Google Innovation And New Product Management

Google products do not fair well on the marketplace or do not reach the market by any means as they would have failed through the trial periods because they barely follow the proper steps in new product development. Which means question Google needs to ask itself before embarking on a job is whether or not a product is what the client needs because the particular engineers want to develop is not necessarily what folks need. Therefore set up and analytic approaches to innovation have been proven valuable in new product development. It is important to highlight the need for customer's input as they work as a fresh group of eyes. Google should continue to encourage a steady blast of new product possibilities from their designers while social networks could be utilized to dialogue with customers and get new ideas.

Google will need Innovation management where there is the discipline of handling procedures in innovation which can be used in the introduction of both product and organizational creativity. Innovation functions can either be forced or taken through development. Instead of just having some strategies and starting them, Google could also adopt some invention styles within their development management.


I 4

Question II 10

Conclusions 14

References 15

Appendix 16

Question I

Discuss and suggest some possible application concerns when developing a new product development strategy for Google.

In general, expanding services is usually expensive and high-risk. Nearly all new product innovations aren't successful. In Australia for occasion, 95% of private innovations never reach the marketplace (Walker, 2004). Google is evidently aware of this reality because the majority of its products do not fair well on the market or do not reach the market in any way as they might have failed during the trial stages.

It is needless to say that the high inability rate should not discourage companies from producing new products because customers eventually lose interest in once popular products, especially if competitors introduce more attractive products. Yahoo is evidently alert to this fact because of the high rate of new products that they present onto the internet hence providing a great diversity of products with the hope that one of them will do well. This, however, says a lot about Google's new product development strategy even though they have a lot of products.

Looking at Yahoo products and just how they are doing things it is apparent that Google rarely follows the correct steps in new product development this is the reason why a few of their products do not do well.

Companies often bring in new services on the basis of employees' subjective opinions on if the product will achieve success (Zeithaml et al, 2009), which is the truth with Google as mentioned by Marissa Mayer. This isn't good as it only includes the views and needs of the actual employees think the clients want rather than exactly what the customer needs.

(Image1 source: http://answers. google. com/answers/answers-logo-sm. gif)

For example Yahoo had something called Yahoo Answers in which a person would ask a question for a given amount of money and experts in the field would answer fully the question. This service was of course terminated in 2006, but was it necessary in the first place to have such a product? No it was not specially when one had to cover it. There are so many other services online where you can get expert help for free.

Therefore the question Yahoo needs to ask itself before getting into a job is if a product is exactly what the customer needs because the particular employees want to build up is not necessarily what people need.

Structured and analytic approaches to innovation have been proven valuable in new product development (Zeithaml et al, 2009). Corresponding to Elliot and acquaintances, (2008), there are seven recognised phases of the new product development process, specifically; idea generation, verification, concept assessment, business analysis, product development, test marketing and commercialisation. These is highly recommended by Google for its product development strategy because this will ensure that their products do not end up being null and void or being removed or thrown out.

(Image 2 source: http://lostgarden. com/uploaded_images/StageGate-GreenLight-Diagram-708507. jpg)

Google likes to have a great deal of products thrown into the market and expect the best (Image 2). With this idea in mind Yahoo can still do that because a few of the stages in product development can be conducted all together since products advance extremely fast hence they can have many products that succeed instead of having one or two that make it (Image 3).

(Image 3 source: http://lostgarden. com/uploaded_images/StageGate-Gate-Diagram-717771. jpg)

Idea generation identifies the procedure of seeking product ideas. The ideas may emanate from external or internal sources. Internal resources include employees of the organisation while external options are usually customers, opponents, advertising firms, research organisations etc. The interview discloses that Google runs on the lot of interior sources because of their idea generation. They are important because they can identify organisational issues necessary for the introduction of the product. It really is however, important to include customers in idea technology, 'specifically in situations in which the customer personally bears out part of the service process. ' (Zeithaml et al, 2009). That is something that Yahoo has flipped a blind eyeball on. They fail to realise that in up to they would like to have cutting edge products, customers are the driving force to making the product leading edge. Customers, hence, have to be area of the idea technology of something not after the product has already been made open public (as shown by the client responses system on the merchandise in question).

Therefore Google should continue steadily to encourage a reliable blast of new product choices from their technicians (inner source) while social networks could be used to dialogue with customers and get new ideas like that they don't neglect the exterior sources.

In up to Google's product releases seems arbitrary, Haqlund et al (1995) would approve of the obvious confusion at Yahoo as they believe creativity requires improvisation, anarchy and internal competition, which results in 'both a planned process and a taking place. ' Google does need a lttle bit of company by implementing the new product development process to be able to keep their product development and releases in check.

Idea screening refers to the research of product ideas in which the nature and desires of buyers are evaluated. No idea screening process is performed by Yahoo they just do it, the designers just give suggestions around a specific idea and they take the suggestion and incorporate it into the given idea and begin working on it without top management acceptance and without proper screening of the theory to see if it is indeed feasible and or appropriate and whether or not it will be accepted on the marketplace after it's been lunched. This escalates the probability of producing something that the customer does not need. They might want it and do it now when it is launched but after a brief period of time the user realises that they do not need the product and hence living of that product is shortened.

(Image 4 source: http://www. accelerantresearch. com/images/product-dev/product-dev1. jpg)

Some of the merchandise need to undergo the verification process so as to know whether or not the product will be maintainable or upgradable. Now if Yahoo had to screen their ideas before hand (as shown in Image 4) then some of their products would have prevailed or wouldn't normally have been launched at all because there are a few products that Yahoo has that are not necessary.

Now judging from the actual interviewee said about some designers who get sick and tired of focusing on the same task, it is of paramount importance to once more highlight the necessity for customer's insight as they function as a fresh group of eyes. Customers will look at the same product in different ways and be able to suggest something new that can be done.

Concept testing involves presenting the idea to an example of customers which enables the organization to test potential customers' reactions prior to the product can be launched on a sizable scale. Where Beta Evaluation and Market Evaluation is concerned Yahoo does; however, utilize this strategy on a few of its products.

(Image source: http://i. zdnet. com/blogs/rockmelt_browser_facebook_logo. png and http://cogadget. com/cogadget/photos/logo/google_chrome_logo. jpg )

For example in the case of RockMelt, it is a Google product that appears like Google stainless but suits facebook fans who can see the proceedings using their friends in real-time and on a regular basis. Google has made a decision to test the merchandise by mailing it to a few people and allowing those individuals to invite their friends to make use of it by giving an individual a certain variety of invites and with each individual that installs it the invites issued are increased. This is a good strategy because not only will Yahoo get feedback on how to boost RockMelt but they also know by the quantity of people that set it up and request others if it will be a success if launched officially.

If Yahoo were to implement this strategy on a large amount of products then it would be easier to know which products to keep and establish on a larger size as well as which products to scrap off. Based on the interview with Marissa Mayer, they does the same thing with Gmail by mailing invites to people to use Gmail and because of this Gmail is currently widely employed by many and hence became and still is successful. It now competes with other email services such as Hotmail and Yahoo! RockMelt now gets the chance to become better than Yahoo Chrome and also other internet browsers since it continues to be in its tests phase.

At the test marketing stage, the product is released in limited amounts, to check customer reactions while minimizing the chance of product inability. Product failure could lead to the company's loss of credibility which is false with Yahoo since it is well known that folks still try out Google products no matter their failing.

At the commercialisation phase modifications are created based on the test marketing studies. Full scale marketing is then done. In the internet industry, steady marketing may allow competitors to quickly enter the same target market with similar products. Google is evidently not too concerned about this prospect hence Google Labs.

Therefore in as much as Google has utilized the strategy of just dumping their products with the expectation of at least one success, they can have a more organised strategy whereby you can find assurance of at least majority success rather than minority success.

Question II

In this highly competitive online environment, demonstrate how Google better manage advancement within the business to stay before its competition in the internet industry?

Google needs to have Innovation management in which you have the discipline of managing functions in innovation which can be utilized in the development of both product and organizational innovation. Google will need to allow professionals and engineers to cooperate alongside one another knowing the goals and the operations of the development of a fresh product. Google can ensure that the main concentrate of invention management is to allow response to exterior as well as inside opportunities in which creative attempts to bring in new ideas are used (Kelly, and Kranzburg, 1978).

(Image 6 source: http://www. ucd. ie/nitm/images/graph1. gif )

Google already understands that innovation management requires personnel at every level in adding creatively to a company's development and therefore do not stop the creativity of engineers who have input on a new product. What Yahoo needs to do now is to activate and deploy the creative juices of the designers towards the ongoing development of the merchandise. The process they can choose can be that of an evolutionary integration of strategy, technology and procedures (Tidd et al, 2009) because successful innovation management is effortlessly multi-functional and matches a deep understanding of individual needs and needs to a distinctive technical capability hence the integration of customer ideas as well as engineer's ideas (as observed in Image 6).

Innovation processes can either be forced or taken through development. A forced process is dependant on existing or newly created technology, that the business has usage of, and will try to find profitable applications to use this technology (Trott and Paul, 2005). It is evident that Google does take up the push strategy but not for many products. If Google is to be ahead in the internet industry these are to make sure that the products that have made it are continually developed one of the ways in which Yahoo can do that is to go ahead with the idea of merging some products along to make one product.

A drawn process tries to find areas where customers' needs are not met, and then focus development attempts to find solutions to those needs (Trott and Paul, 2005). Instead of trying to contend with existing products on the market by deploying a new product that is indistinguishable or has similar functions, Google must use their comments from customers system to get ideas on what the clients need so that they bridge the gap and therefore their products are more successful. In order to achieve this Google also needs to have a team that has both technical engineers as well as marketers who are touching the client needs so that both the technically creative things can work hand in hand with the customer requirements hence creating a successful product which inturn places Google before its competitors.

In order to stay before its rivals in the internet industry Yahoo needs to make certain that the merchandise that they are offering online are valuable and meet the need of the client. If the customer has a much better alternative to that being made available from Google they will leave the Google product and go the merchandise provided by the competitor and therefore the failure of a Google product.

With the encouragement of new products at Google, they ought to make sure that the services are indeed new and relevant, such as Yahoo Docs where people can create spreadsheets as well as develop surveys, etc. This is a dependence on anyone who moves online which is very convenient and therefore in that area Google will most likely remain the lead. Therefore the product characteristics meet up with the customer needs and are an advantage over fighting products with scientific sophistication (Zeithaml et al, 2009).

Even though their technicians may feel tired of doing a similar thing they ought to still maintain the existing products which may have been successful so that they remain successful. This is because innovation is a continuous process. It does not end at the marketplace acceptance however the product needs to be continuously improved upon. Therefore Google must have strategy characteristics where there are dedicated human resources to aid the effort as well as dedicated research and development focused on the new product initiative (Zeithaml et al, 2009). Just like they continue to improve the internet search engine, they also needs to seek to boost Gmail such that it does not merely contend with Hotmail and Yahoo but should really be better than them.

(Image 7 source: http://emekaeme. files. wordpress. com/2007/08/innovartis001-001. png )

The more Google has products that are relevant the greater they become less of an follower in the industry hence becoming leaders (as illustrated in image7).

Instead of just having some creative ideas and introducing them, Google may possibly also adopt some creativity styles within their creativity management. Google must have people who like to imagine just what a product must entail and should idealise (Visioning). They also needs to have people who try the ideas or even the combination of ideas and then produce results to which they may use to improve a product idea (Experimenting). Changes ties in with the tests as the results are being used to modify the product that has already been created (Modifying) and from then on is done then they later on look for new options to project into in order to remain in advance (Discovering).

(Image8 source: http://innovationstyles. com/isinc/Themes/default/images/Common/is_chart. jpg)

Therefore Yahoo can implement many of these applications where innovation management is concerned in order to remain ahead in the industry.



CLARK, CHARLES H. 1980, Idea Management: How to Motivate Creativity and Innovation, NY, AMACOM.

ELLIOT, G, et al, 2008, Marketing: Central Concepts and Applications, John Wiley & Sons, Australia

HAQLUND E, L, and MATTSON, J, 1995, Evaluation, Planning, Improvisation and Control in the introduction of New Services, International Journal of Service Industry Management, Vol. 6, Concern No. 2, pp. 34-35

KELLY, P. and KRANZBURG M. , 1978, Technological Innovation: A CRUCIAL Review of Current Knowledge, SAN FRANCISCO BAY AREA, San Francisco Press.

TIDD et al, 2009, Handling Development: Integrating Technological, Market and Organizational Change, 1st model, Chichester, Wiley

TROTT and PAUL, 2005, Innovation Management and New Product Development, Prentice Hall.

WALKER, J, 2004, A Step Prior to the Future, BRW, 17 June, pp. 54

ZEITHAML, V, A, et al, 2009, Services Marketing: Integrating Customer Concentrate Across the Organization, McGraw-Hill

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