When it comes to making money, few ideas are better than coming up with a new product. If you can create something that nobody has seen before, then the money will come flying at you from all angles.
Having said that, you need to know what type of product to create. There are loads of possibilities out there, so which one makes the most sense? Generally speaking, technology products are the best bet. Think about it, there always seems to be at least one big product on the market every year. It takes the world by storm, and it flies off the shelves. More often than not, it’s a technology product.
So, if you want to make a new product that generates loads of money, then look into the technology sector. To help you get started, I’ve listed a few things you need to create the next big thing:
Find your USP
Why create a product that does everything something else already does? Look at the existing technology we have and think about where it’s lacking. Are there some products that are being held back? If so, then create a similar product that tackles that one’s weaknesses.
It’s simple business, and companies have done this for ages. Look at smartphone technology. One new phone comes out, then another company releases an even better one – and the cycle continues.
Essentially, you need to find your USP before creating your new product. It can look like an existing one and be similar to others, but it needs to have a few features that make it unique. This attracts interest and can help you sell them.
Consider how you’ll make it
Clearly, you need to know how you’ll make your product. Unless you’re a tech genius, you’ll most likely need to outsource the manufacturing to someone else. Regardless, there are some key issues to consider when your product is being made.
For one, think about the type of manufacturing processes that will be involved. These days, a process called low pressure molding is popular in technology products because it’s safe for circuit boards. This has all but replaced the traditional injection molding that used to be used. So, make sure you’re up-to-date with the latest trends to ensure your product is made using the latest and most reliable processes.
Secondly, consider where the manufacturing will take place. Now, this question takes on two meanings depending on if you do it yourself or not. Those of you that do it yourself will need to think about where you will make this product. Can it be done in your garage at home? Or, will you need to find a warehouse to rent out so you can put together your own facility? If you’re outsourcing, then the question is easier – where in the world will you get it done? Is it going to be manufactured locally or overseas? Both have their pros and cons, so look at them all before you come to your decision.
Figure out the costs
The cost of your product is arguably the most critical aspect of its creation. It doesn’t matter how excellent your new tech product is, it has to make a profit. Otherwise, why bother going through all the effort of making it?
So, you need to figure out how much it costs to produce your product. This means factoring in all the operating costs you incur. For example, any manual labor costs, material costs, the cost of outsourcing, and so on. Needless to say, there will be lots of other things that come into play here. Also, this obviously gets done before you start building your product. Once you have the design, you can look into all the different costs. This gives you an idea of how much the product will cost you to make.
From here, you can see how much you must charge to make a profit. Here lies the issue. If your product costs too much to make, it will be sold for a ridiculously high price. This is an issue as it means you might shut out the majority of the consumer market and only target people that can afford to spend loads of money. But, think about your rivals in the industry. Are there any products that will compete with yours? If so, then you can’t afford to sell yours for way more than your rivals are selling theirs. They’ll undercut you too much, and people will go for their product because it’s cheaper.
There’s a lot to take in, but it should help you get started if you want to make the next big technology invention. Come up with a fantastic idea that has a USP, find out how you’ll make it, then tally up all the costs to ensure it’s financially viable.
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