Marketing Your Creation

When inventors contact my business about Due Diligence I enjoy explain the idea using a simple example. Consider it by doing this, in case a manufacturer is getting prepared to decide to produce, manufacture, and market a new product that may potentially cost $50,000 to $150,000 to create plus inventory costs, they might most certainly take their time to make sure that they may be building a good business decision in moving forward using the product (i.e.: they have done their homework about the product). Therefore, it is possible to sum up "due diligence" as the process of gathering all the details essential to create a good business decision before making the massive financial expenditure. It could generally be assumed that the additional time, effort and funds (i.e.: "risk") a company must spend to produce an invention, the harder they are going to measure the potential license. Keep in mind that even if something is apparently basic and inexpensive, the entire process of developing and manufacturing is rarely simple and low priced. Companies will evaluate such criteria as comments from customers, list price points, unit cost to manufacture, competitive landscape, manufacturing feasibility, market opportunity, etc.



Inventors often wonder if they need to search around on their invention.

As discussed, the treatment depends around the option you've got elected to take your product to promote.

Option 1 - Manufacturing on your own - If you're planning on manufacturing and InventHelp Inventor Service all on your own, then yes you will have to search around. Essentially, you become the maker with the product and as a result you need to carry out the homework on your invention just like other manufacturers would. The issue i are finding is that many inventors who want to manufacture their very own inventions do little, or no marketing homework, which is a big mistake.

Option 2 - Licensing for Royalties - if you are planning on licensing for royalties, i then believe you are able to minimize your homework efforts, because ahead of any business licensing your invention, they will perform their own due diligence. If you are working with a company such as Invention Home, the costs to market your invention to companies can be minimal - therefore it could cost you more to actually perform the due diligence than it would to just market the invention to companies (which, is ultimately your best kind of homework anyway). Remember, you need to have taken enough time to complete your basic researching the market along with a patent search earlier along the way to be assured that your strategy is worth pursuing to start with (i.e.: the merchandise isn't already available on the market and there is a demand).

I want to summarize. Should you be considering on investing a lot of cash on your invention, then you should always analyze the ability first to ensure it's worth pursuing; however, if you can actively promote your invention to companies with minimal cost, there is no doubt that the interested company will perform their particular research (not rely on yours). Note: it will always be helpful to have marketing due diligence information like you discuss your invention opportunity with prospective companies; however, it's not simple to acquire this information so that you have to balance the time and effort and cost of gathering the information using the real need of having it.

I additionally will provide you with some research tips.As discussed, the idea of marketing research is always to gather as much information as you can to make a well-informed decision on buying any invention. In a perfect world, we'd supply the relevant info on sales projections, retail pricing, marketing costs, manufacturing setup and unit costs, competitive analysis, market demand, etc. However, this information is not necessarily an easy task to come by.

If you're not capable to pay a professional firm to complete your marketing evaluation, it's possible to perform the research by yourself; however, you must understand that research needs to be interpreted and used for decision-making as well as on its, it's got no value. It is what you use the data that means something. Note: I would recommend that you DO NOT PURCHASE "market research" from an Invention Promotion company. Often sold like a "first step" (they'll usually approach you again by having an expensive "marketing" package), the details are largely useless because it's not specific research on your own invention. Rather, it really is off-the-shelf "canned" industry statistics, which will not necessarily help you make an informed decision.