Product Development Primer

Producing custom products is a complex undertaking that requires considerable lead-time, research, design skills and decision-making. There is no guaranteed formula for success, so planning is vital. If trends peak before merchandise has had an opportunity to sell through, or if a product is simply not successful, it can result in adverse effects on the total retail budget and inventory levels.

Whether in the commercial or museum retail worlds, the trick to successful product development is the same:

• Know your customer market
• Know their taste and purchasing interests
• Know their spending comfort level / threshold
• Match the first three to popular market / product trends
• Manage your financial risk
• And get out when the going is still good

Market Matters
Be sure to match up the product with the market. Know your visitor demographics and target your products to the type of visitor (i.e., cultural tourists, families, young adults, urban boomers, etc.). Do you really know your market? Make no assumptions. Their tastes and interests change over time and you must be aware of those changes. Look at current market trends and your visitor demographics and see where they align. For example, current t-shirt trends use full body images or asymmetrical printing on the front and back of the garment. If you have a younger demographic (15 – 30 year olds) this styling is a stronger seller than the traditional t-shirt format with the image on the front center chest area.

And don’t be afraid to learn from the commercial world. Visit popular malls seasonally (at least twice a year) and see what the commercial retailers are doing in regards to colors, styling, etc. They lead the fashion styling and by studying their stores you can tap into the new trends without the investment of market or design research. Use that information when designing your own custom product lines.

Lead With Love Develop product around the images or objects that your visitors love – their favorites. Not every museum shopper is interested in your logo. But they love the Van Gogh painting, the dinosaur exhibit, the 18th century French period room and that’s what they want to take home in a purchase. Always brand custom developed product with your logo but realize that you don’t have to develop product around the logo alone.

Work with other museum departments to determine which are the most popular images, objects and exhibits in your collections. Be cognizant that curatorial significance may not align with market appeal (an object may be important in a historical context but have limited appeal to a modern market). As a retailer you MUST focus on the images that have stronger customer appeal first and foremost. This can sometimes be a complex and even delicate process, but your focus must be on the earned revenue and sales potential. If you don’t have a curatorial department then get customer feedback on their favorites.

Tell a Story – Sell a Story When possible it is always better to develop a product line or merchandise story rather than one product alone. The same image on multiple types of merchandise strengthens the image appeal and sale ability. For example, a t-shirt, cap, mug, key chain and tote bag with the same image can be merchandised together to create a strong visual story which will have broader merchandising impact and sale appeal than just the lone t-shirt. A good story mix, varied in product category and price point will make all the products sell faster. Keep in mind that some products are always popular with tourists and museum visitors regardless of the retail market trends. The simplest way to get started in product development, and often the way with the best product sell thru, is to reproduce a favorite image on strong-selling souvenir merchandise such as mugs, magnets and t-shirts.

It Takes a Village Learn form your peers. The museum retail community is incredibly supportive and willing to share information. Take advantage of this wonderful resource. Reach out to other museum buyers to find out what are their best-selling products, who are the best vendors to work with and what to expect in pricing and delivery. Learn from your own sales history. Is there a general market item that is a perennial bestseller in your store and you constantly reorder it? Consider turning that into a branded product.

When you have a product development idea or design share it with as many other staff as possible to get feedback. Show them design mock ups or samples and get their responses. Create a product development team, one that can contribute ideas and feedback during the entire product development process.

General Guidelines To summarize, custom product development requires both diligence and patience and for success it must:

• Be ongoing
• Identify market trends early
• Deliver product before the trend peaks
• Keep investments low (low quantities and modest price points)
• Be value priced for impulse purchasing

Joan Doyle is the principal of Doyle + Associates, retail consultants to museums and independent retailers. She can be reached at www.doyleandassociates.com.