The holidays can be an extremely profitable time of year to tap into. With the holiday shopping frenzy in full swing, it might seem like a good idea to develop and manufacture a holiday-themed product – but before you start product development, make sure you know all the advantages and disadvantages that come with the territory. Here are a few pros and cons of developing and manufacturing a holiday-themed product.
If you plan things properly, a holiday-themed product can give your business a nice revenue boost. The busiest shopping days of the year fall, of course, over the holidays. This means customers are buying more during the holiday season, so having a holiday-themed product that’s in demand will increase your revenue compared to the rest of year.
By launching a product during the holiday season, you may attract customers who wouldn’t normally see your product. People are out in the stores or shopping online more than they normally would, so they are more likely to actually see your product, pick it up or add it to their cart, and buy it.
Launching your product on time can be challenging even under the best circumstances. When you are developing and manufacturing a holiday-themed product, it’s even more important to launch your product on time. If you don’t plan properly, you will find yourself under additional stress trying to deliver your product by the deadline.
Demand for your holiday-themed product may be difficult to predict because sales will be seasonal. If demand for the new product isn’t predicted accurately, you run the risk of over or under producing – which will result in either too much or not enough supply of your product.
You may also find that by developing and manufacturing a holiday-themed product, you end up competing for sales with yourself. If your current products are available year round, sales of those products may decrease during the holidays when customers opt to try your new holiday product instead.
When deciding whether or not you should develop and manufacture a holiday-themed product, you’ll want to make sure the product is consistent with your brand and what customers are used to seeing from you. If the new product isn’t consistent, especially in regards to its quality, then customers aren’t going to buy your new product – and they may even be turned off from buying your existing products.
There are a number of products that are in demand during the holiday season that aren’t holiday-themed. If creating a holiday-themed product isn’t a fit for your business, consider creating a product that will make a great gift idea for the holidays, but is also needed year round.
Pivot International can help with your product design, development, and manufacturing. We even offer market analysis services so you can determine if your product will be successful before you spend the money to design, develop, and manufacture it. Contact us today to learn more about how we can help you create a successful product, holiday-themed or otherwise.