World novelty. A completely innovative collection of products, introduced to the market after long research and development.
Introducing new products always involves some risk, but they have great profit potential. If successful, they can lead to an expansion of the product range and an increase in the number of thailand whatsapp number additional options offered in addition to the main product line.
For example, after the launch of the first iPhone in 2007, Apple has released 33 iPhone models in 15 years. All of these devices have proven themselves in the market and serve more than 1 billion users.
New product lines are products that have been added to production but were previously known. The companies that develop these products have a permanent customer base and are actively working on creating new products, participating in the competitive struggle in the market.
For example, in 2019, Apple launched the Apple TV streaming service to compete with giants like Netflix or Disney Plus.
Product line update
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Product improvement involves implementing changes that improve the quality and value of existing products or services. An example would be updates released to mobile apps. Improvements can be as small as incremental improvements in the formula of toothpaste, or as complete replacements of an existing product.
Repositioning is a strategic approach that some companies use to introduce a new use for an existing product in order to reach an additional market segment.
One example of this strategy is Nokia, which previously focused on promoting mobile phones (with a B2C business model). However, after serious failures in the smartphone sector, the company switched its efforts to providing B2B services in the field of data transmission and telecommunications.
Expanding the product range is the easiest way. These are new exclusive additions that fit harmoniously into the existing product line of the company. For example, Coca-Cola produces a huge number of different flavors of soda in addition to the classic version.
3 Ways to Expand Your Product Line
The following solutions are available to improve the existing product line:
Downward Matrix Stretch: Adding a low-cost product to an existing line will increase sales and attract new customers. A great example of this strategy is Mercedes' collaboration with Swatch to create an affordable $10,000 compact car.
Upward Matrix Stretch: Add high-end products to a company's product line. This is very effective for organizations seeking respect and market relevance. An example of this is General Electric, which attracted wealthy customers by adding a premium food processor to its product line.
Two-way matrix stretching: adding high-priced and low-priced items to a product line will be a great opportunity to expand the range of a company whose audience has only recently been identified.
In addition to expansion, improving a sales line is also possible through trimming it. Consciously review your product range and remove unprofitable products to improve results.