Many business people wonder why they have such a difficult time launching a new product or service. Most do not invest time researching two key issues: whether or not there is a viable market for what they want to offer and what the competition is already doing to satisfy the market.
Why would an experienced businessperson ignore that vital step?
1. Ego: They have a “great idea” and figure that all they have to do is advertise and customers will line up to buy.
2. Ignorance: They think they are the only one to offer what they offer and so they have no competition.
3. Poor Planning: They do not have enough capital to get the job done adequately.
In order to avoid these mistakes and plan for success, ask yourself the following questions:
-What is your actual, specific, detailed market?
-Do the prospects already understand what you are offering?
-Are there enough customers out there to support a profitable business?
-If prospects are out there, how do you reach them with specific sales messages and make it easy for them to buy?
-If you have to educate prospects about the benefits of your product or service, how much time and money will that education cost before you make a sale and gain an income?
-Who are your competitors from your customer’s point of view, not your point of view?
-How are you going to effectively compete with all of those competitors?
If you take the time to answer these pointed questions before you launch that new product or service, you will have a much better indication of the risk of your venture. And the possible return on that risk as well. If you are willing to take that risk, you can at least make sure the deck is stacked in your favor!
Gloria Berthold is president of Marketing Outsource Associates, Inc. a full-service marketing firm specializing in the identification of potentially profitable prospects in the commercial and government business markets. She is an expert at business development and a nationally recognized speaker. For more information, visit http://www.targetgov.com