Launching new products and services can be the lifeblood of a business; bringing additional revenue and profit growth. But how do you decide which ideas are going to make a difference? We take a look at 6 proven methods to help in this process. We also take a look at how the lifetime transfer of gifts and assets can impact IHT, as well as the calculation and reasons for measuring efficiency ratios in your business.
If you’re in business, or are thinking about running a business, chances are that you have lots of ideas that could transform your fortunes. But how do you know if they’re ‘good’ ideas, Ideas that will bring new revenue streams and profits? Start by considering the following options for finding ideas for your next product or service …
1. Find an idea that provides a solution to a specific problem. There are plenty of businesses that have been founded on the principle of solving a specific problem. Do your research and be clear that this is a real and not perceived problem, and that it has the potential to scale.
2. Find an idea that offers further improvement or development of an existing product or service. The key point here is that the improvement must be valuable. You can improve something, but it only becomes more valuable if the customer cares about the improvements and is willing to pay for them.
3. Find a fault in an existing product or service and remove it. Can you think of a product or service that could be better? Can you design and build a solution that is better? If you can, and there’s sufficient demand for the solution, you have the basis of your next product or service.
4. Find an idea that fills a gap in the marketplace? This could be as simple as starting a business in an area where there are no competitors, such as an organic produce shop in a suburb where it is hard to otherwise access organic goods. It could also be creating a new product or service to fill a perceived need. Examples are co-working spaces that are popping up all around the world, or the hundreds of baby products that seem to be invented every day. The trick with this strategy is validating that there is indeed
5. Find an idea that provides a product or service at a lower cost than existing alternatives? The internet has spawned thousands of businesses who take advantage of this kind of opportunity. Examples here include udemy.com and learnable.com who have brought down the price of training and professional development by delivering courses online.
6. Find an idea that provides a product or service that addresses a need that is not currently being met? This need may be something that people are unaware of. An example here was the development of the iPod by Apple. No one realised they needed to carry their whole music collection around with them, but as soon as it was released, it was a must have item.
If you are actively involved in generating new ideas for your business make a start by trying this. Set a timer for 25 minutes. Create one idea for each of the categories above and see if you can generate some good business ideas that could transform your business. You can do it!
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