Things to Consider When Launching a New Product

I started writing this post months ago, when I was just getting over the launch of gift wrap and washi tape for the holiday. These two new products had my head spinning for months on all the details involved. I was reminded of this post I started recently, as I am once again researching, planning, testing new products for this year’s holiday launch. Business logistics are no joke! If you’re thinking about selling something new, there’s a lot of things to figure out.

PRICE – There’s a pretty simple rule of thumb for pricing. This Etsy article is extremely helpful when it comes to pricing your items. The basic rule of thumb is:

Materials + Labor = Wholesale x 2 = Retail

I think there is some give or take to this, depending on your product and the market, but it’s a good place to start.

If you are working with a printer or manufacturer, you generally want to make sure you can charge at least double your cost for wholesale pricing. Then double that for your retail price. If you can’t do this you may want to research for a lower price or buy at a higher quantity to get your cost down.

PACKAGING

Packaging is a great opportunity to add an extra special touch, while creating strong branding. But it goes beyond looks, and should be relatively easy and always cohesive.

Things to consider when planning your packaging:

• Are the packaging supplies affordable? Are you using a firm such as Flexible Packaging Products to reduce packaging costs?
• Is it wholesale friendly? Or will you need special packaging for retailers? (Ex: labels, ribbon) – In my experience, some products will need to be packaged more “retail ready” when going to retailers than they are for my Etsy customers.
• Will it ship easily? Safely?
• Is it efficient? I have worked to streamline my packaging process while still giving it a personal touch.

SHIPPING

There are two common ways products tend to get shipped. Singularly, direct to consumer, or in bulk, to a retail store. Unfortunately, these two ways very drastically so you will need to plan each way separately.

Things to consider when planning product shipping:

• What type of package will the product ship best in? An envelope? A mailer? A box?
• What is the best way to ship wholesale orders internationally? Usually USPS Flat Rate’s are most affordable (and by affordable I mean still expensive) but their box sizes can be limiting.
• Will the product arrive safely? Do you need extra bubble wrap?
• What about branding? Make your business’s mark on the outside of your packages.
• Does the customer understand by which means the package will ship?

STORAGE

Well, do you have space for it? Space can be a huge factor if you have a larger product or are buying large quantities to keep your costs down. I know I would be lost without our garage because my boxes are literally taking it over right now(sorry, husband).

Things to consider when planning product storage:

• Is the space big enough?
• Will the product be easily accessible?
• Is it unlikely to get damaged due to weather, foot traffic, etc?
• Will it collect dust?

I hope you found this helpful! Do you have anything to add? I want to hear! xo JA