Riedel Marketing Group
 

HOMETREND FORECAST : OCTOBER 2008

Important Trends, Relevant News, Useful Tools, and Interesting Facts
About the World of Housewares and Home Goods Marketing

From A.J. Riedel, Sr. Partner
Riedel Marketing Group
Actionable Insight, Measurable Results

Bookmark www.4rmg.com: It's Your Source for Useful Information
About The World Of Housewares And Home Goods Marketing

 

This issue of HomeTrend Forecast focuses on
How to Increase Your Odds of New Product Success

 

My recent survey of housewares manufacturers revealed that at least half of the new housewares products introduced in the past five years were not successful.

Many of these products failed because they should not have been brought to market in the first place. They were products that did not have a clear reason for being, did not meet a consumer need, or were not clearly differentiated from all of the other similar products on the store shelf.

Had the manufacturers who introduced these products done their homework, they would have known early on that the product concept was a loser – before they wasted a lot of money on product development.

They didn't do enough – or the right kind of -- research at the pre-product concept stage, that is, at the point when they were deciding what new products they were going to develop and deciding what features those products should have.

Two companies that did do their homework, that did conduct the right kind of research at the pre-product concept stage, are Weston Gallery and Zibra.

Weston Gallery, a division of Wilton Industries, believes that a thorough understanding of consumers’ needs and wants must drive product development, especially in product categories such as photo frames that are driven primarily by style and price. Dave Ferreira, general manager of Weston Gallery, recently told HFN Magazine, "As a whole, the frame category has become commoditized. No one focused on what consumers want from a features point of view. Our focus, what we believe the industry needs, is to address what consumers want and need."

The company conducted focus groups and interviews to find out what consumers want and need in a photo frame. They found out that consumers want a way to store additional photographs. They want an easy way to put the photo into the frame, particularly a matted frame, and are frustrated by easel backs that prevent them from hanging a tabletop frame on the wall. They also find picture-hanging in general to be difficult. Weston used the insight they gained from this consumer research to develop the 5 Second Slide & Store frame which is specifically designed to address the frustration surrounding photo displaying, storage, and hanging.

Small start-up company Zibra also believes in the importance of understanding how real people think, what real people want, and where real people are looking for improvements in their lives. Zibra gathered together groups of women in several different cities and gave them free rein to brainstorm about the household activities that frustrated them. One of the activities that bugged the women was getting clamshell packages and toy packaging open. The women then brainstormed about how to solve the problem and came up with the idea for a tool that would safely and easily open clamshell packages. The result was the Open It, a multi-tool that safely opens clamshell packages (and other types of packages) that is now in more than 25,000 retailers.

It doesn't matter if you are a large company that sells million of dollars worth of product every year like Weston Gallery or are a startup like Zibra, you can't afford not to thoroughly understand the habits and practices, likes and dislikes, needs and wants of the people who buy and use your products. The amount of money you will spend on consumer research at the pre-product concept stage is a whole lot less than the amount of money you will have wasted if you bring a product to market that does not meet your success criteria.

Gaining a thorough understanding of consumer wants and needs is one of Riedel Marketing Group’s specialties. If you need help with pre-product concept research, we can help. Click here to contact me if you are interested in a complimentary no-strings-attached telephone consultation.

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Would You Be Interested in Having a Group of HomeTrend Influentials Visit
Your Booth at the 2009 International Home + Housewares Show?

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Would you be interested in having a group of HomeTrend Influentials (HIPsters) from around the country visit your booth at the Housewares Show in March? You’d have the opportunity to get invaluable insight about what these trend-setting, trend-spreading consumers HIPsters think of your products. You’d have the opportunity to pick their brains and find out what their wants and need are. The cost to you would be far less than the cost of even one focus group; the benefits would be priceless.

If you would be interested in having a group of HIPsters visit your booth at the Housewares Show in March, drop me an e-mail.

Now Is Not the Time to Hunker Down

Wise words from Editor Warren Shoulberg in his August 25 editorial in Home Furnishings News: “If you’re running less new product, run more. The only thing a beaten-up customer will respond to is something new. If you have the same old stuff, you’ll do the same old business.” Now is not the time to put the development of new products on hold. Now is not the time to cut back on spending on market research. As Warren puts it, “Listen, your numbers are going to pretty much suck this year anyway, so take your hits and get yourself positioned for the turnaround.” Click here for his full editorial.

 

When you want actionable insight that delivers measurable results,
contact A.J. Riedel by phone at 602 840 4948 or by email at ajr@4rmg.com.
To get started, submit our online form.

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