A company that is known through its flagship product has a huge responsibility to manage the production and sale of this product efficiently. Companies can expand to offer other products but not without the consistent revenue created by a company’s cash cow of a product. Maximizing revenue from the product should be the primary goal while balancing the product’s quality simultaneously. A company that continually relies on the newest releases of their flagship product for annual revenue need loyal customers. Consumers that have had issues with iPhones could swear them off for the Android equivalent. One mistake or glitch can lead a customer to go elsewhere so quality should never be low priority.
Inventory Management is Imperative
Inventory management needs to be closely monitored as running out of a certain piece of a product can halt production indefinitely until the parts come in. Manufacturers need to have a software that helps with this as it can be easy to overlook a certain part of inventory if numerous parts are needed per product made. Multiple channels to find the same part can be essential especially if one partner runs out of parts unexpectedly on a regular basis. Doing an IC search can help list out parts as well as companies that produce these parts around the world.
Customer Service Needs to be a Focus
Customer retention needs to be as high as possible when it comes to a flagship product. Different generations of a product can span over decades allowing a company to be profitable over considerable amounts of time. John Deere tractors and lawnmowers are a great example of products that are used for a lifetime. Entire families use the same brand lawnmower especially if they live on a large piece of land or a farm. Being able to quell the concerns of an customer that is upset can salvage a relationship that leads to multiple future purchases. Addressing the concerns of the customer will also give the product another chance in their minds if sent a new model. Social media is a platform where people can voice their complaints in a public way so others can see. Failure to respond to these complaints looks like lack of care for the customer. Saving a relationship with a customer by offering a discount or replacement is well-worth the time/new product.
Offers to Purchase The Rights of the Product
A smaller company might be approached by a tech giant to purchase the rights to the product. The Oculus Rift is a great example of a product that helped a small company be absorbed by Facebook for an immense payout. Offers might come pouring in depending on the popularity of the product as well as what kind of patent it may or may not have. Partnerships should not always be rejected as the right partner can take the sales of the product to new heights. Keeping a record of all of these offers as well as expiration dates of the offers need to be handled. The ultimate decision to sell the rights to the could be up to a committee of investors so gathering these offers in an organized way is essential.
Improvements/Updated Versions
Improving a product is going to happen with time as materials improve to become lighter or more eco-friendly. The tough aspect to manager during the improvement of a product is not to change the product too much. Losing the integrity of the original product can lose customers that thought the original product was practical. Slowly rolling changes out over time can help sell more products as everyone wants the best version of a product they use consistently. Feedback from customers can be the perfect way to prioritize updates to the product as this data can easily be gathered from reviews across the internet. Market research over time can be a huge help as well as seeing the way consumers are thinking in terms of a product over time is valuable information. Seeing the trends of consumers can allow a company to update a product in a way to appeal to the current owners and potential buyers.
Client Managers Meeting Face to Face with Large Accounts
A tech product that is sold in retail store across the country truly has expanded its reach into the daily shopping experience. The account manager that deals with large accounts like that of Walmart need to meet with their point of contact face to face a few times a year. A product being on the shelves of this retail giant is far more valuable than visiting this client weekly if need be. Client managers should build rapport with clients as well as take them out to dinner/entertain them. The point of contact for a large client will not leave a business relationship they are happy with as long as it continues to be mutually beneficial. A tech company selling their flagship product in all major retailers is a recipe for success but the competition to do so is intense.
Selling a flagship product needs to be done carefully as tarnishing the name of the company or product can spell doom for a business. Take the time to focus on manageable details to help increase the likelihood for success!
