In Australia, marketing new products is a source of constant headache and worry for producers because of the existing competitors. The merchandise that has been in the market even for just a few months, and especially those that really met the expectations and needs of consumers are really hard to put down. Since they are giving their costumers good reasons to stick to them, either by having excellent quality or affordable rate, business owners that are launching new products or services must really do a business competitor analysis and a strategic plan to be prepared for the competition.
The danger and ultimate question is whether the plans make the competition irrelevant or not from the time of the product launch until the next seasons to come.
Start-up companies and even seasoned firms trying their hand on new products and services often make the mistake of not honing their marketing skills or adapting a strategic publicity. As a result, they don’t even earn half of their targeted sales profits even after the merchandise has long been out in the market.
Another problem is, as soon as they have put up their new merchandise on display, copycat competitors smother them by employing different gimmicks that eventually overwhelm and turn off customers to buy.
With the correct launch, new and innovative products have great advantages early in their life cycle not only because competition is light but also because media and analyst interest is heavy. There is also enthusiasm in the sales channel while buyers are energized by the novelty of the product’s promised solutions. But in order to sustain this hype, the producer should know the secret in staying in business with his competitors. Here are great tips to consider when marketing new merchandise with great competition.
- Understand the competition. It is quite difficult to come up with a new product or service these days. But you don’t have to quit on your innovation process as well. Then again, if there is a lingering competition in the market already, focus on what they offer by conducting plenty of research about it. This will give you the chance to evaluate the strengths and weaknesses of the merchandise and find out what aspects you can improve on to attract their loyal customers to go on the other side of the fence as well as entice new followers.
- Get in front of the right customers. Even if you want to widen your consumer base in order to heighten your sales profit, this could eventually backfire. Focus on a particular group of customers and know what they want so you can give exactly what they need. Leverage this in your marketing messages and follow through with the actual merchandise that delivers your promise to uphold your sincerity and integrity.
- Develop a unique selling proposition. It is what makes customers want to buy from you rather than the competition. Determine how your product serves a need better, faster or easier than the competition. Use your USP to come up with catchy yet logical marketing messages. Create a brand for your product that will not only differentiate it from competition but also give you that edge in the market.
- Take advantage of media, public relations and social networking sites. During your product launch, it will give you the buzz you need to promote your merchandise. Use conventional media coverage like in news shows, TV ads, magazines and newspapers as well to let customers know what you are up to and how it differs from your competition. In the same way, going on Facebook, Twitter, blogs, and other social networking sites is a great way to endorse your product or service.
- Add value to your merchandise. Offer something that is lacking in products and services offered by rival companies. You can go green, offer free home delivery, full money back guarantee after 30 days – the list can go on. Always remember that excellent customer service is your upper hand to lure your competitors’ old clients to your arms and gain new followers.