A recent study from ESMT Berlin dives into how companies should launch new products. They say the right strategies depend on what people think of the product and the company. Using the right strategy, like teaming up with tough reviewers or doing tough tests, can make the launch go well.

Usually, companies tell a select group about the product through tests or by getting influencers in their industry to talk about it. But this way raises questions: Who should test the product? How tough should the tests be?

Who might buy

The study found three main strategies based on who might buy the product. Firstly, in markets where people love the product—think of big brands like Apple or Nike—companies don’t need lots of reviews or big tests. Their strong brand and loyal customers do the job.

But in markets full of doubters, like with new or fancy products, companies need to get honest reviews or do serious tests. This helps convince doubters the product is worth buying.

Then there’s the middle ground, where there aren’t strong supporters or doubters. Here, companies should work with demanding reviewers or do tough tests. Good reviews can calm worries, and bad ones aren’t seen as the end of the world.

A unique approach

So, launching a new product isn’t one-size-fits-all. Companies need to understand the market and pick the right approach to succeed.

“Companies with new products have always sought opinion leaders to pass their products onto first, whether it’s book reviewers, magazine editors, or the more prominent social media influencers we see today,” the researchers explain. “It’s easy to assume that much exposure for your product with influencers is a good thing as it pushes demand up further, but this is a tricky game, and companies must be more considerate in their product launch approaches.”

The researchers stress the importance of grasping your target audience’s perception of both your company and the product before launching. The better you understand this, the less chance of facing backlash or encountering low demand due to lack of awareness.