It is undeniable that many medical devices in the market today are simply revolutionary. Whether they are surgical related or patent care related, they have contributed a great deal to easing the life of many patients and the work of many doctors. Efficiency in the medical field is 20 times better than it was a decade ago thanks to these nifty devices.
With the importance of these devices evident and the great profits reaped from one many companies and hospitals are itching to release on to the market. The need truly is great but one does not help but notice the great number of products that have failed to rise to the anticipated heights.
What players in the medical device industry need to realize that despite the great innovativeness of the device, they need to ask how timely is its release to the market? How great is the demand? Failure to answering these questions has led to the failure of many product launches.
New product introduction is a delicate matter that you need to handle by answering the following questions:
1. What is the company’s ability to support rapid growth?
In one scenario, a company has an innovative device lined up and the market is ready for it. They launch the product and as anticipated, the device makes a tremendous success within just a few weeks after launch. After the launch, the feedback trickles in and the result is the demand is great.
The need for production is great but the company is unable to handle the influx. Result: the product dies in the market and becomes a one hit wonder or is imitated by another more able company. To prevent being a one hit wonder or worse get the rug pulled from under you by a competitor analyze your structural ability to handle the growth.
If you lack the production ability then look for contract manufacturing that will not compromise your market value. It is important to project the growth to know how to handle it. Always have a plan that answers: what will I do if the product is a massive hit? After all, you want it to be successful.
2. How ready is the market?
This is one error performed by many companies. Although most readily recover, there is no need to jump into a hole just because you can climb out. It is time-wasting and profits losing.
No matter how great a product you have, decide whether the time is ready for its launch. You would rather delay and complete on the details that deal with a failure. The wonders of technology in the name of social media can be detrimental to you instead of helping you. Once there is bad vibe about a product circulating social circles, it will be difficult to resurrect such a product.
3. What is my product differentiation?
Another error of new product introduction is releasing a wonderful product that sadly has no uniqueness. It is important you establish your product’s position in the market. What features make it stand out that will lure in the targeted market? The technology and innovativeness behind it may be impressive but if the buyer cannot recognize this, it will be a major flop.
A failure to analyze this quality about your product will make it short-lived in the market. The question to answer is what is the product’s lure for its designated market?
4. How is its consumer interactivity?
Although this little factor is not necessarily a product killer, it will tarnish an image and lower those profits. If your target market cannot understand how to use the product or if it is hard for them to use it chances are most will reject it.
It will not achieve the intended success and clients will find it hard to trust your products next time you are releasing another into the market.
As you keep the technology top-notch, do not leave behind the consumer interactivity.
5. What is the target market?
It seems like a simple and straightforward question that it would be impossible to miss. However, this simplicity makes many to assume it and just move ahead with the launch. It may seem obvious but it is not ask repeatedly what the particular market for the product is. The product will lack use and sense if it sits in the shelves and not with consumers.
Chad writes for various financial blogs and is a management consultant. New product introduction requires the utmost delicacy in his opinion.