New Product

However, is not true when it comes to go out and win the market, for example in the launch of a new product. In general, SMEs are excellent directories of products and services, making for a good administration and management improve the know-how transmitted by the original owner. Key to success main to begin to establish itself in the market is to have clear definition of the 4 Ps of marketing. Product or service price, evaluating internal and comparative costs with competitors prices. Plaza, target market and distribution. Advertising, different means of communication and dissemination.

If any of these variables fails or is not consistent with the desirable internally (by the company) or according to the external reference (of the market), the sales campaign never give its fruits. Some examples of failures if a lack of clarity in the establishment of these four concepts: product: If the product or service that we offer does not have any competitive advantage over the existing in the market, hardly change the choice of the brand because it is the same. Always in the development of a product or service it is necessary to establish a competitive advantage that will allow us to compare ourselves with what there is in the market. Price: a common mistake that often commit SMEs is advertising the price of a new product or service from the cost that implies the development of it plus the margin that this used to work, that can give results in the company not you the profit you expected or that the product will be rejected because the establishment of prices not took into account existing on the market, i.e. the competitive price. Square: If the new product is the same generic which produces the company but in its variable includes a use which is not that customers give to existing products, we have a rejection on the part of the market. For example, if a company produces lecheen sachet, and suddenly wants to develop a product such as milk powder added to guys sick of nutrition, it will change the way reach the consumer in a case are supermarkets and stores and in the another will be pharmacies.

Surely a Chinese supermarket cannot buy us special powdered milk.