How to Compete in the Market With a New Product Line
Businesses must develop new product lines to compete in any market or industry. Successfully launching a new product line requires that you grab consumers' attention. You can do this by using marketing strategies designed to give your new product exposure.
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Instructions
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Research your competition to determine how your new product compares with those of your competitors in terms of quality, presentation and other industry-specific aspects. For example, if you're introducing an energy drink, study your competitor's can or bottle, graphics, ingredients, flavors and prices. Use what you learn to enhance your product so that it stands out.
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Offer free product samples at promotional events to get your name out and attract customers, especially those outside your target demographic. For instance, if your energy drink targets extreme athletes, host local competitions and give participants and attendees free product samples. Event planning requires renting a venue, providing entertainment and getting licenses and permits from your city government, among other things. If your budget is small, ask organizations hosting local events if you can participate by providing free product samples.
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Ask local TV stations and newspapers to promote your event. For this, you might need to pay a fee. However, you can promote your event for free on social networking sites, such as Facebook, Twitter and MySpace.
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Design printed promotional materials to showcase your product, for example, business cards, flyers or pamphlets. Hire a Web designer to develop a Website for your product. Add your Web address to any printed promotional materials. Which promotional materials you use depends on the type of product you're selling. For an energy drink, design flyers and posters to display at sports events and stores selling your product.
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Give potential resellers free samples so that they can test your product. If your product is good and affordable enough for them to make a profit, they will buy it. Enlisting resellers will help you to expand your sales area and increase your clientele. For an energy drink, potential resellers include gas stations, grocery stores, restaurants and bars.
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Send product samples to industry experts or professionals to get constructive criticism. Use any positive feedback they provide as a selling point. You'll need permission to use their name and feedback, and they might ask for a fee, but the cost will be well worth the endorsement.
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Sponsor a celebrity, for example, a well-known extreme athlete, to promote your product. Ask him to use gear and clothing with your product's name on it. Be sure to hire an attorney to draft a contract delineating each party's obligations.
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Connect with consumers online. Ask your Web developer to devote a page on your Website to feedback. You can also ask your customers to leave feedback on your Facebook, Twitter and MySpace profile. Good feedback will encourage others to friend or follow you. Use the constructive criticism customers provide to improve your product and the positive feedback (with permission) for testimonials to convince new customers to try your product.
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Identify your most loyal consumers (i.e., your largest demographic in terms of age and gender). Look at comments customers post and your friends and followers' profiles. On your official site, ask visitors to enter their age when leaving feedback. Gathering demographic information about your customers will help you to target loyal customers more directly, thereby increasing revenue.
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Tips & Warnings
Before launching a new product line, ensure that your product is competitive in terms of quality, price and presentation.
Test your product internally before releasing it. Use employee feedback to improve your product.
Hire a marketing consulting firm to get industry- and market-specific advice if you're new to business.
References
Resources
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