Analytic Hierarchy Process for New Product Development

Abstract

The success of a New Product Development (NPD) process strongly depends on the deep comprehension of market needs and Analytic Hierarchy Process (AHP) has been commonly used to find weights for customers' preferences. AHP best practices suggest that low-consistency respondents should be considered untrustworthy; however, in some NPD cases – such as the one presented here – this stake can be extremely big. This paper deals with the usage of AHP methodology to define the weights of customer needs connected to the NPD process of a typical impulse buying good, a snack. The aim of the paper is to analyse in a critical way the opportunity to exclude or include non-consistent respondents in market analysis, addressing the following question: should a non-consistent potential customer be excluded from the analysis due to his inconsistency or should he be included because, after all, he is still a potential consumer? The chosen methodological approach focuses on evaluating the compatibility of weight vectors among different subsets of respondents, filtered according to their consistency level. Results surprisingly show that weights do not significantly change when non-consistent respondents are excluded.