PDF, 2492 KB - Roland Berger Strategy Consultants
PDF, 2492 KB - Roland Berger Strategy Consultants
PDF, 2492 KB - Roland Berger Strategy Consultants
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<strong>Roland</strong> <strong>Berger</strong> <strong>Strategy</strong> <strong>Consultants</strong>What are frugal products?Frugal products, designed for low-end and mid-end marketsegments, limit performance to a narrow set of functions.Successful frugal products are volume-driven, simple, robust /maintenance-friendly, timely-to-market designs sold at acomparatively low price. They should be conceived from thebottom up and integrate selected higher-end componentsor features only when absolutely necessary.Frugal products can be found in many industries.F7Frugal products are characterized byspecial attributesattributescharacteristicsPerformanceLow-low-endLow-end Mid-end High-endSimplicitySimpleComplexRobustnessRobust/maintenance-friendlyFragile/ laborious to maintainEconomies of scaleHigh volumeMedium volumeLow volumePricingLow price Medium price High price/premiumSource: <strong>Roland</strong> <strong>Berger</strong>
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