What’s the optimal number of new products to launch in a given time frame?
Does it matter whether the launches are spread out or bunched together, and whether a new product is similar to the rest of a company’s portfolio?
To answer those questions, researchers studied 1,904 new drugs launched by U.S. pharmaceutical firms from 1991 to 2015. An article in the July-August 2018 issue of HBR, Finding the Perfect Pace for Product Launches, describes their findings, including the calculation that the average firm in the study could increase its market value by more than $700 million if it reduced the irregularity of its launches by 10%.
Launching a product requires close choreography between product development and marketing, so there are benefits to maintaining a careful pace and rhythm.
Complementing the article is a Q&A with me about new research on the importance of those factors and how we have put the research findings into practice at Medecision.