Product development is a highly relevant process for a company. Although not all bet in practice. For this reason, it is the logical development of a current company with a medium and long-term vision . With a good product development strategy. And the service competitive advantages outweigh the resources spent in the company's new product development process. It is done within the company or is commissioned to third parties .

Main strategies and advantages of product development

1.- Satisfy customer needs

This is an important advantage of product development. And at the same time, it implies a very relevant product and service brand development strategy , which involves listening to your customers . Knowing their demands , what problems or drawbacks they attribute to a product , why they buy it and despite what issue they don't like so much. These are just some of the questions that will make you know what your customers want . This way you can determine what improvements on an existing product they would like or what new product would satisfy these needs and demands .

2.- Meet the needs or tastes of new potential customers

Product development is key to getting new customers. Both in the same market and in new markets , if the company wishes to internationalize in specific countries . This opening to new markets often requires product development to adapt an existing product to its demands or tastes . Even the Coca-Cola formula undergoes small modifications or changes in its concentration between different countries !

3.- Be more attractive to the public

Over time , public tastes can change as well as their lifestyle. And a product can become obsolete , outdated or obsolete . It is time to dedicate resources to product development. Either, developing new offers or improving those already offered by the company. Brands founded decades ago and that a few years ago we associated with something old and typical of grandparents such as Vichy, Floyd, Moussel are now current and well received by the young public. Marketing to update the brand image together with product development to provide new products with characteristics in line with the current demands of the public have placed them in a privileged place in the market.

4.- Make improvements to a product to reduce costs

But product development is not always oriented to achieve more sales but also to improve profits through a better margin for the company. Thus , innovation in this case has as its main objective to reduce costs . And increase that profit margin. These costs can be of different types . For example, by the use of closer or cheaper products . For a reduction in manufacturing costs necessary to put it on the market . Or by using the waste to develop a new product of a product that the company already has on the market, among others. The food industry is particularly active in this type of product development . Big brands are constantly introducing new products that are nothing more than variations on the previous ones and that bring them significant benefits with the help of marketing campaigns designed to show the benefits of their new products. A clear example of cost reduction: the popular cream with milk, cocoa, hazelnuts and sugar now with a new product with more milk and a lower percentage of the most expensive ingredients such as cocoa and hazelnuts. 

5.- Create or improve a product to meet certain market trends

Attending to market trends for the development of products that comply with them is common in all types of economic sectors . Some of these require a complex and long process of developing new company products. In other cases, small modifications to existing ones and appropriate marketing . It serves to show it to the public are enough to go quickly to the market. For example, the demand for green or Eco products that are already more than a trend is currently growing . More and more brands who commission the development of products aimed at being greener. And to have a line of eco products that completes its current offer . 

6.- Product development for adaptation to new technologies

The popularization of new technologies often makes it necessary to develop products to adapt to them. This to a certain extent is in line with the demands of the client and the market. It is specified in a motivation that forces innovation to companies that want to adapt to it. And have a significant competitive advantage . This is a point of interest in the brand development strategy for products and services today. In some cases it can be expensive due to its complexity and because some technologies remain quickly obsolete . And because of the difficulty in reaching the market at the right time to take advantage of them . Neither too soon nor too late is profitable. For example, it occurs in the electric vehicle sector. Others are more profitable and faster , such as the development of applications in online versions of existing services, such as training courses or online coaching . 

Getting ready to start your product concept development? Our new product development team of experts is here to assist your process.