hazards when launching new products and services on the market.
I bring to your attention a translation of the article by Jill Konrath from “Selling To Big Companies”. On its website, you can find a variety of materials for consultants, entrepreneurs, and sales professionals who help to conclude large-value contracts with large companies.
The article is devoted to the launch of a new product or service on the market.
Original article can be found here.
translation of the project Liveidea.ru
Fast start!
')
Avoid most of the errors associated with the release of new products or services.
This article was published in a special “Growth Guide” issue of CityBusiness: The Business Journal, published in April 2002.
New products or services are the lifeblood of any young company. If they are successful, the company can break into new markets, jump over former competitors and shake a bountiful harvest of profits.
However, many new products do not justify the expected results in the first, most significant, months after their release. In the modern economy, when the 'window of opportunity' is open no more than a few months, this can be a real disaster.
During the last decade, I have been working on the presentation of new products and services from many companies. Some of them had incredible success; others were a cruel disappointment. Whenever sales fall, companies reduce production or reduce the pace of work in the market.
If you are going to introduce a new product in the next few months, do it right. Do not repeat such irreparable errors:
1. Flimsy offer
This is the most terrible enemy of everything new, however, and the most often repeated mistake. You may think that your new product is technically perfect, something exceptional or a gift for modern civilization, but this does not mean that the rest of the world will agree with you.
The rule “If you did this, they will come” does not work in the current market. You must describe clearly and indicate the merits. Words like “faster”, “solid”, “advanced” or “best teamwork” are meaningless rubbish.
In order to stand out among market offerings, the merits of your offer must be directly relevant. You should describe in detail and clearly how you have improved operational efficiency, reduced costs, or opened up new opportunities. Tell consumers how you improve their loyalty, or describe their competitive advantages. Explain, loud and clear. Your clients are not aware of this themselves, they are often too busy.
Technical companies - beta testing is an excellent tool for you, often very poorly used. Use it to figure out how to sell your customers. Find out what problems your product helps to combat, their branching and interconnection, as well as the merits of their solutions. This is invaluable information you may have missed while testing the product.
2. Insufficient addressing of offers
Lured by the enormous potential of the market, growing companies prefer not to limit their freedom. However, in fact, lack of focus increases costs.
As the product is constantly improved in accordance with the many needs of customers, the cost of development soars to the skies. Thus, the final product completely does not meet anyone's needs. Trying to be comprehensive, marketing programs such as advertising, public relations and related are diluted and too scattered to be effective.
To increase your chances of success, focus on small market segments. Focusing, focusing, focusing. Learn everything you can about targeting customers. Understand what is important to them, how they buy, how they say, what they read, what kind of meetings they attend.
Clearly describe your target consumer sales company and do not allow it to sell to one-time customers. First settle in a selected market segment before expanding to others.
3. Inadequate sales tools
In today's competitive market, if your salespeople do not have the right tools and techniques, they enter the battle unarmed. Just a beautiful brochure will not help.
What does the seller need? We should start with a review of what potential buyers actually live, including their problems, participation in business and how much they are willing to pay for changes. Add 10-15 good questions to help discover and explore needs.
Ensure that you provide them with a competitor analysis that describes both strengths and weaknesses. Develop a customer-focused presentation in PowerPoint. Create an easily modifiable proposal template with a management review, analysis of the current situation, recommendations, implementation of the plan and investments.
Spend time and money trying to do it right away or you will have to pay for it later, when sales do not reach the desired level.
4. Imperfect sales process
If you are a participant in the “business for business” market, it will take you from three months to make a sale. To succeed, you must sell by deliberating. However, at the launch stage, the deliberative mood of most sellers evaporates without a trace.
With unlimited enthusiasm for a new product or service, they suffer from the worst form of verbal incontinence. More than 80% of the time they make commercial calls is to talk, talk and talk. What are the results?
The potential buyer asks “How much does it cost?” And, since there is no unmet need or fixed price for the seller, the cost is always too high.
A potential buyer asks “Can this (something insignificant)?” Trying to find a reason for refusal. Once something is missing, it becomes a requirement, and the transaction is not made.
The potential buyer says: “Oh, this is really impressive. I’m sure it will sell well. ” However, while thinking to himself, he thinks: “But not here.”
As a result, a successful sale can keep you waiting for months or not at all. Irritated sellers blame marketing professionals for overpricing or insufficient product quality, and the latter object that the inability to interest people is to blame. I am sure you have already observed this situation.
How can you handle it? At the meeting on the release of a new product or service, pay special attention to discussing the needs of the buyer, the processes of his decision and purchase. Discuss which key questions may be asked.
Brainstorm to decide what to do if sales do not go. Ban brochures and presentations in PowerPoint from the very first commercial calls. And use the principle of feedback when communicating with customers - this will help you stay open to their needs.
5. First call to the best customer.
Tick-tick, tick-so ... You still count the days, when will you be able to inform your most promising potential customers about your new product, right?
Slow down, not so fast. When you start selling something new, there is always a learning curve. Too great a temptation to issue a “mountain of advantages” and raise objections that you cannot overcome later. So you will only cause confusion with your presentation, and your answers to unexpected questions will sound like a complete hoof.
So do not even think of starting with the most promising customers. Start with the second category. Practice until you can maintain concentration on the client, not the product or service. When you finally smooth out all the roughness, call your best customers, you are ready for it!
The next time when your company will launch a new product or service on the market, do not rush to establish, without special reasons, the internal deadlines within which you must meet. Do everything you need to avoid the common, but often catastrophic errors described above. And you will see a big difference in sales results.
The article is devoted to the launch of a new product or service on the market.
Original article can be found here.
translation of the project Liveidea.ru
Fast start!
')
Avoid most of the errors associated with the release of new products or services.
This article was published in a special “Growth Guide” issue of CityBusiness: The Business Journal, published in April 2002.
New products or services are the lifeblood of any young company. If they are successful, the company can break into new markets, jump over former competitors and shake a bountiful harvest of profits.
However, many new products do not justify the expected results in the first, most significant, months after their release. In the modern economy, when the 'window of opportunity' is open no more than a few months, this can be a real disaster.
During the last decade, I have been working on the presentation of new products and services from many companies. Some of them had incredible success; others were a cruel disappointment. Whenever sales fall, companies reduce production or reduce the pace of work in the market.
If you are going to introduce a new product in the next few months, do it right. Do not repeat such irreparable errors:
1. Flimsy offer
This is the most terrible enemy of everything new, however, and the most often repeated mistake. You may think that your new product is technically perfect, something exceptional or a gift for modern civilization, but this does not mean that the rest of the world will agree with you.
The rule “If you did this, they will come” does not work in the current market. You must describe clearly and indicate the merits. Words like “faster”, “solid”, “advanced” or “best teamwork” are meaningless rubbish.
In order to stand out among market offerings, the merits of your offer must be directly relevant. You should describe in detail and clearly how you have improved operational efficiency, reduced costs, or opened up new opportunities. Tell consumers how you improve their loyalty, or describe their competitive advantages. Explain, loud and clear. Your clients are not aware of this themselves, they are often too busy.
Technical companies - beta testing is an excellent tool for you, often very poorly used. Use it to figure out how to sell your customers. Find out what problems your product helps to combat, their branching and interconnection, as well as the merits of their solutions. This is invaluable information you may have missed while testing the product.
2. Insufficient addressing of offers
Lured by the enormous potential of the market, growing companies prefer not to limit their freedom. However, in fact, lack of focus increases costs.
As the product is constantly improved in accordance with the many needs of customers, the cost of development soars to the skies. Thus, the final product completely does not meet anyone's needs. Trying to be comprehensive, marketing programs such as advertising, public relations and related are diluted and too scattered to be effective.
To increase your chances of success, focus on small market segments. Focusing, focusing, focusing. Learn everything you can about targeting customers. Understand what is important to them, how they buy, how they say, what they read, what kind of meetings they attend.
Clearly describe your target consumer sales company and do not allow it to sell to one-time customers. First settle in a selected market segment before expanding to others.
3. Inadequate sales tools
In today's competitive market, if your salespeople do not have the right tools and techniques, they enter the battle unarmed. Just a beautiful brochure will not help.
What does the seller need? We should start with a review of what potential buyers actually live, including their problems, participation in business and how much they are willing to pay for changes. Add 10-15 good questions to help discover and explore needs.
Ensure that you provide them with a competitor analysis that describes both strengths and weaknesses. Develop a customer-focused presentation in PowerPoint. Create an easily modifiable proposal template with a management review, analysis of the current situation, recommendations, implementation of the plan and investments.
Spend time and money trying to do it right away or you will have to pay for it later, when sales do not reach the desired level.
4. Imperfect sales process
If you are a participant in the “business for business” market, it will take you from three months to make a sale. To succeed, you must sell by deliberating. However, at the launch stage, the deliberative mood of most sellers evaporates without a trace.
With unlimited enthusiasm for a new product or service, they suffer from the worst form of verbal incontinence. More than 80% of the time they make commercial calls is to talk, talk and talk. What are the results?
The potential buyer asks “How much does it cost?” And, since there is no unmet need or fixed price for the seller, the cost is always too high.
A potential buyer asks “Can this (something insignificant)?” Trying to find a reason for refusal. Once something is missing, it becomes a requirement, and the transaction is not made.
The potential buyer says: “Oh, this is really impressive. I’m sure it will sell well. ” However, while thinking to himself, he thinks: “But not here.”
As a result, a successful sale can keep you waiting for months or not at all. Irritated sellers blame marketing professionals for overpricing or insufficient product quality, and the latter object that the inability to interest people is to blame. I am sure you have already observed this situation.
How can you handle it? At the meeting on the release of a new product or service, pay special attention to discussing the needs of the buyer, the processes of his decision and purchase. Discuss which key questions may be asked.
Brainstorm to decide what to do if sales do not go. Ban brochures and presentations in PowerPoint from the very first commercial calls. And use the principle of feedback when communicating with customers - this will help you stay open to their needs.
5. First call to the best customer.
Tick-tick, tick-so ... You still count the days, when will you be able to inform your most promising potential customers about your new product, right?
Slow down, not so fast. When you start selling something new, there is always a learning curve. Too great a temptation to issue a “mountain of advantages” and raise objections that you cannot overcome later. So you will only cause confusion with your presentation, and your answers to unexpected questions will sound like a complete hoof.
So do not even think of starting with the most promising customers. Start with the second category. Practice until you can maintain concentration on the client, not the product or service. When you finally smooth out all the roughness, call your best customers, you are ready for it!
The next time when your company will launch a new product or service on the market, do not rush to establish, without special reasons, the internal deadlines within which you must meet. Do everything you need to avoid the common, but often catastrophic errors described above. And you will see a big difference in sales results.
Source: https://habr.com/ru/post/12423/
All Articles