Is there sufficient margin to justify a new product introduction?
Even if there is plenty of interest in your new product concept, there is little point in pursuing a new product introduction if it will never achieve a sufficient return on investment. As a result, it is important that you do your homework before making any final decisions. Through confirming costs, order volumes and lead times with suppliers, it will quickly become evident whether it’s worth taking the risk.
If your product offers an ample return than that is a positive indication to proceed with a new product introduction. However, if the margins are not quite enough, perhaps the supplier is willing to negotiate on prices. Alternatively, maybe you can work with your customers to increase the sales volume.
To launch, or not to launch!
Download and discover what considerations you need to make in order to justify a new product introduction!