Where are your customers physically located? Is there a means of transport and delivery for the product idea for that target group, or will you have to be imaginative and build new distribution partnerships? From a technical perspective, can this product idea be manufactured? Does a manufacturing capability already exist somewhere in the world? 3. Whereas anything can be created or adapted from a photo using Photoshop, engineering doesn't always give us the same creative freedom. If your concept is idea-driven, then perhaps there isn't an existing demand for the product, and the market will need to be evangelized in order for you to sell the product. Is there demand for the product?ĭoes the product you have in mind cover a real need? The importance and recurrence of the need will define the size of your potential market for the product. You can save a lot of time and effort by making sure you’ve considered the following things before embarking on the product creation process.
HOW TO CREATE A BOOKMARK STEP BY STEPP IN YOUR BROWSER HOW TO
What to consider before starting the product development processīefore we look at how to create a product, let's consider some of the prerequisites to product development. You start with an idea and end up with technical specifications, product positioning, pricing strategy, service components, and financial characteristics.Īt its outset, this process can be idea-driven or market-driven, but it mostly follows the same steps. The product development process is composed of the steps that transform a product concept into marketable merchandise. Product development is the first stage in the product life cycle, and when you want to develop a product for selling online, you need to think like Bezos and systematically analyze product, market, and distribution characteristics in order to build your business plan. You probably already know the rest of the Amazon story, although it seems it isn't entirely written yet. It’s an information-rich product, it’s easy to ship, there’s a lot of demand, and it’s a commoditized product with high distributor margins.
That process helped him identify his starting point: books.īuying books online is convenient for the user. When Jeff Bezos started thinking about his business, he did a systematic analysis of all the economic sectors in order to identify what product would be best to sell online.