Marketing executives are frustrated with having limited resources for product launches, despite the importance of new products to profits.
Fully 87% of senior marketing executives believe their companies’ success depends on new products, but only 32% believe their company excels in product launches.
Still, execs expect to handle more new-product development over the next two years as their companies strive for market-share growth and seek to defend their brands from competitors.
That’s the top line result of a survey of marketing and brand managers conducted by product-development firm Markitecture, Norwalk, CT.
Fully 53% of managers say their company doesn’t give enough resources to develop and launch products— though 51% know that most growth comes from new products.
Nearly three quarters (74%) told Markitecture that completely new products, rather than line extensions, are most important to spurring profits over the next five years.
The survey also found that 91% of believe many brand managers aren’t skilled in product launches.
“Companies have gotten all they can out of downsizing and cutting costs, and they’ve extended the hell out of brands,” said Markitecture CEO Robert Shulman in a statement. “New products are now a major factor for business growth.”
