How can you differentiate your product from competitors during a launch?

In my experience, the best way to launch a product is to have a small, specific target market. As the saying goes "if you're for everyone, you're for no one." Determining what problem you're solving (consumer behavior), for who (psychographics/demographics), with what (features/RTBs), and how (messaging) is the secret sauce to a great launch.

There is always a segment of the market that is not yet captured (or less crowded) to be explored. Understand them better, learn about them deeply, and adjust your product offering, marketing, and communication based on that insights.

Assertiveness in product marketing will always be linked to research. Therefore, it's advisable to consistently invest in identifying your target market and segment. You will have much more success when launching a new product into the market.

Identify the key characteristics of your target market segment by: 1. running interviews; 2. performing competitor analyses; 3. identifying mega trends that might affect buying decisions; 4. creating a persona. Then run activities of customer discovery by designing advertising campaigns that can deliver the right message to the right audience in the right context at the right time. Experiment and constantly asses and adapt your marketing strategy to new external and internal changes.

Once you have determined your target market and customer segment, figure out if you have a first-mover advantage in the market you are trying to enter (unlikely, but possible). If you don't, you will probably have a few competitors that offer similar products and have existing customers in the space. Determine who they are and identify their strengths and weaknesses. Then, conduct a detailed value assessment of your product to understand how you can differentiate from the competition and position the Unique Selling Points of your solution. Product USPs could include features/functionality, application areas, price, brand, integrations, etc.

One time at work, we had developed a new RTD milk formula. We did extensive research previous to launch, including creating a sensory mapping of all the competitors' products, confirming preference with consumers, comparing nutritional credentials, creating a compelling story. But in the end the key to a successful launch was the out-of-pocket price point below competition, achieved by introducing a smaller size portion. It was reinforced by talking about portion control and being below one hundred calories per pack, so it was a round proposition to customers and shoppers. And it was only possible by identifying all the competitors' propositions.

On some ocassions it is worth conducting a market test, confining your launch to a specific region or channel. This will not only help test the price/acceptance/desire hypothesis but also will allow to gather social proof to highlight to other customers, display in social media and help to create excitement among your sales force. Although it is very tempting to confine the test to a single customer, it is worth consulting the sales teams to make sure it won't create a problem to list the launch with the rest of the target customers.

Make your customer feel part of your story. You can also involve them in your advertising campaigns as well as ask them to co-create your story. Ask them what they want and above all, what they do not want. Use the Value Proposition Canvas (of Alexander Osterwalder) to understand what pain relievers and gain creators you are offering them and develop a story around them.