Navigating The Unique Challenges of Scaling Up a Product
This blog post will discuss the challenges of scaling up an early-stage product to a full-scale business.
It identifies six major areas that require attention and insight, including prioritization, understanding one's capabilities and limitations, cash flow management, managing customer relationships and expectations, growing sales teams in the organisation fast enough to keep up with demand, and continuous learning in the discipline.
A unique feature of this piece is its ability to have significantly different perspectives on how each topic should be handled by both startups and companies.
Lately, it has become increasingly common for entrepreneurs to seek funding right after launching their companies.
Is This Trend Something We Should Consider Avoiding?
This is not a new question. Many of the investors and board members that I talk to regularly are concerned about the risk of this being a growing trend.
Many unique challenges come with scaling up a product, and these challenges can be enough to put you out of your comfort zone if you are not prepared. The main challenges are
1: Does The Packaging Make Your Product Complete?
Custom packaging is a crucial part of the promotion of the brand. Without the perfect packaging, a product can never stand in the market.
This is a big challenge for a businessman to choose the perfect custom boxes for their product because the custom boxes increase the worth of the product.
Custom printed boxes are one of the most vital components of a company's marketing and sales strategy. Without it, a product cannot stand on its own.
A good product needs to survive the distance from manufacture to your home, and then again through your home until you reach the point of purchase.
This requires that the product be packaged with care to avoid any damage that could occur during shipping.
Despite this necessity, many people are still willing to purchase products without considering their protective features, such as custom packaging, which can often lead to consequences like cracked screens or breakages at their destination point.
2: Why Is Marketing a Challenge to Scale Up the Product?
Today, marketing is a source of the scaling up of the product. For example, if you are selling cosmetic products, you can start branding with custom packaging by adopting different cosmetic packaging ideas.
This will make your product stand out in the market.
With the explosion in recent years of both new businesses and new technologies, it is increasingly hard for small firms to get noticed in a competitive market.
Marketing has always been one of the most difficult tasks for any company, big or small.
Some of the key challenge’s marketers are likely to face as they try to scale up their products and how organizations can negate these hurdles.
Organizations that want to grow must think about how best to scale up their product, whether that's a physical product or one that's digital.
But there are some key challenges marketers are likely to face as they try to scale up their products, and organizations can negate these hurdles using the following strategies:
However, with the right strategies, these challenges can be easily negated.
The three major challenges that many marketers will come up against when trying to grow their ventures are:
1: Lack of Capital
It is not easy to run a small business. The several reasons that a small business can never stay in the market. The most common thing is the lack of capital. Results of the lack of capital are
- Not having enough to cover overhead expenses
- launching a new product to market
- Opportunities for funding expansions
The lack has been demonstrated through too few resources available for physical advertising, a dependence on one form of media, and the need for costly print ads or television spots.
2: Bad Positioning
The marketer may forget or not see the importance of what is called positioning.
This is when a product, service, or idea is placed in a way that seems more desirable than its competitors.
One common example of positioning is to bundle two products, one more expensive and the other less expensive.
The cost of the two combined will be cheaper than purchasing them separately and implies that you are getting a discount because both products were so good that no one wanted to purchase just one of them.
3: Market Saturation
It is not enough to launch a new product. The marketing and distribution challenges are steep, and if there is too much competition the product fails.
Market saturation must be managed carefully if you want your new product to succeed. So, you have got a brilliant idea for a product, and it seems like the perfect time to launch.
But as you look through the list of competitors for your product, you realize that there are already so many other products out there like yours that it may be tough to break into this saturated market. It may seem impossible to compete in such a competitive field.
3: Inefficient Time Management and Processes
Time is money, and it is true. The challenge of finding important information in the right place at the right time can be a struggle if you do not have an established workflow and processes.
If you are struggling with this or any other issue in your company, this is the thread for you.
Poor time decisions can cause the following impacts on your business.
- You will not finalise your project
- Can never perform the tasks
- Cause many interruptions in your work
Time management is necessary because it can cause failure.
4: Does Location Matter in The Promotion of the Product?
For the promotion of the product, choose the perfect place. Some people say that the product is what matters in a promotion, while some others insist that where the advertisement takes place is more important than anything.
Whether they are on social media, in news outlets, or in blog posts, when people promote their products with the use of photographs or videos, there is always some sort of reference to location.
5: Workflow Management
The workflow is necessary for productivity and the improvement of customer satisfaction. It is the identification of organisation and the coordination of set particular tasks that produce a specific task.
Workflow management is a process of grouping activities, typically including more than a single activity.
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