Product price is one of the fundamental factors you need to consider when launching a new CPG product. Most fast-moving consumer products have to keep prices competitive to appeal to a larger portion of the market. However, if you’re a natural CPG business, you can price your products higher than average to make a higher profit per unit.
At emerge, we’re a natural specialty products consulting agency that has helped countless startups and leading businesses successfully launch new products. Here are some tips you may find helpful.
Consider The Product Size
Wherever you’re launching a new product, there are probably other products you have to compete with. One good strategy for new brands is to fill a gap in the market. Let’s say you’re launching a new multivitamin product, and you notice that the current alternatives in the market come in bottles of 30 pills. You can separate your product from others by choosing a 7-pill product size.
Many people will find your product more convenient, such as people who are used to weekly pill organizers. There are countless we find market gaps in products here at emerge. Get in touch to find your place in the market.
Consider The Product Quality
Quality is another factor that determines the prices. You can find the right quality for your product the same way—by identifying gaps in the market. You can either go for an affordable product that undercuts others or a premium product that you can sell at higher prices. Finding the right balance of quality and price is a bit more complicated—you’ll need the help of experienced consultants.
Use Marketing To Justify Higher Prices
Natural CPG products can fetch a much higher profit per unit than other products right now. However, you must get your branding and marketing right for this to work. You will succeed if you can tell your brand story in a way that explains why your natural products are better for the consumer than the alternatives.
At emerge, we use fact-based storytelling for branding of natural CPG products and capture a substantial market sector for our partners. We’ve worked with some of the market leaders in the CPG industry as a recognized natural specialty products consulting agency. Our natural products & specialty food consultants have also helped countless startups reach sustainability in our two decades in this business.
Want to find the optimal price for your natural CPG product? Hire natural products consultants now!