Friday, November 21, 2014

Product Innovation and New Markets (Tactics)


Hello, I’m Jim Glover, That Branding Guy, for Once a Day Marketing™. Today we are looking at product innovation to expand into new markets.

If you are a car-maker who manufactures heavy duty trucks in a market place where many drivers want better gas mileage, what do you do? When you are one of the world's top beer makers, brewing up a great dark beer, but today's imbibers are gravitating toward craft and fusion brews, what options do you have? Or, what if you recognize there are a lot of urban dog owners who don't have the time to exercise their pets?


The solution? Product innovation that allows expansion into new markets. The Ansoff Matrix model refers to this as diversification. Take a moment to review a previous Once a Day Marketing™ blog: The Ansoff Matrix Model

To solve the three situations above, Ford is launching a new F-150 truck made with an aluminum body to achieve lighter weight and provide better gas mileage. Guinness is releasing a new beer called the American Blonde Lager, manufactured in the USA, a big, grand, different tasting beer. Lastly, Frolick Dogs in Alexandria, VA is a new canine sports club designed to keep dogs fit, a new company with bold offering.

I applaud these efforts of thinking creatively to design new products that address the needs in new markets. According to Ansoff, this kind of approach or diversification is the most risky venture. But as they say: Nothing ventured, nothing gained. So to steal from a popular TV commercial these days: What's in your innovation wallet?

Once a Day Marketing™ positions brands to become #1 in the minds of target customers. Visit our website at www.onceadaymarketing.com. Contact James Glover at (505) 501-1330 or email glover@onceadaymarketing.com. Listen to Ask Those Branding Guys™ every Monday at 11:00am (MDT) streaming live on SantaFe.com KVSF 101.5 FM.

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