{"id":13134,"date":"2017-01-13T15:05:11","date_gmt":"2017-01-13T20:05:11","guid":{"rendered":"https:\/\/www.hostgator.com\/blog\/?p=13134"},"modified":"2017-01-13T15:33:38","modified_gmt":"2017-01-13T20:33:38","slug":"how-to-expand-your-product-line","status":"publish","type":"post","link":"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/","title":{"rendered":"How To Expand Your Product Line, The Right Way"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-15838\" src=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line.png\" alt=\"How to Expand Your Product Line\" width=\"1268\" height=\"707\" srcset=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line.png 1268w, https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line-300x167.png 300w, https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line-768x428.png 768w, https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line-1024x571.png 1024w\" sizes=\"(max-width: 1268px) 100vw, 1268px\" \/><br \/>\n<span style=\"font-weight: 400;\">We\u2019re in the homestretch of the <a href=\"https:\/\/www.hostgator.com\/blog\/start-new-home-based-business\/\"><strong>HostGator Home Business Guide<\/strong><\/a>. Previously\u00a0we covered the basics of <a href=\"https:\/\/www.hostgator.com\/blog\/build-minimum-viable-product\/\">developing a minimum viable product (MVP)<\/a> to test your business idea and get feedback from customers. Now, we look at what to do after you have at least one viable product or service for sale. It\u2019s time to refine it and maybe expand your offerings so you can make more sales to your current customers and reach new customers, too.<\/span><\/p>\n<ul>\n<li>\n<h4><span style=\"color: #cc6631;\"><a style=\"color: #cc6631;\" href=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2016\/12\/HostGator-Ebook-Guide-To-Launching-Your-Home-Business.pdf\"><strong>Get the FREE eBook: Launch Your New Home Business!<\/strong><\/a><\/span><\/h4>\n<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<h2>Start (always) by listening to your customers<\/h2>\n<p><span style=\"font-weight: 400;\">How do you know what to offer next? Listen and your customers will tell you. If they don\u2019t have any requests for you, you can ask&#8211;then use your active listening skills to hear their answers clearly. Start conversations with your customers about their needs when you see them face to face in your shop or at your event booth. Use your website, email list, and social media accounts to ask for direct feedback, host polls, and take surveys. Just remember to ask lots of questions and take your time developing the ideas you get from these talks.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2>Present your existing products and services in new ways<\/h2>\n<p><span style=\"font-weight: 400;\">While you\u2019re listening to your customers, you can also work on new ways to offer your existing product or service to appeal to a broader range of customers. In fact, your current and would-be customers may suggest some of these options to you.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h3>Use tiered pricing to appeal to customers at different price points<\/h3>\n<p><span style=\"font-weight: 400;\">This is a tried-and-true tactic for businesses of all sizes, because it changes your\u00a0customer\u2019s decision from a single binary choice (do they want your product at the one price listed, yes or no?) to a mini-buffet of options they can choose from. <\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-13140 alignright\" src=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2016\/11\/birthday_sign_v01-01-2.png\" alt=\"Snappy's Party Rentals\" width=\"324\" height=\"379\" srcset=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2016\/11\/birthday_sign_v01-01-2.png 324w, https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2016\/11\/birthday_sign_v01-01-2-256x300.png 256w\" sizes=\"(max-width: 324px) 100vw, 324px\" \/>Let\u2019s take the hypothetical example of Snappy\u2019s Party Rentals. He started off with a single service   bounce house installation, monitoring, and takedown at parties for $50 an hour. So far, business is good\u00a0among customers who are hosting 2-3 hour events. But some prospective customers with all-day events have been skipping Snappy\u2019s, and a few churches and schools have been unable to rent from Snappy\u2019s for their fundraiser fairs.<\/p>\n<p>Snappy hears what these would-be customers have to say and decides to offer three tiers of pricing for his bounce house rentals: <\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">an all-day rate for $250<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">the current $50 per hour rate<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">a nonprofit rate of 50% off in exchange for listing Snappy\u2019s as a sponsor and giving out promotional material at the event<\/span><\/li>\n<\/ul>\n<p>Snappy\u2019s not offering anything new (yet) but he is giving customers some options when it comes to meeting their bounce house rental needs. This gives him the ability to bring in new customers-nonprofits on small budgets and homeowners who host all-day events.<\/p>\n<p>&nbsp;<\/p>\n<h3>Package options<\/h3>\n<p><span style=\"font-weight: 400;\">Package deals are another way to win customers. You bundle your next MVP with your current products and services, or you can partner with another business to package your offerings together. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">For example, Snappy might hear from his customers that planning a kids\u2019 party takes a huge amount of time. So he might offer a package that includes a 20-minute performance by a magician and delivery of a birthday cake, plates, and napkins to the event site. Grateful parents may respond better to that package (and pay more for it) than a basic rental.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You can <\/span><a href=\"https:\/\/www.hostgator.com\/blog\/2015\/11\/04\/tips-to-optimize-landing-pages\/\"><span style=\"font-weight: 400;\">create landing pages<\/span><\/a><span style=\"font-weight: 400;\"> for your tiered pricing choices and your packages on your web site. Then promote these pages through your social media and email channels so your customers know they have new options.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2>Cross-selling and upselling<\/h2>\n<p><span style=\"font-weight: 400;\">If you have new MVPs to offer, you can sell them as standalone products, but you may sell more if you have a plan to cross-sell or upsell them to your current customers.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h3>Cross-selling: offer something new<\/h3>\n<p><span style=\"font-weight: 400;\">Let\u2019s say Snappy has heard from some customers that they would also like something their party guests can enjoy in the pool. He does some research, buys several big rainbow unicorn pool floats, and offers them as a separate rental option for his customers. The unicorn armada is a success, but his higher net worth customers say they\u2019re still looking for more 'wow'\u009d factor for their backyard pool parties.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h3>Upselling: offer something better<\/h3>\n<p><span style=\"font-weight: 400;\">Snappy wants to cater to these high net worth customers. Because it\u2019s a great time to be alive, he finds an option online he thinks they\u2019ll like: a rainbow <\/span><span style=\"font-weight: 400;\">unicorn pool float encrusted with thousands of crystals (yes, <a href=\"http:\/\/www.poolspanews.com\/business\/retail-management\/floaty-unveils-unicorn-pool-toy-with-swarovski-crystals_o\">this is a real thing<\/a>)<\/span><span style=\"font-weight: 400;\">. He also pays a set designer to make coordinating sparkly decorations for the outside of his bounce houses to offer a 'glam'\u009d option at a higher rental rate. Snappy\u2019s dolled-up bounce houses and crystal unicorn pool-float party rentals become must-haves among his moneyed clients.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">When you add cross-sells and upsells, be sure to feature them prominently on your website, especially if they make <\/span><a href=\"https:\/\/www.hostgator.com\/blog\/2016\/03\/10\/optimize-wordpress-image-for-search\/\"><span style=\"font-weight: 400;\">compelling images<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2>Refine and revisit your MVP and USP to deliver better products<\/h2>\n<p><span style=\"font-weight: 400;\">It\u2019s important to note that Snappy didn\u2019t just plunk down $6K for a sparkly pool toy without <strong>doing his market research<\/strong> and his math. He knew before he made the purchase that there were enough parents (and other adults) in his customer base with the means and the willingness to make it a profitable decision. And he ran a minimum viable product test with some un-sparkly unicorn pool floats to test the pool-toy rental idea first.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It\u2019s also crucial to remember that Snappy\u2019s new packages and offerings help refine his unique selling position (USP). He\u2019s moving from being a run-of-the-mill bounce house provider for children\u2019s backyard parties to being a fuller-service party entertainment and rental company for house parties and community events   but he\u2019s still firmly focused on his core business of party rentals and services. Well done, Snappy.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next time, in the\u00a0<a href=\"https:\/\/www.hostgator.com\/blog\/review-your-business-performance\/\">final post<\/a> of our HostGator Home Business Guide, we\u2019ll talk about how to review your business from top to bottom to make sure you\u2019re getting the most from your hard work and to find ways to keep growing and improving.<\/span><\/p>\n<h4 style=\"text-align: center;\"><span style=\"color: #cc6631;\"><a style=\"color: #cc6631;\" href=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2016\/12\/HostGator-Ebook-Guide-To-Launching-Your-Home-Business.pdf\"><strong>Ready to get started? Download our\u00a0FREE eBook: Launch Your New Home Business!<\/strong><\/a><\/span><\/h4>\n","protected":false},"excerpt":{"rendered":"<p>We\u2019re in the homestretch of the HostGator Home Business Guide. Previously\u00a0we covered the basics of developing a minimum viable product&#8230;<\/p>\n","protected":false},"author":162,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[98],"tags":[],"class_list":["post-13134","post","type-post","status-publish","format-standard","hentry","category-startup-small-business"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.2 (Yoast SEO v23.2) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How To Expand Your Product Line, The Right Way - HostGator<\/title>\n<meta name=\"description\" content=\"Customer feedback and market research are key in finding new ways to expand your product line to appeal to a broader range of customers.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How To Expand Your Product Line, The Right Way\" \/>\n<meta property=\"og:description\" content=\"Customer feedback and market research are key in finding new ways to expand your product line to appeal to a broader range of customers.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/\" \/>\n<meta property=\"og:site_name\" content=\"HostGator\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/HostGator\" \/>\n<meta property=\"article:published_time\" content=\"2017-01-13T20:05:11+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2017-01-13T20:33:38+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line.png\" \/>\n<meta name=\"author\" content=\"Casey Kelly-Barton\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@HostGator\" \/>\n<meta name=\"twitter:site\" content=\"@HostGator\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Casey Kelly-Barton\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/\"},\"author\":{\"name\":\"Casey Kelly-Barton\",\"@id\":\"https:\/\/www.hostgator.com\/blog\/#\/schema\/person\/4c68d74801037eb3f313d8a456d6506a\"},\"headline\":\"How To Expand Your Product Line, The Right Way\",\"datePublished\":\"2017-01-13T20:05:11+00:00\",\"dateModified\":\"2017-01-13T20:33:38+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/\"},\"wordCount\":1060,\"commentCount\":2,\"publisher\":{\"@id\":\"https:\/\/www.hostgator.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.hostgator.com\/blog\/how-to-expand-your-product-line\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.hostgator.com\/blog\/wp-content\/uploads\/2017\/01\/How-to-Expand-Your-Product-Line.png\",\"articleSection\":[\"Startup &amp; 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