Launching a product is not a cushy job but rather a rigorous endeavor to commence. It needs preparation, accurate planning, meticulous research, and envisioning the target audience, sales, and demographics. According to Booz and Company and Doblin Group, 66 percent of products released during the first two years fail to meet expectations, and 96 percent fail to recoup their investment.
The whole objective of the product launch is to develop a unique product that not only earns a fortune but captures a handsome market share. Due to new technologies and competition, businesspeople and customers desire innovative, unique, and superior products. Therefore, to continue doing business in today’s world, entrepreneurs must believe in the quote, “change is constant,” and continue to improve their businesses as well as their products.
Here is the million-dollar question, how to launch a successful new product?
Finances for the Product Launch
Although it is part of the strategic planning, it is critical to discuss it independently. One of the major purposes of a product launch is to earn profit. It looks like simple math; how much money is invested? And what is the return? But it is not that much easy. It requires complete knowledge of Accounting. Every company has a fleet of experts, who usually have proven experience and educational background. People with an accounting MBA degree come into play in this regard. These professionals align the investments and secure the budget for the activities.
Before even thinking of launching a product, a comprehensive market study should be carried out. Market research is a broad term that is an extensive and comprehensive study about the market, customers, competition, products, and other related stakeholders.
Assess User Needs: The first thing is to assess the consumer’s needs. What problem are you solving? Will it fulfill the need? And how is it different from other products? Once you establish an opinion, you can go on further with your research.
Identify Target Customers: Next, come the customers. Learn everything about them; identify their goals, motivation, and problems. What are the functions they need in a product? It does not require years of passionate research to learn about your customers. Just take 20-30 interviews in a market. Listen carefully and learn about their main points.
How to Reach Target Customers: Develop an understanding of your customers physically and mentally. Find out the marketplaces where the customer can buy your product. Analyze how the product will develop a connection with your customer. It will help you create a practical marketing plan.
Know Your Competition: Once you establish an opinion about customers. Start knowing your competitors. Think outside the box. Rather than following a knee-jerk reaction, discover the distinction in your product. Think, why should customers choose your product? Be innovative; try to be the market leader.
Make Sure That Stakeholders Are On the Same Page
Once the market research is done, pitch your ideas and results to the whole team. Make sure that all the departments and employees are on the same line. If employees love your product, it is evident that your customers will like it too. Moreover, it is a prerequisite to ensure that the customers have the best possible experience. It adds to the company’s long-term success.
Create a Comprehensive Strategic Plan
It is one of the important steps in the process. Every company needs to do thorough strategic planning before launching a product. Strategic planning involves several steps. That includes identifying marketing goals and ensuring they are aligned with company goals, collaborating with other departments, marketing campaigns, and budget and returns on investment. It is not limited to these steps. Sometimes SWOT analysis is performed to identify the strengths, weaknesses, opportunities, and threats.
The objective of the Product Launch
A product is launched for a specific purpose. It is either for awareness, capturing market segments, creating selling opportunities, or establishing a new product. Alex Girard, a Product Marketing Manager and a professor, say, “Create specific goals for the launch’s success. Keeping these goals in mind will help you focus your efforts on launch tactics that will help you achieve those goals.”
Preparing all the Promotional Documents
It is the last step before launching a product. After planning every minute detail, it is time to start creating promotional content such as pamphlets, digital marketing, blog posts, demos, advertisements, etc. It will help if you determine which content you should create.
Launch the Product
Once you have completed all the steps mentioned earlier, you can launch the product. Establish free demos and tutorials for your product. This way, customers can get a hands-on experience of the product. Offer early use incentives. Note the reactions and reviews of the customers. Feedback helps you deliver the desired experience.
After the launch, it is necessary to track back how well the whole product launch went. Be vigilant; you might need changes in your marketing strategies.
For the new product launch process, you must prepare a checklist. Many factors need to be investigated in advance. The launch of a product is similar to the launch of a rocket; both require pre-launch preparations. Finally, the launch should take place at the right time and place.
Before launching a product, the organization must conduct thorough research on the demographics, markets, and social and cultural environment.