Project Experience

New Product Rumor Confirmation Helps Determine Investment Timing

Client Situation
Retailers are usually the first to know the timing of a new product launch since manufacturers usually need to pre-sell to ensure broad trade acceptance. This early warning of a new product launch allows adequate time for reevaluation the category, resetting of the shelf and in some instances, discontinuation of under-performing products to make room for new ones. Our client is a leading producer of household products was aware that a consumer products giant not currently competing in our client's category, was testing what could be considered a breakthrough product in the category.

Fuld Approach
Fuld and Company spoke with the competitor's production personnel to determine its state of readiness for a national launch, with marketing personnel to determine how well the product was performing in test market, as well as any technical performance or pricing issues that might thwart a national rollout. In addition, our conversations with retailers suggested that a national launch was not likely within the next six months.

Benefits and Implications
By determining the competitor's state of readiness for a national launch of this new product, our client could plan how quickly it needed to invest funds if it wanted to launch a product with similar consumer benefits. For more information, contact Michael Sandman at msandman@fuld.com.