Expanding a product line is an important strategy for the growth of a business. This is the method to increase revenues by adding variants to your existing products without shelling out money in acquiring new customers.
It builds trust among people and improves your chances of surviving in the industry over the long run. Launching a new product line is not as difficult as it used to be. Digital marketing has made the way of doing business easier.
The primary idea behind launching a new product or service is to provide a solution to new problems of your users. For instance, if you started your company by selling baby diapers, you may introduce a new product line such as skin and oral care and toys.
Before you introduce a new product line, you will have to research the competition, know your audience, listen to their feedback, and introduce amendments to enhance the customer experience.
Here is how you should launch a new product line.
What unique you have to offer your audience
Before you start a new product line, you will have to make sure that it aligns with your brand. For instance, if your company is selling baby care products, you cannot add teenage clothes to your existing products. Otherwise, people will not be able to relate it with your brand.
There is always a chance to get digressed from your identity. Make sure that your new product line justifies your brand image. Further, focus on the activities of your competitors. Try to design something new. If you offer a different and better product, more people will likely show interest in you.
Survey the market
After years of hard work it would be disheartening to know that the new launch was not as successful as expected. Take the feedback of your customers to know how they feel about your existing products, and the best way to do is conducting online surveys.
Set a pattern of questions you will ask from your customers. For instance:
- Why did you buy product X from us?
- How does product X make you feel better?
- What is the greatest value we provide to you?
- Does our product act as a solution?
- Which new product would you like us to introduce?
Such questions will help you have a deep insight into your business. You will understand what your audience expects from you.
Consider your finances
You will have a pool of great ideas, but not all of them can work out. Various factors like finances, the research and development team, suppliers and business partners may push you to narrow down the selection.
Introducing a new product line involves not only the cost of manufacturing but also marketing cost. Make sure that you stay above a breakeven point even after disbursing money in introducing a new product line.
However, it is not possible to have enough funds beforehand. Thanks to direct lenders who can help you fund your needs. Business loans and bad credit loans with guaranteed approval are the best funding sources.
Test your product before a launch
It is impossible to gauge the success of a new product. Even large companies can face failure. Therefore, you should test your product at least once to make sure that it does not have flaws that will invite nothing but a public backlash.
- You should have a particular way of testing your product.
- Does it deliver the desired results?
- Send it to the research and development team if there is an error.
Carry out the launch
Once you have found that you are all set to launch your new product, the next step is to promote your product.
- Use all digital platforms to make sure that your product name is viral on the market. Let people know how your new product will benefit them.
- Use blogs and media releases to spread information around.
- Use creative ways such as commercials and videos.
Take feedback after the launch
Your efforts are not over as soon as you have launched your new product. While you will stick to unrelenting marketing strategies, you need to take feedback from your customers. How do they feel after using it? Take their feedback seriously as the success of your new product depends on their satisfaction level.
If you want to launch a new product line, you need to think about a creative way to incentivise your customers to stay loyal to your brand. Know the demand of your users to hit the nail on the head.