Many now famous entrepreneurs sat on their new product ideas for a long time before prototyping that idea and taking it to market. Those same entrepreneurs often say that their biggest regret is that they didn’t do it sooner citing lack of resources and information.
In today’s rapidly developing and evolving information super highway, an entrepreneur has nearly light speed access to just about any type of information needed. An argument can be made either way that the sheer abundance of data is helpful or harmful to ones cause.
Efficient entrepreneurs find ways to focus on the information they need and block out the rest. So what type of questions does an entrepreneur need to ask when exploring a new product idea further? Are there boiler plate questions to help narrow down and research information to avoid data overload and sitting on an idea vs. making it happen?
The answer is yes, and here are a few questions to start out with. If you cannot answer these basic questions, your new product idea needs more work before considering prototyping or patenting.
4 Questions To Ask Yourself About Your Product
Who Is My Market?
Identifying a market means looking at every aspect of your expected customer. This includes the average age, marital status, average annual income, geographic location, purchasing habits, and behaviors. Google is fantastic for finding information related to these statistics.
What Makes My Product Different? Better / Faster / Cheaper?
Product differentiation is key to successful innovation within a market. Combined with effective marketing, these two traits can make for a long term product run on the market leaving the competition in the dust.
Does My Product Offer Value?
Value comes in many different forms but mostly comes down to price, problem and quality. Does your product fix a customer problem for the right price and is it frustration free?
Is My Product Needed Or Wanted?
A consumer purchasing decision comes down to one of two primitive mindsets. Is your product needed or wanted? Depending on the answer, may give you some insight as to when to launch your product and for how much. Needed items tend to be more recession proof, but also have lower margins and more competition. Wanted items do well in the months leading up to major holidays and just when tax refund checks start arriving in the mail.