The Pitch: From streakers to baked beans, keep it relevant

By PAUL HEMSLEY

Whether it is a new line of baked beans or a different way to structure your mortgage, new products are continually flooding the market.

Some launch with a splash, then sink, while others, such as a certain homegrown vodka, achieve widespread recognition.

But it's never smooth sailing. Companies expect to encounter communications challenges while trying to build awareness of new brands.

A significant hurdle is conveying information about a product that is relevant to the end consumer.

In some cases, companies can overstep the mark when trying to get their products noticed - having streakers display the brand at a public sports event is a case in point.

Certain products present more challenges than others. Financial products are not appealing in themselves.

A case in point is the home equity release loan - a new type of financing arrangement whereby people reaching retirement age can use the equity in their homes.

So far, only a small number of equity release companies have touted for business.

To develop the market, equity release companies will need to do a lot more to educate baby boomers about the lifestyle, tax and long-term care benefits of the product.

Managing target audience perceptions around a new product is also crucial, particularly as misunderstanding can act as a barrier to growth.

In the same way that hearing aids should be promoted as a way to enjoy more of life, so too should equity release be positioned as an integral part of retirement planning, not a product of last resort.

With many products, children are key decision-makers whose influence cannot be overlooked.

Whether it's safety features in cars, or household disinfectant, kids can be the difference between a brand being viewed as trustworthy or not.

Leveraging existing brand strength is also important.

If a product is new, but the company has a long history, then the communications strategy should spell this out and tap into any consumer relationships to hit the ground running.

A good example is the launch of the 15-minute "Quick Roast" chicken - a well-known food company took advantage of its reputation as an innovator and producer of added-value products to successfully grow its share of the convenience meal market.

Communicating product benefits to consumers is the most effective way of increasing sales.

Whether the company is a world leader in audio solutions or healthcare products, communications can ensure that consumers really understand the advantages of why they need to buy what is being promoted.

A strategic communication plan with carefully crafted messages that reach, educate and excite consumers can overcome the indifference to any new product launch.

Importantly, for the company's bottom line and expenditure on new product development and marketing, effective communications can make consumers aware, and more specifically, influence them to buy.

* Paul Hemsley is the managing director of Hill & Knowlton, a marketing communications and public relations firm.

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