A Light Bulb That Never Burns Out, Essay Example

Idea Generalization

Current research shows that many companies lie about their light bulb efficiencies. They lie about their longevity of the bulbs and their overall power output. This calls for new ideas that would help households to cut on their monthly electricity bills. This idea will discuss the extent to which electricity bill varies with little changing of bulb at domestic level. This study is directed to small families in rural areas who are struck with the ever-increasing charges in electricity. Most bulbs used today in the US’s rural settings are incandescent and halogen bulbs. They have a power output of 100 watts although this is never achieved. On average, each bulb consumes $18.62 of kilowatt-power per month during winter. To reduce this cost, Light Emitting Diode, LED, bulbs will be fitted with miniature-internal fuses. The advantage of LED bulbs is that they burn the coolest, are most efficient, and have the longest life of about 25 years. Inclusion of a fuse in their circuitry will ensure the diodes do not burn out due to power surge. The fuse will burn out and break the circuit to prevent the destruction of the diodes. Additionally, their energy consumption will be lower, $5.17, in comparison with incandescence and halogen bulbs.

Concept Testing

The credibility and effectiveness of this idea will be tested to ensure that the bulbs have a ready market. The company will embark on both qualitative and quantitative methods to evaluate the response of the customers towards the new product. This stage is essential in altering the attitudes of the customers towards the existing products. Customers will be given time to evaluate the usefulness of the bulbs which have certain rational advantages, such as, “a bulb that  burn forever, but saves on electricity cost,” or other non-rational advantages, such as, “a bulb that provides natural light”. Concept testing will be performed using personal interview, field surveys, and focus groups, alongside various quantitative methods. Concept testing is an important tool in product positioning; this means the market position of the product in relation to other similar products. It sets the product ahead of the competition.

Product Development

This stage involves developing the engineering and marketing details of the bulb. The crucial details to be considered are the benefits of the products to the end user. First, the design of the bulb must be smaller than that of conventional bulbs to save on power requirements. Second, the components will undergo miniaturization to ensure that they fit in the reduced size of the bulb. Third, the circuitry must provide enough room for the fuse to ensure it does not tamper with other electronic components once it burns out. To ensure that all the above conditions are met, the bulb will be designed and simulated with high tech design software. The personnel must design the product to correspond to marketing needs such as; product benefits, patent databases, and reaction of the customers.

Market Testing

This will involve analyzing the selling prices of the bulbs. The costs of the bulbs will be relatively higher in comparison with conventional bulbs because of the additional features. The physical prototypes will tested in rural areas for effectiveness. The bulbs packaging, as well as its longevity are important factors to be considered at this stage. Trade shows and focus group customer interview will be conducted to create awareness on the existence of bulbs that never burn out. The response of the customers will be useful in adjusting the final product.

Product Launch

Once the appropriate adjustments have been made to the prototype, the bulbs will be ready for commercialization. Advertisements and promotions will be produced and posted in various media of communication to help in selling out the bulbs. The distribution pipeline will filled with the news of the new LED bulbs already in the market. Critical Path Analysis, CPA, will be critical at this stage in determining the geographical regions with the highest demand for bulb. This is also useful in determining the production capacities of the company.

Evaluation and Results

This is a follow-up process of trends of the new product to determine new recommendations. The performance of bulbs already in circulation will be analyzed to facilitate modifications. Both internal and external value analysis procedures, as well as fixed and variable product costs, can be applied to ensure profit maximization. This can be achieved through increasing the volumes of sales by extending the marketing regions. The company will be able to forecast its unit volumes, profits, and revenue.