Product Development on a Budget

Product Development on a Budget

When you create your own product, you can do whatever you want with it. You can control and sell by your brand whichever way you want. But before you can have this control, you need to make sure you have a solid product development plan, even if you are on a tight budget. It is important to make all of life’s purchases with some kind of budget in mind. If we fail to do so, we risk making unnecessary purchases or purchasing things at a higher price than is desirable. This is especially true when it comes to starting a business, and specifically, product development. As an entrepreneur, saving money is in your best interest as it yields the greatest profit in the future. However, there is a fine line between services priced low for a good deal and services priced low due to low quality.

When going about the product development process, look for ways to save money without compromising the quality of the services that are provided to you and the quality of your final product. Starting the product development process by conducting proper market research using techniques like Conjoint analysis (see How to set up a Conjoint study), could be a great way to save money since its structure lets you take the guesswork out of every aspect of product design. With a set structure, everyone involved knows their responsibility and what should be expected of them at each phase in the process. And if you need to make changes, you can retrace your steps by going back through the process to find where you may have gone wrong or make strategic pivots. If the product you are working on is digital, you may also wish to invest in privacy software such as the offering from Terratrue (you can view it here, if you are interested) in order to make sure that any privacy risks are dealt with before launch so that the finished product is as safe as possible.

There are more ways to save money when ideating/building your product than you may realize. However, the amount of money saved and the ways you will cut costs depends on the nature of your product. Before making any decisions that may compromise your end goal, consider all of your options and choose the one that will result in a high-quality final product and maximum profitability.

Here are some of our tips for product development on a budget:

Do Your Research

There’s a reason research and ideation is the first phase of the product design process. It’s where you gather the information that will determine the course you will take right up until your product is manufactured. Do your research ahead of time and get to know your industry-learn about your potential customers, product market, and market trends. You’ll avoid mistakes that might slow you down and cost money later on.

Ask for Help

Both seasoned entrepreneurs and newbies need help during this process. A fresh set of eyes can give counsel on things you may have missed and can combine their strengths with yours to create the most sellable product. Although a design team can seem expensive at the start, the help they offer will go a long way in saving you time and money on the steps you know less about and ultimately creating a product people are willing to buy as quickly as possible.

Get Month-to-Month-Pricing

If you choose to get help during this process, avoid ambiguous pricing structures and opt for a month-to-month payment plan instead. A reputable company with flat-rate pricing is sure to have your best interest in mind, helping you through any steps of the design/manufacturing process that you’re less familiar with, without surprising you with unexpected fees.

Product development may seem daunting and expensive, but cutting costs in the right places can save you money and lead to a high-quality end product.

David Robertson