Why Time to Market is So Important: A Beginner’s Guide
A million-dollar idea or billion-dollar market disruptor won’t earn the first dollar of profit until it is available in the marketplace.
Time to market, or TTM, is the time it takes for a concept to go from being a new idea to being a card swipe away from the end user’s hands. Companies with a short time to market are more agile and more profitable as they’re more likely to be the first to market with a new product or innovation.
Enterprises that are serious about speeding up the time to market for their products should take strategic steps to a nimbler organization.
System applications and products, or SAP, are vital to accelerating a product’s time to market. Run SAP solutions like these are powering the digital transformations necessary for faster TTM.
These platforms and services make SAP infrastructure management possible through monitoring and automation capabilities. Providers let companies’ SAP software have reliable access to secure data and analytics to help project managers better understand their business, products, and customers. This security gives companies greater efficiency with less risk.
Companies that are slow to market might find that their new idea is outdated by the time it reaches customers. This turtle race means wasted resources, a damaged reputation, and a slimmer bottom line.
An effective integrative marketing strategy added to a rapid time to market for a product can ramp up profitability and growth for a company. Integrative marketing develops a relationship between customers and the companies that serve them. Prompt and helpful responses, excellent customer service, and creating a desire for new products are all factors in an integrative marketing strategy.
For a new product, integrative marketing is essential. Customers need to learn more about new products and innovations, making relationship marketing a key sales aspect. Integrative marketing should be part of the product’s development strategy to launch campaigns as the product becomes available.
Integrative marketing should continue after a product arrives in the marketplace for better communication between companies and customers and a ready fan base for updates to the new product.
Another critical key to faster time to market is test automation. Automating the testing process for a product increases profitability, reduces costs, and shortens the time for delivery to the marketplace.
For new products in technology sectors, test automation not only makes the testing process faster but more accurate. Though you’re prioritizing efficiency, testing should not be so rapid that the product contains errors. Being first to market means less for your profit margins if your product doesn’t work as intended.
Shorten approval time
Time to market is a critical factor in successful product development. Efficiency, effective planning and marketing, and technology all play a part in a successful time-to-market rate. Faster time to market doesn’t occur by chance, though.
Securing market approval as soon as possible after product testing is crucial. Shortening approval processes is possible if those reviewing the product have equal access to the same data and documents.
If those approving the innovations can complete the product approval process at roughly the same time, the new product can gain approval in a timely fashion. This timeliness shortens a product’s TTM metrics dramatically.
Companies that can adapt to changes in the market – including changes in regulation, new products on the market, or supply chain delays – will usually have a shorter time to market for their products.
Being able to adapt in real-time by having back-ups in logistics or a more adaptive culture will give quick thinkers an advantage over slower competitors.
Studies have shown that a company six months late to market with a new product will make 33 percent less profit on that product over five years. Profits and time to market are an inverse ratio. Longer profitability follows shorter times to market, making time to market a key factor for companies to measure.
For a company to have a fast time to market for new products and ideas, the workflow will need to be smooth and efficient. Project managers must work to increase collaboration and decrease delays, which can be costly.
Cloud computing can promote collaboration among team members, especially those working in different locations around the globe. This access can allow for a smoother approval process and better communications among team members. Any increase in efficiency and communication will always be a benefit to your company.
Companies that have faster times to market are more competitive. These companies have a much greater chance of being first to market with a new and groundbreaking product. A slower time to market means that company rivals might be the first to reach customers with a similar product or idea. As the experts say, “Time is money.” This TTM beginner’s guide can help you save a bit of both by optimizing your development.