Showing posts with label new product launch. Show all posts
Showing posts with label new product launch. Show all posts

Wednesday, April 7, 2021

Grunt Test

After recognizing that competing insurance websites usually made the signup process difficult, Geico, an insurance company, offered a signup website that was so easy that, according to their unique selling proposition, even a caveman could use it. Their claim was that their website passed the 'grunt test'.

Performing the grunt test involves determining whether your target market can affirmatively answer 3 questions within seconds.

  1. What do you offer?
  2. How will your offering improve their life?
  3. What must they do to buy it?

From the perspective of customer communication, whether through website design, campaigns, research & development surveys, product launchs, product labels or otherwise, passing the grunt test is critical for lead generation and conversion. After all, analytics show that if your communication does not pass this test within a few seconds, potential customers will lose interest.

Landing pages, product pages, campaign pages, any type of advertising should pass the grunt test to convince leads to follow the call to action.

To clarify, the test involves the following elements. # 1 involves clear and simple product identification, #2 involves unique value proposition and responding to customer problems (like pain points, desires or other key motivation factors). #3 involves the call to actions.


CONTENT RELATED TO THE GRUNT TEST

Monday, October 19, 2020

How to Get Authentic Barcodes for Manufactured CPG for Retail Sale Inexpensively

Barcodes provide product information like brand name, product type, variations (like color, size and so on) and unit retail price in the product mix. Example: Brand A, Product line B, Vegan hand bag, Regular Size, Dark brown and so on

Unique Product Code / UPC-A  (aka GTIN-12) and or, their non-North American version, the EAN (aka GTIN-13) barcodes are required on packaging if you manufacture consumer packaged goods (CPGs aka fast moving consumer goods / FMCGs) for retail sale. This is especially the case if your products will be sold at major retail outlets where products are scanned for efficient and accurate identification at the checkout point.

To clarify, each product variation will have two versions, ie a UPC and EAN version. Manufacturers that distribute products internationally have only to verify the preference of all retailers in any supply chain. However, as suggested above, UPC are the standard barcode used in North America while the EAN codes are the standard elsewhere globally. 

However, I still can not stress enough the need to confirm barcode formats with retailers when planning your labeling. Fortunately, many retailers even have machines that read either format without a problem. However, most will object strongly to your simultaneous printing of both barcodes on a single package as this usually leads to problems with efficiency at the point of sale.

UPCs and EANs are used for all retail products, both off and online and with only a few exceptions (such as books, pharmaceuticals and variably weighted goods like meat and vegetables). These codes are highly functional as they are used so widely as a standard that retailers worldwide, of all operational sizes use them seamlessly. Some better known large retailers include Google Merchant, Amazon (for MOST products) and Overstock.com, Trader Joe's, Whole Foods, Office Depot, etc. Regardless of where you source them, all authentic codes originate from the GS1, a non-profit organization that sets the standards for the use of barcodes in global commerce.

However, you can choose to buy barcodes from either 1) the GS1 directly or 2) resellers. While there are ilegitimate resellers (who sell entirely madeup or recycled numbers), it is possible to buy GS1-originated barcodes from legally authorized resellers, whose barcodes never expire, thereby not requiring you to pay the otherwise yearly renewal fee. However, such barcodes must have predate August 2002, (a significant turning point after which barcodes were rented out from GS1 versus being owned outright, can therefore expire and require the payment of annual renewal fees).


GS1 or Reseller?

As just mentioned, purchasing barcodes directly from GS1 requires fees for membership and annual renewals. For instance, the GS1 may require you to pay a $250 initial fee and $50 annual renewal fee for up to 10 unique barcodes, ie roughly $25 per barcode. Being the global authority on barcodes, this option is safe and legitimate. However, when manufacturers find this continual rental cost prohibitive, they may choose to buy barcodes from resellers for a one-time fee that is sometimes as low as $4.25 per barcode (ie a total payment of $42.50 for 10 barcodes or even less, depending on the reseller). 

In the vast majority of cases, reseller barcodes are acceptable to a retailer's 'Vendor Compliance  Program'. However, in the less likely event that you need codes bought directly from GS1 (as when selling through Walmart, Kroger's, JC Penny and Macy's/Bloomingdales), you will have no choice but to buy directly from GS1. Just to explain however, these retailers demand directly bought GS1 codes that carry the manufacturer-owned prefix numbers and therefore the manufacturer's name (versus that of resellers). When you buy codes from resellers, you will essentially use the prefix owned by a reselling company that has purchased barcodes before August 2002.

This video is a brief history that explains how the current practice of resellling barcodes became legalized in August 2002. Before the class action against the GS1, companies were forced to buy massive lots of numbers, specifically prefix numbers that were unique to their company whose following unfixed numbers allowed those comapnies the possibility of assigning tens of thousands of products to that many outstanding code combinations, even if such companies only needed as few as 10 codes. However, these companies filed a class action when GS1 wanted to convert the earlier outright purchase of barcodes to rentals. In the end, those pre-2002 GS1 customers were free to never have to pay rental / renewal fees and to have the right to resell the many thousands of unused codes under their pre-existing prefix numbers.

Since GS1 operates in over 100 countries, you can likely contact an office in your country, or region. If unsure, landing on the GS1 website, automatically provides this information (as the site can detect your location). You will see that office's street address, telephone number and email address.

Beyond this point, this post explains the necessary steps for getting authentic and inexpensive barcodes for your manufactured CPGs for retail sale.


Steps

  1. Establish the type of barcode your wholesale buyers require by requesting details of their vendor compliance requirements. This is part of ensuring good B2B customer relationship building as it relates to trustworthiness (of authentic codes) and giving retailers a good customer experience with efficiently working codes. 
  2. Use only those barcode resellers that are authorized and who sell only unused unique barcodes. Examples include: BarcodesTalk.com at toll free (877) 263-1343 or contactus@barcodestalk.com (my favorite because of their very well-informed and capable customer service personnel that is also available for after-sales care) or NationwideBarcode.com at toll free (888) 356-7770 or info@nationwidebarcode.com.
  3. Unfortunately, it is not possible to access any single database to investigate your barcode number(s) beforehand. 
  4. After buying the codes, you can search through different barcode databases to see whether anyone has illegally used your codes. Unfortunately, there is no single global database for doing this. However, see the following useful resource(s). 
    1. Barcode lookup app
  5. Expect (or request) that any legitimate reseller will provide the following among other things.
    • both UPC and EAN barcode numbers automatically (to represent any single product variation). In only some cases (like that of BarcodeTalk.com), you can specially request the GTIN-14 barcode which some retailers require for master cartons / warehouse packaging. However, the GTIN-14 codes and artwork will require you to pay an additional fee of roughly $7.50 for each code, with the cost tapering if ordered in larger volumes. 
    • graphics, 
    • certificate of authenticity
    • ownership documents 
    • an Excel list of your numbers
    • support (as by email and or email)
    • free registration to a database like upcbarcodes.com of your barcode. This registration may be useful because it makes your product information available on Google, Bing and some smartphone barcode scanners. This is beneficial as a deterrent against anyone wanting to steal the code and or make claims of ownership.
  6. If retailers do not provide one, prepare an Excel or CSV spreadsheet with the following details for submission to retailers for entry into their inventory management database (that connects to their point of sales / POS systems). 
    • brand
    • product name
    • product description
    • Variations like weight, measurements, colors, size, etc
    • Pricing information
    • SKU number
    • UPC or EAN number

CONTENT RELATED TO GETTING INEXPENSIVE AUTHENTIC BARCODES FOR MANUFACTURED CPGs FOR RETAIL SALE

  • Follow the size requirements. for instance, graphics are provided at 1.5" X 0.8". However, you can reduce the size by as much as 20%, ie to roughly 1.2" X 0.64"
  • Establish the type of barcode your wholesale buyers require by requesting details of their vendor compliance requirements. This is part of ensuring good B2B customer relationship building

    Sunday, August 9, 2020

    Shelf Talkers & Other Point of Purchase POP Displays

    Research has shown that nearly 50% of all purchase decisions occur at the point of purchase. Many customers enter into stores without knowing specifically what they want and, consequently need help to select the product solution. Despite this, roughly 76% of shoppers never even interact with sales staff. This is where visual merchandising of consumer packaged goods (CPG) comes into play. As their name suggests, shelf talkers are 'Point of Purchase' (POP) message displays in a sales outlet. It is a customer touchpoint that not only brings attention to your product but also, and more importantly, persuades consumers to buy it (because its unique selling point positions your brand as the best choice). 

    These non-human salesmen are usually made of cardboard, plastic and shiny materials and affixed to display shelves where target customers are most likely to see them. 

    'Pick Me' Messages of point of purchase displays
    Their 'pick me' message is most commonly designed for one or more of the following purposes.
    • Highlight benefits, especially those that appeal to the strongest motivation factors (usually pain points) of your target market, NOT what Herzberg refers to as 'hygiene factors', ie nice to have but not need to have. The buying decision can be made without those 'icing on the top' factors. Example "Acne sufferers are looking to resolve their pain point which involves 4 key points: excessive oil, blocked pores, bacterial infection and inflammation. Consequently, a product that aims to treat acne should speak of how it resolves those 4 pain points. Give priority to discussing these solutions. Conversely, the facts that your product has recycled packaging, nice ingredients and a lovely fragrance are hygiene factors or features that should be given secondary priority".
    • Shout buzz words (ie fashionable jargon or catch phrases) that are particularly attractive to your target market. Marketers should research their industry's current buzz words. They may involve revered features, super-food ingredients, production processes and so on often based on recent research and even popular shows like the Dr Oz show. 100% Natural”, "small batches", "20% More ...”, “Sulfate Free!” "Sustainable", "personalized," "illuminating," "brightening," "shampoo bars," "scalp care," "lip hydration," "beard care," "bakuchiol", "you asked, we listened!", "zero-waste', "stimulates collagen production", "Plastic free" and anything "CBD".
    • Announce the launch of new product variations (like colors, flavors and so on)
    • Boast awards or other forms of recognition that the target is likely to trust. Examples include 'dermatologist approved', 'best seller since 2020', 'used by Oprah'
    • Use branding elements like tagline, the unique selling proposition that your brand uses for brand positioning.
    • Display a sale price
    • Promote related products


    STEPS FOR PLANNING THE BEST SHELF TALKER OR OTHER POINT OF PURCHASE (POP) DISPLAY. 
    1. Have a compelling message. See the most common 'pick me' messages above. 
    2. Be concise. POP displays are NOT suitable for fine print and details.
    3. Use power words. Research shows that power words are effective purchase triggers. Consider those that are brand-appropriate. Common ones include exclusivity marketing and other forms of emotional marketing. Examples inlcude "extra", "exclusive", "premium", "#1", "new", "free".
    4. Make it legible. For instance, use bold, clear and well distanced letters. 
    5. Use graphics to complement your message. Function before form! Never allow graphics to compete or overshadow your message.
    6. Know the retail environment and select a printing medium accordingly. Consider the retail environment and the most suitable medium. What is your packaging like and how will your product be displayed in the retail environment? What are the associated costs for your options? Are there glass counters and at what distant from customers, table top displays, shelves with 1.25" price strips, garment racks, grid walls, peg boards,  gondola shelves (ie 2-sided displays that are in the middle of a walking space), etc? Or is there sufficient space and budget for your own specialty floor display (ie customized product displays, often with life- or over- sized images that has its own floor space and shelving)? Consider associated costs, especially as it relates to floor displays because some retailers charge manufacturers for floor space and even all of the shipping and handling of the display materials. Besides, retailers will afford this privilege to only well established brands and almost never to new ones. In addition to shelf talkers, you can also use 'tags' (that include 'bottle neckers'), 'case cards', 'brochure holders', 'floor stickers', 'table tents', metal displays (because of their shiny and therefore eye catching quality), illuminated signs, and so on. Here are examples of common designs of shelf talker, strips.
    7. a. The simplest form is creased without adhesion. b. differs from a only in terms of having adhesion. c. Unlike the previous 2 that can be stuck anywhere, this option actually snaps into the standard 1.25" price rail without the need for adhesives. The slits might help in preventing shoppers from accidentally dislodging the structure if they bump into it. f. and g. are called 'wobblers' because they move with the air currents of passing shoppers and are therefore very eye-catching. They usually snap into the 1.25" price rail. 

      Tags. Tags are a form of individual unit signage. They include hanging tags like the one pictured immediately above and bottle neckers (that resemble door knob hangers whose hold goes over the neck of a bottle). Tags are so simple but can easily create a sense of prestige.
      Table tents.



        Tags. Tags are a form of individual unit signage. They include hanging tags like the one pictured immediately above and bottle neckers (that resemble door knob hangers whose hold goes over the neck of a bottle). Tags are so simple but can easily create a sense of prestige.
        Table tents.



    8. Survey. Just as you would do with the label of a product, survey your idea to see whether it meets its objective or needs improvement.

    CONTENT RELATED TO SHELF TALKERS & OTHER FORMS OF POINT OF PURCHASE (POP) DISPLAYS
    • Brand voice: taglines
    • Package design strategy
    • Brand positioning
    • Psychological pricing
    • I did not mention posters because they are NOT effective POP displays for drawing attention, especially for new products. Posters are most effective when used outside a store to attract customers with prior knowledge. It is best to not invest in them as retailers are renowned for throwing them away, often even without using them.
    • Multilingual labeling for Consumer Packaged Goods (CPGs). It may be worth having multilingual POP displays.
    • Product mix, how broad and deep should it be?
    • Statistics:
      • 71% of customers shop with a specific scenario, not a product solution in mind (Compare Metrics, 2014).

    Saturday, February 29, 2020

    How to Launch a New Product

    A product launch refers to a marketer's formal introduction of a newly created product to the market for the first time. 


    This post provides useful tips that ensure success before and after the official launch date.

    Product Launch Tips: Before the Official Launch Date

    • Establish a product name, unique value proposition, brand story and logo. As you will see in subsequent points, this is ideal and can be very useful*. If concerned that your brand name can be stolen or otherwise secured, trademark it.
    • 'Coming Soon' (and development diary' landing page with the objective of lead generation, specifically; getting as many pre-launch signups as possible. See how you can prompt these signups using Instagram stories*Do this as soon as you have a product name or other means that the product can be recognized, even before the product has been completely created and is ready. This may require .you to already know the product's name even before it is ready for market. Create a product development diary that includes images of the product and other noteworthy developments. See how to create a winning landing page. Here are some considerations specific to new products / product lines.
      • A product (line) summary. Stress how the product offers a solution to the real problem of your target market. In other words, do NOT make the common mistake of focusing on features. Example: A new line of cosmetics formulated to unclog pores, fight bacteria, reduce excess oil and leave the skin smooth and soft. This line will become available nationwide in only health-conscious boutique stores.
      • Logo. 
      • State the launch date or a countdown timer
      • Email list signup.
    • Product beta testing & reviews with open-ended, exploratory questions and dialog to improve the product, understand consumer perceptions and formulate the best possible messaging for product labels and advertisements. Many marketers speak of having at least 10 people who fit your target market profile. Perfect your 'coming soon' message as and when needed. Here are some key discussion points.
      • Problem description: Ex acne whose 4 key components are excess oil, bacteria buildup, plug and inflammation
      • Current means of managing the problem
      • Reason for selecting that current method (ie competition)
      • How your new product compares with the current method (ie competition), especially regarding key purchase motivators.
      • How well your new product meets established expectations, ie the measure of satisfaction
      • (If the testimonials are being recorded, it would be ideal to ask persons to say the product's name whenever possible). 
    • Advance Testimonials from a beta testing group that do product testing in exchange for the testimonial to accompany the launch. Include social media influencers also.
    • Identify, reach out to and foster relationships with influencers, especially those that have a highly engaged niche audience. Level of influence or engagement is more important than size. Build a relationship with them, especially if you are concerned about them being too big to respond. For instance, learn as much as you can about them and their content and engage with them on their content pages. A successful official outreach may contain the following components. After this stage, be sure to do a followup that includes details of how their input has helped you. Whenever possible, develop the relationship for future ventures.
      • Use email if possible because it has the best conversion rate.
      • personalize
      • complement something specific. Example, I particularly liked how you did 'xyz' in your article 'abc'
      • Explain why you chose to reach out. Example, 'We have the same target market, except that we are in different countries ...'
      • Explain how your product will benefit them in a way that your research shows will be meaningful to them. Example, 'I could share your videos on my social media platforms.'
      • Specify your request. Example, 'Can you please review my product?'
      • Share your social media links and hashtags
      • Request their questions and or requests.
      • Set a deadline (to motive their action)
      • Thank them for their time.
    • Opt-in form for collecting email addresses or Whatsapp telephone numbers. 
    • Publish teaser videos or other content.
    • Have press releases, ie a statement of the new product given to a publishing entity. Examples include the following: 
      • Interviews giving product information, the official release date and so on. 
      • Release the information to press release directories with the help of freelancers on Fiverr and UpWork to create the press releases. Higher level but more costly press release sites include PRweb.com which has the added benefit of generating traffic to your product.
      • Leaking rumors to get people talking about a 'possible product release'.
    • Consider complementary bonus products that will be available only within a limited period, usually the first week of the product launch.
    • Plan promotional media like videos and advertisements that will accompany the product's launch for different social media (like Facebook and so on).
    • Create a platform or means for receiving pre-orders. Treat the pre-order process like a limited edition, ensuring to include all the key characteristics of limited editions (ie lead generation)

    Product Launch Tips: After the Official Launch Date

    • Seek reviews from new customers within roughly 1 month after launch.
    • Based on reviews, improve the product if you can. 

    CONTENT RELATED TO HOW TO LAUNCH A NEW PRODUCT