Relevance of Identifying New Product Metrics

Launching a new product amidst a very competitive business industry is a very challenging feat. To help ensure success, relevant new product metrics would have to be determined.

Launching a new product to the market is a big gamble on the part of a manufacturer or distributor. This is so because substantial investment would have to be spent in marketing and advertising this new item. This activity is very crucial as this is how prospective clients or target customers are informed about the product.

Without these promotional activities, it would be very difficult, or impossible even, to create demand for the product once it hits the stores and other retail outlets. Likewise, these promotional activities would also have to be done in a regular basis to maintain customer demand especially in the early stages of product distribution.

These days, new products are introduced either as a brand extension or a product extension. Brand extension, also called as brand stretching, is a well-used marketing strategy wherein the company uses an existing brand to market a new product that is usually belonging to another product category. This is usually done by companies to use sustained brand equity or a brand’s long-term sustainability and net worth to their advantage.

The effectiveness of brand extension however, depends on how consumers strongly relate to the values and goals of certain brands. In the 1990s, it was revealed that about 81% of the new products in the market were launched through this strategy. This was seen as an effective way of reducing financial risk resulting for promotional activities as well as improving the perception of consumers on core brand value. Nevertheless, companies that use brand extension as a strategy should still be focused on the successful launch and promotion of new product as this may also potentially damage brand equity or lower the value of core brand.

A new product may also be launched as a product extension. This marketing strategy paves way for the introduction of a new product serving another market segment but is closely associated with an existing product. In short, it is a new version of the parent product. Several firms have taken on this strategy to take advantage of brand awareness and brand loyalty. Normally, consumers are likely to buy a new product if it carries with it a brand name that they trust. Among the companies that have successfully implemented this is Coke when it launched its Diet Coke product.

Unfortunately, brand extension or product extension is not a recourse that all companies can use. Many companies have had to start from scratch as they come up with new and innovative products to offer the public. For these companies, it is mandatory that their managers should come up with new product metrics that they can use to assess how well the product is doing in terms of sales and market reach. In addition, these metrics will provide an accurate information support that managers can use as basis for their future actions regarding their new product offering.

More Launches With a New Product Marketing Strategy

It brings a lot of excitement for a business owner to launch their new products. This is of course because after long time preparation, you are now ready to let the public know your product and put an assessment on the feasibility of your product. Aside from that, recovering investments and earning profits will start rolling as well.

Successful launching of the product is the result of careful and comprehensive research and studies. It is a process that requires a lot of effort. You can’t just go out and launch your product in the open. Long term product success means long term hardships as well. A new product marketing strategy of producing new product for follow up launching and distribution has claimed that most business owners have gained lots of profits and stayed being successfully stable through it.

Being creative and innovative will give you an advantage in producing fresh product to be a follow up of your previous product. These products will generate more money at the same time that you generate profit on your other products as well. So don’t just be focused on the present condition because new product launch can really be a perfect way of having more profits. You don’t have to worry about new ideas regarding the production of new products because there are Product Launch Managers who can help you have an eye on that.

On the other hand, extending the range of your product should only be done when your clientele are ready to purchase something new. Existing needs will determine whether the market is ready for the new product or not. Timing is important as well. If you launched your product too early or a bit late from the actual demand of your market, then be ready for a failed launch. However, your efforts will not all be wasted. It will just take longer time and more money to be allotted before you achieve success. As you add new products to your business, focus will be a very critical aspect. Multiple products that are launched should be intended for various targets and should be located on different areas too. You can’t offer multiple products on the market all at the same time in as much that you can’t let a single team handle multiple products as well. Simultaneous launching of different products is important to avoid confusions and in order for the team to be focused, one team should be assigned to a single product only.

The two most common mistakes committed by business owners are the lack of focus and innovation. To be particular, companies tend to develop and introduce too dull products that can’t cope with the expanding market. Or, in some instances, they tend to launch products that failed to reach the expectations of the market. These are also short in business strategy needed in the promotion of the product. If the launch is successful, there will be a boost on the sales. But is the launch failed, recall of the product will be done.

If you have considered these things before launching your product, then you can expect success and stability on your product launch.

Launching a New Product

In this day and age, launching a new product is very different from how it used to be. You will also need to approach online blogs when launching a new product. It is no longer necessary to announce a press conference in order to pitch your product and its distinctive qualities to publications. If you want to market your product online, you need to plan and prepare a thorough strategy for success.

Preparing your product

Preparation is key. First of all, you should research similar companies and their marketing policy. You must know what your competitors offer and what they don’t in order to tailor your own product and made it attractive to the market. This will help you to make a comparison between your product and others in your promotion, highlighting your products superiority.

Prepare a press release for launching a new product stating the unique features of your product explicitly. This will draw the attention of your intended customers. Send this press release to your existing clientele or, if you are a new company, consider setting up a mailing list and inviting members of your target demographic to join. Provide updates about your product at regular intervals so that your customers do not forget about your product.

SEO

SEO, or Search Engine Optimization, boosts your presence on search engines such as Google. This makes your product more accessible and lures potential customers in. It is an essential step when launching a new product.

You have to drive your targeted customers to your website. The best way to do this is by placing keywords pertaining to your product throughout your site. Ensure that your descriptions are engaging. Your success depends on a convincing product description. If your customers find the description and promotion of your product unsatisfactory, they will leave the page and search for another product. Even with good SEO and key word placement, you need to captivate your audience from the first sentence onwards.

Another important aspect of SEO is something termed back links. This is the process of sharing a link to your website externally through services such as popular social network sites and blog aggregators. By posting a link to your website onto these sites, you are increasing your page ranking on Google.

Social Media

Social media marketing is another excellent way to promote your product Community driven sites like Facebook, Twitter and LinkedIn allow you to connect with your target demographic by creating a page for your product. You can also create a group to post about your product at regular intervals and keep your customers up to date. If your customers find your content engaging and informative, they will refer their own followers to your page.

Email marketing is another important strategy for launching a new product. You should analyze your existing network and connect with potential customers through your contact base. Send emails to your contacts regularly to inform them about your product. A free trial may be offered to selective contacts. You can also create an email mailout and promote it on your website, therefore adding new contacts to your database as they find your website.

Whatever your strategy and however effective your communication for launching a new product, the most important thing is to ensure good quality writing. This will compliment SEO and help you to gain a loyal following.