Invention Evaluation

STEP TWO

INVENTION EVALUATION

The second step of inventing is evaluation of an idea.  Every inventor loves their idea but that does not mean everyone else thinks it is a good idea.  An inventor needs to LISTEN carefully to others and get independent feedback.  An invention should solve a problem or be a significant change from what is available.  An invention that solves a problem is going to be very successful, however, what one person thinks is a problem many others will not.  It is discovery of what other people think that dictates the success of an invention. If other people think an invention solves a problem, they will buy it at the right price. 

An invention may be very different but that does not mean other people will like it.  People must recognize the difference and want to buy it.  For example, an object is usually white but a new design makes it multi colored.  People who buy this product will have to like the concept and the colors / design to want to buy it.  Feedback from professionals, people, groups, etc. are critical in the early stages of a product.  Feedback from various sources will not only ascertain that the idea is great but it can also provide information on how to improve the idea so it can be more successful.

It is also important to evaluate manufacturing and marketing a new concept.  Manufacturing costs will ultimately determine the cost of an invention at retail.  If costs are too high, people will not buy it.  Marketing must identify how best to reach a target audience who will buy a product.  Marketing techniques and cost of acquisition is critical to success.  A person can have the best invention in the world but if no one knows about it, no one will buy it.

FOCUS GROUPS

A focus group is an independent group of people put together to evaluate ideas. It is a form of qualitative research in which a group of people is asked about their perceptions, opinions, beliefs, and attitudes towards a product, service, concept, advertisement, idea, or packaging. A moderator helps direct them so they can get truly independent feedback.  People are put in a room and asked to evaluate a product or idea.  They look at a concept and offer feedback.  A moderator guides them about specific aspects of an invention so feedback is about a specific aspect.  For example, what color should the invention be or what material would be most pleasing.  A focus group must be representative of a target market.  Chefs should not be evaluating golf equipment.  There will be many factors to consider when identifying your target market including age, socio economics, sex, race, geographic area, etc. There are many professionals in the marketing area that run focus groups.  Learn more by searching online to see how it is done.

Investors should not try to run a focus group themselves, as they will try to steer participants in one direction and not get true feedback.  Focus groups are only a small segment of the population so the feedback received is important but not the final word.  The results of a focus group are more valid as the number of participants increase.  Statically analysis of the number of participants and characteristics or each participant can quantify the accuracy of feedback. Often, inventors groups will hold focus groups.  Inventors recognize the importance of being honest and will give constructive feedback on whether an invention is a good idea or not.   Inventors also have many resources that can help new inventors evaluate manufacturing and marketing costs.

Focus groups are also found online through various websites. These websites will evaluate demographics, age, and sex etc. to tell where the best market potential will be.  Online surveys offer professional guidance or a person can do it on their own.   Online site have up to two million participants so the results are extremely accurate.  Usually, a series of questions are presented with multiple answers to choose from.  Questions can be as basic as would you buy this item to how much would you pay or what is the best color.  Each survey defines participants.  For example, it is important that people taking a survey for a cell phone accessory that the participants own a cell phone.  A large number or parameters are defined for each survey.  These surveys allow extreme accuracy depending at a cost. The cost can be as low as three hundred dollars to thousands depending on the number of questions and the number of participants. The level of accuracy desired determines the number of participants.

MANUFACTURING

An inventor needs to evaluate costs to manufacture a product as early as possible in the inventing process.  Often, this cannot be completed without 3D files or prototypes of a product however, it is important to evaluate costs as early as possible.  If a product costs too much to manufacture, it will cost too much at retail and people will not buy it.  Inventors must become familiar with manufacturing processes, assembly, and finishing required manufacturing a specific item.  Materials an invention is constructed of often dictates the process required to manufacture it.  For example, plastics are manufactured by Injection Molding, Insert Molding, Injection Stretch Blow Molding, Injection Molding (Gas Assisted), Blown Film, Extrusion Profiles & Sheet, Molding Expanded Polypropylene (EPP), Molding Expanded Polystyrene (EPS), Extrusion Blow Molding, Injection Blow Molding, Machining of Plastics, Rotational Molding, Vacuum Forming, Pultrusion, SMC / DMC Molding, Resin Transfer Molding, etc.  Metal structures are formed differently with casting and CNC technologies, etc.  Evidently, estimating costs for manufacturing can be complex but there are experts in these areas who can assist you.

Costs to manufacture can differ dramatically from manufacturer to manufacturer and country to country.  Costing requires more than just contacting a manufacturer.  Retail cost is usually about four times the cost to manufacture an item.  Costs of packaging, warehousing and shipping need to be factored in.  There are websites that help identify manufacturers, however, care must be taken for quality control or timely production, as they can become an issue.  Websites post jobs online.  This requires 3D or manufacturing drawings and specifications including dimensions and materials.  Non-disclosure agreements can be executed, however, enforcement of these overseas is impossible.  A series of quotes will be produced usually within a few days.  The inventor reviews each manufacturer that sends a quote.  Websites allow reviews by previous clients so some feedback is available on each manufacturer.  The difference in quotes can be dramatic literally as much as one hundred thousand dollars for the same project.  Companies may consider taking a loss on making molds if they think they will make a lot of money in long-term production of a product. 

MARKETING

Once a market for the invention is determined, evaluating marketing strategies is the next step.  Marketing really is identifying people who want the invention and creating techniques that allow them to know it exists and where to buy it. They will not buy it if they do not see it.  Most groups are well defined, but occasionally the market might be composed of so many people that the cost of acquisition is too great.  Marketing approaches include print media, social media, broadcast media, multi-level, direct, infomercials to retail, email, robot call, etc.  Determining the best marking approach to reach a defined potential client and the cost / profit is critical to be successful.  It does not make sense to spend $1,000.00 on marketing to make $500.00