The purpose of this memo is to know which are the factors that made the new Honda car called Element succeed and what tangible benefits resulted from bringing in the voice of costumers.
It was necessary for Honda to target their own new costumers segment, which they didn’t have, men between 19 and 29 years old called Generation Y. Alternatives Honda began a sort of relationship with their new costumers, with the objective to know what they needed in their cars and get new ideas. As part of that relationship, they started to go to different events where those costumers might be, such as motorcycle racing. It is a good way of knowing the clients directly and in the area to which the company is going to go.
The new manufacturing was approved by top executives that had also the experience of being in contact with potential customers. The approval of the executives does not make a new product succeed and can’t be determinant when the decision it’s made.
Despite some parts of the car were completely new, such as the interiors that were even waterproof, some others existed already and were used in other cars, such as the power train. This makes the development more economic and the risks of failure less serious.
It is recommended to follow the same way and to carry out more market researches that will determine as approximately as possible the quantity of units that will be sold out of the new Honda car. That way, we will know which is the economic risk that exists on manufacturing the Element. If you have questions or comments, please contact me at 123456789