In today’s business world, it becomes essential for companies to know all about marketing of products. There is a huge competition between companies and the market is more demanding than ever. If you want to promote your new device, product, hardware or software, you have to adjust to the different marketing strategies for product promotion. That’s why we will present you the 7 best tips to market your new product.
What is product Marketing?
We could say this is a process that involves several areas: design, production, sales, and marketing. The goal of marketing a product is to bring it to a specific market, taking into account aspects such as the price, distribution channels, logistics, advertising, campaigns, and target audience.
Some people may say that the marketing products definition is to put a product in the right hands, that is, the final customers. If they don’t understand how your product works or its benefits, they won’t buy it.
Bear in mind that marketing of products doesn’t end when the product, device, or service reaches the market. This is just a starting point, since now the challenge will be to keep it in the market. This is an important part of the product development life cycle.
Importance of marketing your new product
Over the years, many companies have applied the 4Ps of marketing, which are: Product, price, place, and promotion. Nowadays, another P has been added (5Ps of Marketing), which is People.
Why do we mention this? Because it is crucial that your product, device or service aligns with these elements.
What you need to know to market your product
There are some general aspects you need to consider when marketing your product. If you are aware of the marketing 5Ps, you will understand how your product or device can perform effectively in the market when you launch it.
1. Product: It refers to all features and characteristics of your product. If you are planning to launch a new product, you need to consider all aspects related to aesthetics, packaging, design, branding, and post-sales policies.
Imagine you want to design and develop a new wearable (smart necklace) that will gather a lot of information from a person’s vitals. You need to think about the possible designs for men and women. Maybe they want to use it, but you need to consider how it will look, color, size, materials used, and how to make it attractive to both genders.
2. Price: Answer the following questions regarding price:
- What is the cost of producing this smart necklace?
- Will the female and male versions have different prices?
- What will be your margin benefit?
- Are there any products like yours in the market? What are their prices?
- What is the acquisition level of your target market?
3. Place: Consider all possible channels of distribution of your product or device: Online, stores, supermarkets.
4. Promotion: This aspect refers to how you will promote your product in the market.
WIll you advertise it? Where? How often? Do you have a sales department? Will you rely on inbound marketing?
5. People: This is the last aspect of marketing mix products. People must be the focus of your marketing strategy. Also, the product needs to evolve and guarantee the satisfaction of your clients. This ensures they will continue buying the product from you for the next years.
You need to pay special attention to their claims, feedback, and obstacles with the performance of the device or service. This will keep them loyal to your product.
These are the 7 tips to market your product
1. Create an innovative product
Innovation requires creativity, and we don’t doubt you have it. But it is necessary to analyze the market in order to come up with a business idea that can generate a big impact on the market.
Get feedback from people close to you regarding your idea. Try a different approach that no other company or competitor has tried before.
Question the products that are in the market and try to redesign them from a different perspective.
Advice: There are thousands of smartwatches out there. If you were planning to launch a new smartwatch, how would you make it different?
2. Know your ideal customer deeply
Great companies make a huge impact on people’s minds because they solve a crucial problem. You can’t sell your product to everyone, consider analyzing who will be your target market. If you belong to that same market, that would be perfect, because it means you know first hand the biggest pain points to solve with your business idea.
Advice: Interact with your target audience, spend time with them. Try to find insights on their motivations to buy a product like the one you want to build.
3. Create a network of real users that speak about your product
You could pay some people to talk about your product, but that’s not going to work or generate a good reputation for your product. You need to look for real word of mouth, that is, let your product amaze your early adopters, or a special group of people that will test your product or service. Then, let them speak about it.
Remember the old times when it was necessary to get an invitation for opening a Gmail account? or recently, people needed an invitation to open a clubhouse account.
Try to generate expectation, make it exclusive, but also, make it work. This is a great way of marketing your product with a low budget, since happy customers will recommend your product wherever they go. That means you won’t be paying for advertising, they will “sell” the product for you.
Advice: Market your product quickly by getting early adopters to test your business idea. This will help you to start gaining recognition in the market. Probably when you are ready to launch your product, you will have many people waiting in line to buy it.
4. Create customer loyalty programs
Your product needs loyalty at the beginning, since the market doesn’t know you. You can create strategies or incentives for the customers that buy your product or service. Think of the possible upgrades you are going to implement, and maybe give a discount to your early adopters for the next few years.
Another strategy is to create a points system, in which they accumulate points by recommending or buying products from you, when they reach a certain amount of points, they could exchange them for benefits. Be creative in this area, design plans you can implement and that don’t affect your income.
Advice: Think of possible memberships or access to platforms you could provide when your clients buy your product or service. Look for original ways to make it interesting and appealing to customers.
5. Show the world what you got
Participate in events related to your industry or niche. The idea is you can show your newest creation to many people that could benefit from it. From these events you could obtain alliances, funding, customers, and feedback. All these actions will lead your company to be known and be on the map of a market full of competitors.
Advice: Try to follow all events, conventions, contests or business rounds in which you can show your product and be seen by other people or companies. You never know what you could get from those events.
6. Position your product in the digital world
Connect with influencers in your niche and who are related to the audience you want to reach. Try to look for experts that can provide an objective overview of your product, device, or service.
Advice: Set digital positioning goals based on product features, awareness, or market share. It all depends on the objectives you want to achieve with the marketing of your product.
7. Bear in mind your product life cycle
All products have a life cycle. They go through some phases: introduction, growth, maturity, and decline. How much time does each product take to go through each phase? It depends on the product usability in the market, how often it receives updates, or if there are new products that will replace the existing ones.
Do you remember devices like VHS, DVD players, and Tivo? These products went through all the life cycle until they reached their decline phase. It was inevitable that these products would last longer than they did, since new technologies appeared in the market; more efficient, cheaper, easy to use, and highly attractive to the market.
Advice: Analyze your product and investigate how long it will take to be surpassed by other products in the market. You could ask for advice from a product development company, they have the experience in designing and developing new devices, and they probably know the new technology trends that may affect your product in the future.
On the other hand, the market may require ongoing upgrades to continue buying your product, are you willing to do that every year?
The most important part of marketing of products
You already know 7 great recommendations to follow to market your products and obtain “immediate” results. However, it will always be required that you build a marketing strategy in order to obtain long term and relevant results.
Build a marketing strategy
Promoting a new product in a controlled way is one of the most important and strategic aspects of any business. As an entrepreneur or startup, you want to ensure optimal marketing exposure and make the maximum profit from your product. And for this, you need to build a marketing strategy.
Up to this point, you have invested in designing and developing a new product. You started with a business idea, then you took it to a company that has expertise in outsourcing the development of products. After some months, you got a prototype you could show to potential customers, you made some adjustments, and ended up building a Minimum Viable Product. Let’s retake the example of the smart necklace.
1. Know your audience (Who)
You may think your product is for everyone, when in fact it isn’t. You need to focus your marketing efforts into a specific audience that may be interested in acquiring your product.
Who could be potential buyers of your “smart necklace”?
Build buyer personas in this step. That is, “the ideal customers” that you want your company to have.
Start by asking yourself, Who is this product for?
Give a name to each buyer persona. Identify their pain points, aspirations, fears, needs, hobbies, age, interests, all that can give you a great profile of your potential buyers.
2. The message (What)
A strong message sells a product or service. And you need that too. Think of the most memorable ads you saw of your favorite company. What did they say? Why did they convince you to buy from them? How often did they talk to you?
To define the message of your product or service, answer the following:
- What are the features of the product or service?
- Why should your customers want to purchase it?
- Why do your customers need it?
- How is your product or service different from the others in the market?
Once you have a strong message for your product. You need to attach to it. This will be the rudder that will guide everything you have to say about the product in every channel you are going to access with your marketing strategy.
For example, imagine you arrived to the following conclusions:
- Your necklace somehow stands out because of being the smartest IoT device in the market.
- The buyer personas you created aspire to be more technologically connected. In other words, you identified a niche that wants to rely a lot on data, metrics and statistics, and apply that to their lives.
- Your customers need data, they enjoy measuring all about their lives: calories, BPM, oxygen levels, cardiovascular fitness, posture, muscle development, among others.
- The smart necklace is so innovative that it will function both as jewelry and an IoT device. It can be used under water, and the battery lasts for 1 week.After you gathered all this information, you decided to create a strong message to define your product:
“Smart necklace for a smart life.”
Remember this is just an example, but it could serve as a guide to define all possible advertising campaigns, how you talk to your audience and how you want to make them feel; you don’t sell the features of the product, you sell the benefit of getting it.
3. All team members together
The organization needs to speak the same language. Consistency is the key here. You can’t speak of “smart lives” if your team members don’t have the resources or technologies to give technical support, good customer service, or if the company doesn’t have the proper app for gathering all the information your customers need to analyze.
All members of the company need to be aware of the brand positioning of your product. They must know:
- Main benefits of the product.
- Available user manuals or coding information.
- How to use the product.
- Risks of the product.
- Who are the buyer personas: If they call or show up in the different stores, your employees need to know how to interact with them, what words they use and what potential problems they might have.
- Prices of the product.
- Potential updates.
- Where they can get more products.
- Complaint channels.
Also, create a list of terms you want to use for your product, something that characterizes the device or service you are selling. All members of the company must be aware of these words and use them when referring to the product.
4. Set goals for your product or service
Your product may be the best option available in the market, but if you don’t have specific goals to measure, you won’t know how to manage your business idea.
Imagine you are selling the “smart necklace”. It is your first IoT product in the market. What do you want to accomplish with this device?
Do you want to build branding? Is your goal to launch a wider variety of products to engage more customers? Do you only think of increasing revenue? Do you want to increase your market share and be bigger than your competitors?
Think carefully about your goals with your product or service. Maybe you are limiting your potential, or perhaps you are trying to encompass more than you can.
When setting goals, remember the SMART format, that is, set goals that are Specific, Measurable, Realistic, Time-bound.
5. Launch plan
Once you have defined your audience, the message you want to communicate, all members of the team are speaking the same language, and you set goals for your product or service, it is time to define a launch plan.
Consider all scenarios where you would like to show your product and goals you want to accomplish: Social media, stores, websites, or events. Depending on these channels, you have to plan the different strategies to make your product presentation.
Will you offer an exclusive discount?
Will you offer an exclusive benefit to your early adopters?
Will you invite the media to cover your product launch?
In this step you will describe every tool, platform or strategy that can help you to market your product. However, not all tools will be used. Choose the ones that can help you the most to communicate your potential customers about your product.
For instance, if you are planning to launch a “smart necklace”, think about the possible channels you can use to promote it. If you identified your audience doesn’t listen to the radio, it wouldn’t be a good idea to advertise your device there.
Maybe a word of mouth strategy would be more effective, since people buy wearables usually because of good recommendations. According to Invespro, word of mouth increases 5 times the chances of selling a product than paid media impression. People tend to buy a product because of the recommendation from a friend.
Success stories of product promotion
Remember GoPro Cameras? Back in the days when they started launching their product into the market, they relied a lot on social media to advertise their products. But not in the way you may think.
This device was so unique and attractive that almost everybody wanted to own a GoPro camera. It was an inspiration for people to record their experiences as they exercised, went surfboarding, hiking, or climbing.
Their success in the moment was due to acknowledgement of people’s desires to share their exciting experiences, that’s why the marketing of this product was so successful. People felt almost compelled to upload their GoPro videos on any platform, and this, of course, was a great benefit for the company.
If you are thinking of building a product that will be greatly accepted by your audience, build it around values that can awaken your customers’ love and passion for your company.
Now let’s talk about a platform, Slack. It is a messaging app for business, and the goal is to connect all team members to the information they need. This platform wasn’t originally created for business.
Slack was born as an app for gamer developers. The intention was to create a tool that would allow collaboration between different teams in any part of the world. The creators of this platform realized it had potential to be used by any company, not only the gaming community.
So they changed the focus of the product marketing, and decided to expand its features to companies. Soon, in a period of 1 year (2015), their valuation in the market was $1.12 billion.
Why has Slack been so successful? Somehow, they made the office environment, or better said, the digital office more interesting and appealing to corporations and employees. Now every team, area, and department has specific voice channels to share only useful information around a topic, and also, the companies have the opportunity to open general channels just for having fun, interacting and talking to other team members.
These examples of product promotion may inspire you to analyze how your business idea can reach the market and generate a great impact. However, keep in mind that your product or service will have to evolve. The example of GoPro can guide you, since their decisions in the late years weren’t good for the company. New products were launched, but they didn’t generate as much sales as expected. On the other hand, Slack keeps innovating and reaching a bigger market share. Though they are also facing new challenges, since there are new competitors out there.
We hope this article will help you to make the best decisions regarding your business idea and how to promote it. It’s up to you to analyze and create the best strategies to market your product. If you know more tips for product marketing that we didn’t mention here, we invite you to comment below.