Did you know that 95 percent of new products fail within a year of being introduced?
Blame on it the economy or blame the consumer, but wherever you point the finger, the numbers are sobering for businesses with the “next best thing” and interested in competing in the retail market. Fortunately, you can improve your chances of success by following a few simple steps.
1. Know Your Market
If you don’t know your target market, don’t even think about getting your product on a retail shelf. This due diligence is an essential part of selling your product, positioning yourself in the industry, and marketing your value proposition amidst a sea of competitors. And, of course, it influences your packaging design. Research into the customers you intend to sell to should include answers to questions such as:
- What do they look for in their products?
- Do they value eco-friendliness? Luxury?
- What pain point are they addressing with this product?
Each of these questions will impact the design language used on your packaging.
2. Establish a Price Point
Naturally, you need to determine the optimal price point for your product before it hits retail shelves. There are numerous costs to consider, here:
- Production/ingredient/material
- Manufacturing and distribution
- Packaging design and engineering
These calculations will help you determine both your wholesale and retail price points. Price point data gives your packaging designers important information about how much creative flexibility they have. Items with lower price points can’t sustain expensive packaging, while items at higher price points can get away with luxury designs: Foil stamping, embossing, etc.
3. Study the Competition
What better way to stand out from the competition than studying the competition itself? Look at what your rivals are doing and see what you can learn. This applies to both the packaging design itself and the location of the product in the store. Do they place their products on end caps or point-of-purchase displays? Do their products hang from hooks or sit flat? This data gives you insight into which strategies will be most effective for your own product and which you can go against to differentiate yourself from the rest.
There’s no magic formula to guarantee success in retail, but this is the minimum homework required. If you need further guidance, reach out to brandHEAVY and we’ll make sure you’re prepared to handle whatever challenges the retail world throws your way.
brandHEAVY is a strategic creative studio specializing in branding, packaging design, and product marketing.
Our mission is to take your product and create personalized branding solutions that create instant brand recognition. Contact us for more information about how we can help you build a design your customers will love!
