Launching a product is quite literally serious business, according to Harvard Business School Professor Clayton Christensen, out of 30,000 products launched each year only 5% reach success, and that number is even smaller for smaller U.S businesses. And what is truly surprising is that most of the products launched are of good quality, they were designed to do their part and answer a job that needed to get done.
But why do so many products fail? Well according to the same HBS professor, their creators aren’t that good at executing effective marketing strategies. Here are some things any business should do when launching a new product.
Gather resolve. If you are planning to launch a new product, you shouldn’t be afraid to do so, as you won’t sell anything if you don’t try. Instead of fearing failure gather enough resources and build enough will to try your best.
Research their target customers. To be able to sell something you must first know who will be interested in buying your product. Researching who’s your target demographic will give you the required knowledge to be able to target their needs and their interests with precision.
Ask themselves what is the point of your product. If being able to contact others was a question then phones would be the answer. You must question yourself how will your product help your customers, why would they want to buy it and why they should buy your product instead of another one.
Determine how unhappy are their customers due to problems your product aims to solve. You must ask yourself if your customers are willing to spend their money to solve their problems. For example, you wouldn’t sell a car with 5 wheels if drivers are happy with 4 wheeled cars, but they would totally spend their money on a car that is more fuel-efficient.
Logistics. It won’t matter how much you have researched your target customers and your own product if you aren’t able to produce it. You must prepare a sales plan that includes how will your product be funded, how will it be manufactured and by whom, how are you going to distribute it and which retailers will sell them.
Prepare a marketing plan. Producing and distributing your products won’t matter if your customers do not even know about them. Use the research you made on your target customers to identify how you are going to catch their attention.
Hype their product. If you want your product to be a sales success you need to make its name resonate in the heads of your target clients, make as much advertising as you can. Use your business’ social networks to promote your product as much as possible and interact with those that are interested in it. You can also hire influencers to promote your product, if your potential customers see your product being used by someone they like then they will be more compelled to buy it. You can also pay for radio and TV advertising or distribute promotional pamphlets locally.
Keep in mind that after your product has launched you must keep promoting your product, you must also hear your customer’s opinions so you can be able to keep meeting their expectations.