Investment is always a risk and return. New products dose
In the past 3 days, I were in hkust business go to learn more how to make strategic financial decision. What impressed me is all students are highly capable and desirable to learn, that’s what I love HKUST.
When we make decision especially design, most of time we use like or dislike, or perceived market potential based on our experience. However, all decisions involve investment when we come to production .... for lower unit price, mass production. From strategic finance point of view, all investment is a risk and opportunities, but project owner or designer normally inclines optimistic view on their baby.
we have to be smart because one you invested, you cannot go back. Here are some recommendations for new product designers:
1) estimate the market not just one year, but 5 years and think about what’s your target market.
2) when you launch your product, get direct connection with customers, understand their profile, talk to them. Know the details and discover opportunities.
3) CRM helps. Data is very important to understand and optimize your marketing strategy, do more a/b testing to improve your financial performance.
We helps a new skincare brand from North American to discover the Asia market using PopSquare in different locations and different cities. I feel we are so excited and blessing have this chance to help them because they have 2 options, using us to test the market, finding out product market mix in the city. Or they can work with pharmacy chain like Watson’s to sell their products. However, we all knows taking this option, the investment is huge and terms is not very favorable.
We help the brand to do new product experience, filling survey and product direct sales for price tests in 4 locations. We discovered that all products, price, and package are far from customers expectations in Asia. And discovery lots of improvement points before official launch here.
If they choose other options, it’s going to be a huge investment for this test.
We just make things smarter and faster.