The 3 Essential Elements of a Streamlined Product Strategy

A market need includes:

• Better serving an existing need. For example, Uber took the taxi-service industry and found a better way to meet driver and customer requirements.
• Uncovering an unknown need. For example, developing a product no one imagined was possible to create.
• Creating a new need. For example, the iPhone created a platform for applications to simplify peoples' lives and then created consumer needs for the applications.

To develop new product ideas, ask:

• If you decided to end your current product line in six months, what impact would that have on your customer? If there would be little impact, consider not expanding this product line.
• Is your new product going to disrupt the market? If it only creates a ripple on the surface, you need to reconsider whether to pursue it at all.
• What would happen if you were to delay the release of a new product to make it more advanced? A good product roadmap consists of balancing timing with opportunity.

Consider your current capabilities and those that could be acquired. The minimum capabilities are:

• Technical. Without this capability, your team will be unable to create the product. It may seem obvious but is often overlooked.
• Manufacturing. Pay attention to the criteria when evaluating potential manufacturers, such as experience building similar products, robust quality control, suitable financial and inventory terms and conditions.
• Distribution. Without a sound distribution system or network, you will not be able to support the demand of your customers.

Reputation impacts the success of your product in two ways:

• In the ethical and moral behaviour of the company.
• In the company's expertise in a particular area.

The success of the sales, marketing, and distribution channels is based on your reputation with customers.

One way to improve your chances of success is to analyze your company's reputation from an outsider's point of you. Read press releases, listen to investors' feedback, gather data on complaints and requests with your marketing or customer teams, research online reviews, and invite customer responses to your new product idea.