.
The following visuals illustrate how these different methods have been used to
form collections:
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Same finishDifferent products
Same decorationDifferent products
Same productDifferent shapes
Same productDifferent sizes
Same productDifferent patterning

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5f ) Pricing strategy
and price pointing
within product
groups/collections
As part of the Business Review and SWOT analysis you have defined your general
pricing strategy. This will guide you on minimum and ceiling prices, and your
overall margin required/product. This will have been based on your business
review and your market and customer research. At this stage you will know if your
products are priced correctly for your chosen target market or if they need to be
reduced or increased. If there is a proposed change, you will need to include this
in your calculations of required number of products/product group in Step 7 as
any broad price changes across the whole product range will have a direct effect
on your revenue.
A price point is where a number of different products are marketed at one price.
The cost of the product may vary slightly but the value of the product is
considered to be the same, therefore it is marketed at the same price. Within
each product group you may have a range of prices but they may fall into a
number of clear groups. These can be developed as your price points.
The benefits of introducing price points are two-fold:
Management is easier and performance clearer to see
The range is easier to communicate to your customers.
LINK: Costing and pricing is explained in detail in Chapter 4.5 of the Export
Planner http://www.cbi.eu (market information: CBI publications: Export planner)
Therefore, in summary dividing your whole range into major and minor product
groups provides a basic structure. Further structure can be created using collections and price points.
STEP 5
PRICE POINTS
TASKS: Price Points
Study the products in each of your product group headings and list the range
of existing prices within each minor product group.
List these in the Existing price points section of the PDP.
Identify if a number of products closely priced could fit with a smaller number
of price points.
Make a note of these in the New price points section of the PDP.
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Product Review
Step 6
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BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
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PROMOTION
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STEP 6
PRODUCT REVIEW
Much of the analysis that you have carried out to this point has been looking
at the objectives of the business, the needs of the market and the performance
of previous product ranges. In your range strategy you will have defined
which general product development direction in terms of market segment,
pricing level, overall style, and main concepts you are working to. You will
also be clear what promotions you are working towards and what
financial/social objectives need to be achieved. Your range structure will have
also defined which product groups and price points you will incorporate into
your range.
6a) Identifying your

most successful
products
Now you need to focus on actual physical products in order to identify the
successful products to keep and the unsuccessful products to replace. This
information will enable you to start building your range. The best way to do
this is to perform a detailed Product Review of your existing range.
The aims of Product Review are as follows:
To identify your most successful products within your existing range
To review why products have succeeded or failed
STEP 6
PRODUCT REVIEW
TASKS: Visualising
or listing your existing
range
Display all the products in your existing export range in your showroom or
sample room, including any new samples that you have recently developed,
or have received from your suppliers. If you have not got the physical space
to do this, collate images of all your existing ranges from your catalogues,
website etc.
Try to group the products in their minor and major product group headings.
TASKS: Sales
analysis by line within
product groups
You have already carried out some sales analysis by major and minor
product group. Using the display or visual above and using the template in
the Product Review: line by Line Sales analysis section of the PDP, create a
list of all the products in each product group heading arranging them in
order of sales value achieved. If possible include the sales achieved for
each product, against the sales forecast.
Calculate the mode, i.e. the most common turnover/product line/product
group.
Refer to the working example in the PDP for guidance.
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TASKS: Identifying
the winners and
analysing the reasons
for success
Identify products that have exceeded their sales forecast by far in each product
group. These are your best selling products, your winners. Put them aside
collating them in product group headings.
If you are working with a visual stick all the images onto a board to produce a
winners visual
If you are working with product samples keep the winners that you have
identified to one side and list them. Also take a photo for your own reference.
Study the successful products and analyse the reasons for their success. You
can do this by answering the following questions:
Do the products really reflect well the style of the business and the style
preference of your market?
Are they particularly in line with seasonal trends?
Are they particularly appealing shape, form, design, function, quality?
Are they at a good price point for your market?
Are they particularly eye catching or innovative?
Do they show off a really interesting technique?
Are they a core or basic product?
The results of this review will indicate the importance of ensuring that the new
products that you develop also meet your range criteria.
You can repeat the exercise by reviewing the products that didnt perform so well.
6b) The importance of

knowing the strengths
and weaknesses of
your existing product
range in relation to
market needs
Now you have visualised your existing range and identified what has worked and
what has not, it is a good idea to revisit your SWOT analysis to check that your
understanding of your product strengths/weaknesses was correct.
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STEP 6:
PRODUCT REVIEW
TASKS: Revisiting your

SWOT
6c) The importance of

knowing the capacity
and situation of your
product or raw material
suppliers
Revisit the results of the SWOT activity, referring to the answers about product
strengths and market opportunities.
Review whether, what you thought were your strengths, have proved to be your
strengths as a result of the sales analysis and Product Review.
If necessary revise your answers to define which product strengths you want to
build on.
If you are considering new suppliers or are expecting to expand your market significantly resulting in larger orders, it is important to also review the capacity of
your supply base. In your Product Review ensure that you only include
products/raw materials in your range where you know that your suppliers are able
to meet your demands. If you dont know this, you need to communicate to
understand if capacity is flexible and can be expanded. You may need to discuss if
you need to find a way of supporting your suppliers to expand or if complimentary or alternative supply bases can be sourced. How you manage this process may
depend on your overall mission and strategy on stakeholder relationships.
As part of the product review you may also want to identify products where you
feel you would particularly like to build business for social reasons, to support the
particular community for example. These products need to be identified at this
stage in order that you can include them in the range building process.
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Range Building
Step 7
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RE: ORDERS
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LOGISTICS
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BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
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STEP 7
RANGE BUILDING
As part of the Product Review you have identified which products have
historically been most successful. These can form the basis of the next stage
in the process of starting to build your range. The essential first stages of the
Range Building process include the following:
Confirming which products could be retained in your range
Confirming which existing products can be adapted
Reviewing new samples
Calculating how many new products that you need to develop
7a) Defining which

products you wish
to retain
If products have proved to be successful and can still meet your business
objectives, and the needs of the market in terms of style, price, quality,
function, trend etc you can retain the product in your range. It is not always
necessary to change the whole of your range each year or season.
Using the Product Review process above has enabled you to use feedback
from customers, market research and sales analysis to identify which products to retain in your range.
7b) Adapting existing

products
If you have already previously retained some of the above products for
several seasons and you feel that you want to retain their strengths but to
give them a fresher look, products can be adapted in a number of ways.
Techniques of doing this, and information to use will be explained in Step 10.
7c) Reviewing new

innovations, new
samples, new
suppliers
The product review focused on your existing range. If you do not actually produce products yourselves, but source products from craft or textile producers
for example, you may have received samples or images, or information about
new products or new techniques and innovations that they have developed. If
you are a manufacturer yourself, at this stage you need to research any new
innovative raw materials/fabrics etc that you could introduce to your range.
This may mean requesting images or visiting your producers or raw material
suppliers.
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STEP 7
RANGE BUILDING
TASKS: Identifying
products to retain
Study your winners from your Product Review. Identify if there are existing
products that will still continue to meet the needs of the market. This may
relate to specific product requests from customers, particular trends in
shape, colour, finish or function.
Select these products and put them aside. These may become your
retained products or the products on which you build or develop new
products.
List these products in the Range Building: retained products section of the
PDP.
TASKS: Identifying
products that you
want to adapt
List successful products that you want to adapt and refresh in the Range
TASKS: New samples
Review any new samples that you have received or that you have selected
from your meetings with suppliers. Ensure that you view them carefully
assessing if they can meet your range strategy aims. Revisit these aims
whilst you are looking at your new samples.
List the products that meet all your needs in the Range Building: new
products section of the PDP.
TASKS: Calculating
turnover achievable
with the above
Against each product listed enter the Fob price, the estimated quantity
which you think you will sell considering growth factors etc, the forecasted
turnover, margin and profit. (Refer to your sales record from Step 5 to
forecast your quantities).
Calculate the total turnover/profit that you can achieve with retained,
existing, adapted or new samples for each major product group.
Building: products to be adapted section of the PDP.
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7d) Calculating the

number of new
products that you need
to develop
Now you have established approximately which and how many products you
intend to keep in your range, you can calculate approximately how many new
products you will need to develop to achieve your desired turnover/profit.
STEP 7
RANGE BUILDING
TASKS: Calculating
the number of new
products that you
need to develop
Refer to the % of total turnover that you want to achieve/product group

calculated in Step 5.
Subtract the total figures for each product group calculated in the
previous task, from the total turnover that you are forecasting for each
product group.
The remaining figure is the turnover that you need to create with totally
newly developed products for each product group.
Divide the above figure by the mode calculated in Step 6 (ie the most
common turnover previously achieved) or desired minimum turnover per
product to calculate the number of new products that need to be
successfully developed in each product group.
Enter your figures in the Range Building: new products required section of
the PDP.
Remember that you will need to initially develop slightly more products
than you ultimately require as they may not all be successful.
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Range Planning
Step 8
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PRODUCTION
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ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
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LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
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MANAGEMENT
PRODUCT
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STEP 8
RANGE PLANNING:
8a) How range
planning will lead to
focused and
managed product
development
The steps that you have completed so far have enabled you to arrive at a very
firm plan of what products need to be developed for what reasons. You will
find by working in this very focused way you will reduce the amount of work
and therefore money that you are spending on product development.
Range planning is about creating an action plan for design development in
relation to planned promotional activity in order to achieve a desired revenue.
However developing a product range is not an exact science. You will also
need to apply your own creativity and flexibility.
8b) Collating products

into new concepts
During Step 2: Market Research you created concept boards to form the
direction for your new range. You can now use these concept boards to collate the products that you have listed and reviewed into themes or ranges.
These will then form the basis of your new range.
8c) Identifying starting

points for collections
At this stage it may be that there are also products or raw materials or
innovations that can form the starting points for new product development
and new collections. Referring back to Step 5e about product collections you
can now also use your retained products, new products and your products
to be adapted, to identify if there are suitable products/techniques for building small collections.
STEP 8
RANGE PLANNING
TASKS: Range
Planning
Using your concept boards and the lists that you have created above, group
any of your retained products, your products to be adapted and your new
product samples into the new colour themes/concepts.
List these products in the relevant part and the relevant product group
heading of the Range Plan section of the PDP.
In the Range Plan, include details of how you intend to adapt existing
products.
List any new products received that will provide good starting points in the
Range Plan: starting points section of the PDP.
Review your retained products, new products, your products to be
adapted, and your starting points to identify if there are suitable
products/techniques for building small collections. List these in your Range
Plan: starting points for collections.
Enter the number of new products required (calculated in Step 7) in the
Range Plan.
Having calculated how many products you need in each product group
during Step 7 you will now be able to calculate how many new collections
need to be developed. Enter the details of which collections you intend to
develop in the Range Plan section of the PDP.
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Developing the
Design Brief
Step 9
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TRACKING
CUSTOMER LIAISON
RE: ORDERS
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RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
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LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
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PROMOTION
M ERS
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STEP 9
DEVELOPING THE
DESIGN BRIEF
The importance of
describing the
desired objectives of
a product/product
range to a designer
Whether you are designing products yourself, or briefing another either

in-house designer or external designer, you will need to be very clear about
the requirements of your range plan. As you have put so much thought and
analysis into the process it is very important that this is fully communicated
to the designer. Working in a vacuum is impossible for a designer. Designers
need to have creative flexibility but within given parameters in order to create
what you have clearly envisaged. This can be achieved by creating good
quality design briefs.
The design brief can be either developed for individual products or for
product collections. It should include all the relevant details of a product i.e.
theme, colour palette, finish, price, dimensions, technical requirements,
legislation etc.
During the briefing it is also essential to communicate the details of the
critical path in order that there is an agreed point of contact and agreed
deadlines for the process.
STEP 9
DEVELOPING THE
DESIGN BRIEF
TASKS: Design Brief
Start by presenting the themes/concepts and describing the relevant

planned promotions for a range to the designer.
In order that the designer understands how any new products need to fit in
with the whole range, this should be followed by discussing the range plan.
Refer to the template and working example of a design brief in the PDP.
These should be completed for each new range or product adaptation
required.
The design brief template includes agreed deadline dates.
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Design and Sample

Development
Step 10
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PRODUCTION
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ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
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LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
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STEP 10
DESIGN AND
SAMPLE
DEVELOPMENT
If you are intending to develop new products in house the following
10a) Building on
successes:
Adapting existing
products, developing
new products and
forming collections
During Step 6 you identified winning products that meet your requirements
provides basic guidelines on how to develop existing, adapted or new

products.
but require refreshing to meet with current trends. These products are
included in your products to be adapted list.
The first phase of your design and sample development can focus on which
existing products are going to be adapted. There are a number of ways of
doing this. These include:
Changing the colour
Changing the size
Changing the form/shape
Using different raw materials
Improving the quality
Adding decoration/pattern
Changing the finish
Changing the texture
Adding extra parts
The following illustrations show how one simple product such as a picture
frame can be developed into any number of different looks and how trend
can influence the product developed.
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Starting point
Classic simple silver frame
Change the finish
Change the material

Change the Shape
Change the format
Introduce trend
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STEP 10
DESIGN AND
SAMPLE
DEVELOPMENT
TASKS: Adapting
existing products
Using the list in your Range plan, review each product to be adapted and
answer the following questions:
Do you need to change the colour?
Do you need to re-size?
Do you need to change the finish?
Does the adapted product form the start of a collection?
What other products can be added to this successful product to develop a collection?
How can the design features of the existing product be applied to new products?
E.g. technique, colour, finish.
TASKS: Developing
new products and
forming a collection
Using the starting points list in the PDP, identify if there are new product
ideas/innovations/techniques that you would like to develop further.
Refer to your Winners visual to remind yourself of existing best sellers.
Collect research materials that you collated in Step 2.
Refer to your storyboards.
Define your product/product collection idea.
Experiment with the new technique to get it right.
If you are hoping to develop these new products into a collection begin the
sample development process by working on the first product of the collection.
This might be the largest or most eye catching item within the collection. It can
be called the head of collection.
Sketch shape of head of collection.
Finalise shape of head of collection.
Make detailed drawing with dimensions.
Apply other design elements i.e.. what colour, finish etc. (You may want
to try a few variations).
Finalise and cost head of collection.
When you have successfully finalised the head of collection you can begin the
process of developing the remaining products using the same technique, style,
colour, finish etc to build the collection, and following the same step-by-step
approach as described above.
(Refer to the visuals in the working examples in the PDP for guidance)
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10b) Export costing

and pricing
Once you have developed your first set of samples you will need to cost them as
part of the evaluation process.
LINK: Costing and Pricing for Export are explained in detail in the CBI Export
Manual Chapter 4.5. http://www.cbi.eu (Market information: CBI publications;
Export Planner)
10c) Testing
If these are new products at this stage you may want to perform some technical
tests such as wash/ colour fastness, nickel or lead content etc. You may need to
make duplicates to perform such tests.
LINK: More information and details about legislation and testing are provided on
the website http://www.cbi.eu (market information: CBI data base; Market
access requirements)
10d) Evaluating first

samples
Once you or your designer has developed the first set of samples according to
your range plan, these samples need evaluating before continuing with
developing the remainder of the range. Refer to the questions in the tasks
section overleaf.
10e) Revising first

samples if required
Once you have completed your evaluation of the first set of samples you may
need to make alterations. You need to ensure that you have sufficient time for
this part of the process. Once you have made the alterations you will need to
evaluate the samples again.
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STEP 10
SAMPLE COSTING,
TESTING AND
EVALUATION
TASKS: Costing and
Testing
TASKS:
Sample Evaluation
Cost each of your samples following one of the methods described in the
Export Manual.
Ensure that you test relevant products to ensure that they meet legislation/
market requirements.
Evaluate your samples using the following questions as guide lines
Do they meet your objectives and expectations?
Are the products fit for purpose?
Do they fit the look of the range?
Are they durable and of suitable quality?
Do they come in to cost?
Do they meet legislation requirements?
Decide if and how which products need to be revised.
Re sample and re- evaluate to ensure that your samples meet all the above
objectives.
10f ) Packaging
Packaging can be developed solely for transit purposes or as a component of

the product. The purpose of this component packaging may be for display
purposes, for containing a number of products together or for branding
purposes. The following photographs illustrate the type of packaging/ticketing
that you might want to consider. In these examples packaging enhances the
product or products.
If you need to develop specific packaging you may also need to brief the designer
to develop this for certain products or product collections. Once the packaging
is complete you will need to cost it and add it onto the final sample costs of
relevant samples.
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STEP 10
PACKAGING
TASKS: Packaging
Consider if display/branded packaging is going to be developed as part of the

product.
Use the same Design Brief format used in Step 9 to brief designers for specific
packaging.
Cost packaging samples and add it onto the final sample costs of relevant
products.
Evaluate the suitability of the packaging samples using the questions as above.
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Product Selection
Step 11
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TRACKING
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RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
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LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
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STEP 11: PRODUCT

SELECTION
11a) Final product
selection
When all the samples for each collection are made they need to be reviewed as a
whole range and in relation to each of the promotions planned. You need to
review them in relation to your original objectives, and also ensure that they are
visually appealing together as a range. This will ensure that you have a correctly
sized, structured, and cohesive range that is eye catching to your customer. You
may need to eliminate some samples or collections if they dont really meet your
objectives or dont work with the rest of the range. You can use the questions in
the tasks section to help you make your final selection.
11b) Final pricing
Once you have established your final product list and all the sample costs including packaging etc you will need to calculate final wholesale prices.
LINK: More is explained about the different approaches to pricing for export in
the CBI Export Manual Chapter 4.5 http://www.cbi.eu (market information: CBI
publications; Export Manuals)
11c) Finalising product

descriptions, coding
and price lists
Once you have made your final selection as per your range plan you need to list
each product or enter each product on to your database. Each product should be
given a product name and a product code.
This is essential for your own management needs but also enables you to clearly
communicate with your customers. This starts to form the basis of your new
price list.
You may also want to structure your product list by theme, and within theme also
by product group.
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STEP 11: PRODUCT

SELECTION
TASKS:
Product Selection
Using your completed Range Plan, Promotional plan and your storyboards
collate all existing and new samples together.
Review the various options that you have sampled.
Use the following questions to help you finalise and select the range as per
your Range Plan:
Do these samples fit the requirements of the brief?
Do these samples fit customer requirements?
Do these samples meet your objectives and expectations?
Are the products fit for purpose?
Do they fit the look of the range?
Are they durable and suitable quality?
Do they come in to cost?
Do they meet legislation?
How does the whole range work together?
Are all the important roles of products included?
Is the range balanced?
Select your final range as per your range plan, eliminating products that dont
meet your objectives.
Make your final product list.
Calculate final wholesale prices.
List each product or enter each product on to your database.
Each product should be given a product name and a product code.
93
Range Presentation
Step 12
BUSINESS
PLANNING
IS
RA
CO
RP
S
SI
TE
L
OA
MARKETING
PLANNING
PP
LI
WITH
IN TE RNA L C UST
95
STO
CU
SU
KS
IT
LIN
W IT
RS
PROMOTION RESEARCH
PROMOTION PLANNING
PROMOTION DESIGN
+IMPLEMENTATION
LIAISON
NEW CUSTOMER
DEVELOPMENT
PRODUCTION
PLANNING
ORDER PROGRESSING/
TRACKING
CUSTOMER LIAISON
RE: ORDERS
SUPPLIER LIAISON
RE: ORDERS
QUALITY ASSURANCE
LOGISTICS
KS
LI NKS
BUSINESS REVIEW
MARKET RESEARCH
CRITICAL PATH
RANGE STRATEGY
RANGE STRUCTURE
PRODUCT REVIEW
RANGE BUILDING
RANGE PLANNING
DESIGN AND SAMPLE
DEVELOPMENT
PRODUCT SELECTION
RANGE PRESENTATION
PRODUCT
RANGE
PROMOTION
M ERS
ON-GOING
PRODUCT
RANGE
MANAGEMENT
PRODUCT
AND RANGE
DEVELOPMENT
LI
R
ME
STEP 12: RANGE

PRESENTATION
12a) Ensuring that you
have selected the right
products for each
promotion
As part of your promotional strategy you will have already selected which and
what type of promotions you are intending to carry out for promoting your new
range. These may include product sheets, catalogues, cd catalogues, a website,
attendance at a trade fair or a marketing tour. At this point you need to ensure
that you have developed and selected products from the range that are
appropriate for each of the promotions that you plan to do.
It may be for example that you do not present the whole range in all of the
promotions. You need to look practically at how your products have come
together and what products are suited to each type of promotion. Where you are
required to be selective during a marketing tour for example the promotion can
be supplemented with a cd showing the whole range.
12b) Displaying your

range
In all cases you need to ensure that the products are either clearly displayed or
photographed in their themes, and within their collections. You need to reflect
the structure of the range in the way that you display your products. The display,
whether it is in a trade fair or a catalogue needs to reflect the mood and feel of
the range and to convey clearly your company identity. Products need to be clearly
seen and clearly identifiable by a code in all cases.
The following Links to existing CBI manuals provide advice on different types of
presentation.
LINK: More information about promotion and presentation is available in the
Export Planner Chapter 4.8, Your Show master, the CBI Manual for fair participation and Your Image Builder. http://www.cbi.eu (market information: CBI publications)
Examples of good presentation of gifts and homeware products can be viewed on
http://www.parlaneinternational.co.uk (showroom tour) and
http://www.sia-homefashion.com
96
12c) Supporting
promotional material
The product display needs to be complemented with supporting promotional

material. This may be in the form of company brochure/background information
explaining who you are and what you are about. It is also useful to include background information about the products ie. techniques used. Large photographic
images are increasingly important as promotional tools of craft and interiors
images illustrating how products are made or in which environment they can be
used for example.
You may also include a description of each of the ranges and the mood that they
are conveying and most importantly an easy to understand price list needs to
accompany your display or presentation. Additional product enhancing material
may include packaging or swing ticketing explaining more about the product.
97
12d) Targeting and

approaching new
customers
This guide has guided you through the process of understanding your business,
researching the market, identifying the needs of your target market and
developing products accordingly. Now you have fine- tuned your range it is
essential to complete the final hurdle by promoting it to the target market.
Different buyers like to be approached in different ways however generally what is
important, is to stand out from all the other contacts that they may get on a daily
basis. Producing distinctive products that are priced appropriately, can be
produced to a consistent good quality and delivered on time is what is most
important! Promoting your distinctive designs either by quality samples, or a
quality cd/web or trade fair promotion will catch the eye of your market. However
clearly communicating all the other benefits of buying from you, opposed to your
competition is equally important!
STEP 12: RANGE

PRESENTATION
TASKS:
Range Presentation
Select which products are to be included for your main and supplementary
promotions.
Plan how ranges and collections within ranges are to be displayed or
photographed ensuring that you promote the structure of the range accordingly.
Keep your products in your themes.
Ensure that all products are coded and priced and supplemented with an
accurate price list.
In the case of a trade fair always allow enough space to do your range justice
and allow enough room to move and to talk to customers!
Develop complementary material to promote your range e.g. company profile,
background to technique of producers etc., images of production etc.
In the case of a trade fair, plan how this complementary promotional material
is to be included in the stand display.
Refer to the results of your market research and customer information to
identify how particular customers with whom you already have contact prefer to
be approached.
Ensure that you support each of your planned promotions with an action plan
for making new customer contact.
If you are intending to attend a trade fair plan to target relevant potential
buyers with invitations to your stand.
Try to pre-arrange meetings if possible.
If you are planning a web or cd promotion, plan an email promotion to advise
target customers of your range with a relevant web link.
98
12e) Requesting
feedback
information to start
the cycle again!
Once you have started your discussions with your buyers it is also important to
receive feedback on your new range. What worked for them? What didnt work?
All of this information will start to build up a picture and will become essential
information for your next range development when the cycle begins again! To
help you a template feedback form has been included in the final section of the
PDP.
SUMMING UP!
You have now completed Your Guide to Product and Range Development! By
following this step by step approach you will have developed a comprehensive,
creative, informed system of developing your own product range. By incorporating
all the different steps into the process your product range will reflect your company mission and style, will satisfy customer needs, and will be in line with market
requirements and trends. By analysing your business and by using the research
activities you will also be able to take advantage of the opportunities and safeguard against the threats that exist in the market place.
By completing the process you have experienced using the various management
tools that the workbook provides. These can now be introduced into your
business for use on an ongoing basis. The tools, information, the visuals and
the system described, will hopefully continue to be used season after season to
support you in your on-going cycle of successful and creative product
development.
99
CBI: Your European Partner for the European Market

The Centre for the Promotion of Imports from developing countries (CBI) was established in 1971.
CBI is an Agency of the Ministry of Foreign Affairs and part of the development cooperation effort of The
Netherlands.
Mission
CBI contributes to the economic development of developing countries by strengthening the competitiveness of
companies from those countries on the European (EU & EFTA) markets.
CBI stimulates and supports economic activities that are sustainable, socially responsible and environmentally
sound. This implies compliance with international social standards, more specifically ILO Conventions, and
European consumer health, safety and environmental requirements. Requirements are both legislative and market driven. CBI works with clients who subscribe and strive to comply with these standards and requirements.
Competencies
In order to accomplish its mission CBI concentrates on five core competencies. These are:
Market knowledge
CBI has an intimate knowledge of the structures, characteristics, developments and requirements of
markets in the European Union.
Product and production improvement
CBI is able to provide technical assistance in improving products and production processes that
contribute to the competitiveness on the EU markets.
Quality control
Quality is of main concern to the consumers and end users in the European Union. There are multiple
rules, regulations and standards on quality (originating from) stipulated by the European Union, national
governments, trade & industry, non-governmental organisations, etc. CBI is able to coach exporters and
business support organisations in meeting the requirements in this regard.
Export marketing and management
CBI is able to provide technical assistance and training on improving export marketing and management
knowledge and skills within companies.
Market entry
Through its knowledge of the markets and its long year experience CBI is able to provide guidance and
market entry services to companies in gaining access to, maintaining and expanding market share on the
EU markets.
For disciplines beyond our core competencies, CBI cooperates with various other specialized organizations.
Disclaimer
CBI market information tools

Although the content of its market information tools has been compiled with the greatest care, the Centre for
the Promotion of Imports from developing countries (CBI) is not able to guarantee that the information provided
is accurate and/or exhaustive, and cannot be held liable for claims pertaining to use of the information.
In the case of the market publications, neither CBI nor the authors of the publications accept responsibility for
the use which might be made of the information. Furthermore, the information shall not be construed as legal
advice. Original documents should, therefore, always be consulted where appropriate. The information does
not release the reader from the responsibility of complying with any relevant legislation, regulations, jurisdiction
or changes/updates of same.
The information provided is aimed at assisting the CBI target group, i.e. exporters and business support organisations (BSOs) in developing countries. It may, therefore, not be used for re-sale, the provision of consultancy
services, redistribution or the building of databases, on a commercial basis. For utilization of the CBI market
information tools by the CBI target group on a non-commercial basis, the condition applies that CBI is referred
to as the source of the information. All other use is prohibited, unless explicitly approved in writing by CBI. All
images used in the guide have been selected for educational purposes only.
This Guide was designed and written by Aileen Brindle Tel: 44 (0) 1943 880595 email: aileenbrindle@tiscali.co.uk
With thanks to:
Henrique Hazelaar (CBI), Antionette Gast (Tuyu) and Carla Peters for their helpful remarks throughout the
development of the Guide
Claire Wright for creating the beautiful illustrations in the example section of the workbook: Step10
CDA Advertising & Print for artwork preparation: http://www.cda-ltd.co.uk
Designed and written by Aileen Brindle for CBI

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Your Guide to

Product and Range

Designed and written by Aileen Brindle

The aims of the guide

Background and Explanation

2a) The importance of understanding the market

Creating a critical path

Defining overall range strategy

5a) Managing your range in product groups

6a) Identifying your most successful products

7a) Defining which products you wish to retain

The importance of describing the desired objectives of a product/product range

10a) Building on successes: adapting existing products, developing new

11a) Final product selection

YOUR GUIDE TO PRODUCT AND RANGE DEVELOPMENT

This guide provides you with a comprehensive step-by-step approach to the

Successful product development for export requires skilful planning to ensure

Product development is the process of creating, adapting or changing a

How does product

Fig 1 The Wheels of Business overleaf illustrates how product development

FIG 1: THE WHEELS OF BUSINESS

As Product Development is an integral part of the whole business manage1a) Understanding

Branding is one way in which successful businesses communicate their identity.

Traditional products that have

Traditional Ethnic products may

Classic products are generally simple,

Contemporary products are

Contemporary Ethnic products

Eclectic products from a variety of

1c) Defining current

Whilst reviewing your business, if you are planning future expansion it is

1d) SWOT analysis

1e) Defining desired

As well as understanding how you have arrived at your current position it is

Revisit your mission statement to consider the following questions:

Consider the following questions to define your desired position in

In order to continue to satisfy the needs of your existing customers it is

2c) The importance of

2e) Identifying trend

We live in a very competitive market. There is increasing competition for well

2g) The importance

2h) The importance

2i) What makes a

Trends in fashion or home interior products emerge as a result of a number of

THE TRANSFER OF TRENDS

inspired by our natural

2j) Researching trend

LINK: You can also access fashion forecasts via

2k) The development

2l) Defining Market

Creating a Critical Path

By working through the preliminary stages of reviewing your business and

5b) The importance of

In order to measure the performance of individual products or product groups it

5c) Defining the total

5d) Defining the role

Same finishDifferent products

Same decorationDifferent products

Same productDifferent shapes

Same productDifferent sizes

Same productDifferent patterning

6a) Identifying your

6b) The importance of

TASKS: Revisiting your