New product development – Top 10 risks involved

Top 10 Risks of New Product Development & How to Avoid Them

Facing the least market competition is every product developer’s dream. However, the competition is tough today as we live in an era where the tech evolution will reshape each product by 2030. Not knowing how to conceptualize your product and prepare for the market can be detrimental. Today, we will consider a few product development risks, if taken care of, can help to create a successful product. 

Here are some product development risks to keep in mind: 

1. Not planning enough – Let’s take the example of a mobile application. Apps that appear simple and minimalistic stand on the pillars of exceptional planning and hard work. It’s a misnomer that simple-to-use apps are also simple to develop and can be accomplished without much planning. For any kind of product development, you must assess your goals, and then map out a plan to achieve them. It will lower the potential risks of product failure. 

2. Working in a silos – When working on a new concept, it is best to share your idea with relevant departments of your firm. Each one can offer helpful feedback, such as the developer team may also come up with new widgets that can add appeal to your product. 

3. Not defining the minimum viable product (MVP) – Rolling out the first working prototype of a product with the basic minimum features is a good way of getting feedback from early customers. Let’s take the example of an app – by keeping a set of clear deliverables in a MVP you can avoid additional coding in the initial stages. It is usually recommended that you expand the product only after gauging user interest and engagement in the category via a MVP. 

4. Not sticking to a well-defined MVP – Once the minimum deliverables are set, focus on gauging the user engagement. Including any additional feature will only invite costs and time. Set a clear focus on the problem you are addressing through the product and how you can solve it with minimum features. 

5. Not creating a team for product development – Identifying your team makes the product development cycle a seamless one. People tend to miss on it, paving their way to product failures. You must have a team for the development process with who you can have brainstorming sessions and sounding board meetings. If the in-house team is not adept at the latest technologies, you may want to plan on outsourcing some work or augmenting your staff. To bring an idea to life, you need dependable and skilled talents. 

6. Not creating a beta version and trying to implement all features in one go – Your product may have only a few hundred users in the initial stages. Instead of including all the features at once, you can include core features first and eventually include other features as your client base increases. Also, implementing all the features may delay the launch. You can create multiple beta versions to see which one gets the maximum engagement. Based on your observations, you may proceed with the development process. 

7. Not considering a marketing approach – Not having a marketing plan at the right time can result in fewer users at the time of product launch. This is not exactly a risk to the product but right kind of branding and marketing can get information about your product out in the market. The marketing team can popularise your Unique Selling Proposition (USP) and promote it on different platforms.  

8. Not learning from user feedback – This can keep you from improving your product. Ideally, most of the decisions in product development are user-driven. You are helping users solve a problem; therefore, it is your job to offer them a seamless experience when using it. It is best to constantly take feedback from prospective users and keep improving the product. Resolving one negative feedback can solve the problems for other existing and potential users. 

9. Trying to satisfy all users may kill your business – You can avoid the risk by taking balanced decisions. Understand that meeting every user’s demand is not possible. If you are using the latest technology, applying the right techniques, receiving positive feedback from most, do not worry! Keep strengthening your brand. 

10. Not planning customer support – Firms that do not plan on customer support may lose their users and market reputation. Unattended users become the source of negative popularity. Whether you have a few users or in millions, treat everyone with care. You can provide them with a support email and look to resolve issues privately. 

The product development cycle is continuously evolving; overlooking any of the mentioned risks can significantly decrease chances of success for your product. A sorted plan, clear communication, and timely decision-making can save you from pitfalls.

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