More and more direct sales and network marketing companies are recognizing the importance of new product. For Multi-Level Marketing (MLM) corporate owners working to maintain and protect their most precious commodity, their positive momentum, it is critical to introduce new Network Marketing Products in order to maintain customer and distributor interest and increase sales.
What is a new product?
NEW PRODUCT NEWS defines a "new" product as something a company is making or offering for the first time. Any new product should have unique features.
Your ability to identify new products or product trends can accelerate your potential financial success. The key, however, is in combining a "hot" new product with a dynamic and duplicable marketing concept and a strong distributor support system from the marketing company.
Choosing a successful new product to market requires addressing all the following components:
Step 1. Product Concept Evaluation
New product ideas and concepts must be based on an accurate assessment of consumer needs, wants, and expectations. A company generating new product concepts and marketing systems must properly position the product to create enthusiasm within the ranks of the MLM company distributors. Finding exciting new products should be high on the priority of corporate owners if they are to "catch the wave " of a new product trend.
Here are nine key questions you should ask in evaluating each product under consideration before making a time and financial commitment:
Does the concept, which differentiates this product, fill a need or satisfy a want of the customer?
Will the customer perceive a legitimate value in his or her purchase?
Will the customer recognize quality in the same way he or she does with national brand names?
Does the product offer the customer superior performance compared to similar products already available?
Does the new product solve a problem for the customer which is unaddressed by similar products?
Is there a convenience factor that places the new product ahead of all similar products?
Is the product consumable or does it offer some type of residual income stream?
Are profit margins sufficient to sustain your efforts?
Can you develop satisfactory support materials and sales aids to make your job easier?
Step 2. Prototype Formula Development
The product itself: its physical components, ingredients, and characteristics must be appealing to your customers and one in which you can personally believe. Taking the product and packaging from initial concept to prototype reality is the next important step.
Step 3. Test Marketing
Yes, you may want to test market the product before making your decision to jump into a major financial commitment. Evaluating the product with a select group of distributors in order to select a "winner" can save a lot of money and warehousing of unsold inventory. Since your present distributors are both customers as well as independent sales agents, they represent an excellent resource for evaluating the product features and benefits. Don't just make your decision on emotion, make it on logic and good business sense.
Without new product innovations, established marketing companies run the risk of relinquishing their brand leadership to young and aggressive MLM companies who "copy cat" their concepts with less expensive "knock-offs". These emulators use the same marketing strategy as generic brand products in retail stores which thrive when a new brand of product is in its momentum stage. Lounging in your comfort zone is the surest way to lose your market share.
Today, when choosing new products for a successful launch with a Network Marketing company, one needs new initiatives. Why? Because 80% of new products introduced through traditional methods of marketing fail.
