3 Tips to Successfully Launch a New Product
Every store owner knows that when you launch a new product you are going to be in for a challenge, so here are some tips to help you sell that new item.
Ready… Set… Promote!
The first rule of any new product sales strategy is to know the product. Because it’s new, you’ll have to list the features and ingredients. Your staff need to become an expert on every aspect of it, so you can answer your customers’ questions. If you don’t, you may lose out on the sale.
1. Create a Sales Plan
Your sales plan will determine the price and marketing material placement within the restaurant. You should already have a good idea on the price of the new product. Make sure it’s in line with your competition, but don’t lose too much of your margin. The sales plan should also incorporate employee training on how to sell the new item. This will also get them excited about the new product. Think about using our SMS or Email marketing tools to help promote the launch.
2. Set Goals
The general rule concerning setting sales goals is to be realistic. You can still be optimistic, but your goals need to reflect the market and the product. Make sure the goals are measurable and specific. Including your employees on these goals may drive sales higher, so find the right incentives for them to get motivated and watch those sales grow! Be sure to use our Item Sales Report in DPos and the Cloud Reporting to measure the sales.
You’ll need to create a marketing budget to cover the additional costs in promotions and advertising for the new product. Many of these are simple and won’t cost very much, such as updating your website and spreading the word over social media. All promotional items and discounts will come out of this budget.
A smart way to market a new item is to give it to your best customers, making a small pizza, or one or two ribs and giving it for free for the first 100 orders. Having customers try out a new product can start a word-of-mouth campaign. Then, you can ask them what they thought of it. Plus, their review of it will help drive sales, while giving you a better understanding of your target market.
Looking toward the Future
As a small business owner, you know that you have to understand the market in order to compete. Once you have set up a strategic plan for one new product, you have a model to follow and only need to make minor changes in your plans to fit each new item that comes along. New products and ranges can open the door to new markets.