Six steps to successfully introduce a new product line

Introducing a new product line is a risky time for any business and there are rules for doing it properly. Here is how to ensure your new product line does off with a bang.

1. Customer demand is there

This is the most important factor: do your customers want the new product line, and will they buy it from you? Determine customer need through feedback and searches (if customers are constantly searching for a certain product, it may be worth stocking it).

Conduct tests to ensure the product will be purchased by the intended customers.

2. The product is well designed

If you are going to add a new product line, ensure the product is well designed and is of the same quality of the other products you sell. Adding a new product line should not negatively affect the goods you sell – keep to quality.

3. A cost analysis proves profitability

Will it make money? A new product line should generate new sales, adding to your bottom line. It is never worth your while adding a new product line that will damage your revenues and profitability. Conduct a good cost analysis before adding the new product line.

4. Production methods are sustainable

Will you be able to keep stocking the product line after your stock sells out? Do not give customers false expectations by selling a product line just once – ensure production and stock is sustainable.

5. Delivery times and targets are feasable

Likewise, if you do not stock the product yourself (for example, if it gets sent straight from the manufacturer), ensure that delivery times can be met by your supplier. You do not want external factors to negatively affect the relationship with your customers.

6. The product is well marketed

Again, this factor is essential – for a new product line to be successful, you need to market it appropriately. This need not mean spending vast sums of money; but it does mean that you need to be intelligent about marketing it. The message needs to be concise, informative and targeted. How does the new product provide a different solution to your existing line of products?