A product launch is an exciting and fun way to release a new product, as it may come in the form of an event that organizes games, competitions, or raffles that customers can join in. However, a product launch is not just full of happiness and enjoyment, as there is a lot of effort and dedication that the owner of the brand and its employees should exert to plan and execute a successful product launch.
But, a product launch, no matter how successful it is, is not filled entirely with positives, and there will also be negatives of it that you should take a look at if ever you are planning to sell a new product. These are the advantages and disadvantages of a product launch to help you decide if it is suitable for your new product and brand.
Product Launch Advantages
The sooner you realize and understand what your target market needs, the better you can prepare to mitigate the potential threats. For example, if you want to announce to your customers where to buy baling wire, an agricultural convention would be a great place to be. Not only will you meet potential customers, but you will also meet other vendors who can tell you what it takes to sell to farmers.
Most companies see a product launch as a beneficial event that would help them in different aspects of their business. And, to be truthful, the benefits of the product launch outweigh its disadvantages since most of the negatives can be prevented if the launch is managed properly. Below is the list of advantages for a product launch.
Boost Sales for the New Product
The product launch’s main purpose is to boost the sales of your new product by bringing it to the spotlight using different marketing tactics like social media ads, print ads, and a special event. By boosting the sales of the product, you may already earn what you spent on marketing and production in just a few months, which is great since product launches can be quite expensive, depending on how big the launch actually is.
Make New and Returning Customers Aware of the Product
A new product that isn’t released with a product launch may go under the radar for both new and returning customers. As such, it is essential to plan a launch event or even just a few advertisements for the new product so that customers will be aware that you released something different from what your store is currently selling. If you don’t have a product launch for a new item in your store, most customers would just assume that the item was already there in the beginning, so be sure to at least let people know that you are selling a new product.
Increase the Popularity of Your Brand
In a product launch, not only will you be able to increase awareness for the new product you are releasing, but you will also have a chance to boost the popularity of your brand, as some people that will see your ads or launch event may become your new customer. So, a product launch is actually quite advantageous in the long run, as it may be a way for you to get more customers and thus increase your publicity and overall sales.
Offers an Edge Over Competitors
To level up your brand and get a competitive edge against your rivals in the industry where your company belongs, you should launch product launches frequently. As explained in the previous advantage, a successful product launch may make your brand much more popular than before since you are expanding your reach online and offline, and this would then allow you to get the spotlight that you have been battling over with your competitors. If you and a competitor are launching a new product, the battle on who will plan and execute the most successful product launch will surely be competitive and exciting.
Disadvantages of a Product Launch
Most people don’t see the negatives of setting up a product launch, and they will only experience these drawbacks once they are actually planning out and organizing the event. Here are the disadvantages of a product launch that you should know about to not get caught off-guard with negative occurrences.
Lengthy Planning Process
A product launch cannot be successful without proper planning, and this process may often take months since you would need to plan out expenses, advertisement designs, and hiring the best people that will organize the launching event. This lengthy planning process can be exhausting, but if you are patient, you will be able to launch a powerful marketing campaign for your new product through planning. In addition, to make it faster and easier to plan out a product launch, it would be best if you can create a team that will brainstorm ideas on how to properly run and organize the launch.
Can Be Costly
The main drawback that many brand owners see when it comes to planning a product launch is that it can be quite expensive, especially if the company doesn’t really earn that well to have disposable income. But, with good budgeting, you may be able to create a product launch that is affordable but can still expand your reach and gain new customers. However, if you are just a startup company that is just beginning to sell products online or in physical stores, then a product launch may not be advisable since you should only focus on earning and not spending.
The disadvantages and benefits of a product launch will be the deciding factors if you want to pursue planning a launch event or campaign for a new product. If you know how to manage the disadvantages or downsides, then it would be a great idea to create a product launch.