How to launch a product where a similar popular product already exists?

Hello, Penuel!

First question I would make is: what is the target market and respective problem you’re trying to solve? Maybe you could find a niche in which current products do not completely address its need. If this is the case, you should start talking with them (maybe you don’t know who they are, but you have some guesses, right?)

However, if you’re intending to target the exact customers with the exact problems that are already being addressed by your competitors, it could make things much more difficult for you. You should ask yourself: Why would my prospects need another CRM Software? Why would they change their current suppliers? These are questions they’re gonna make themselves and without a strong argument, you’ll struggle a lot to get them on board.

In order to find the earlyvangelists for your business, I would suggest you base your efforts on your strongest competitive advantage. You have mentioned “user friendly” as an attribute of your product. Well, if your product is much better than your competitors in this attribute, I would search for companies/markets that value it a lot (more than company’s reputation, for example).

How to find the early customers? Quoting Steve Blank: “Get out of the building”. Talk with someone (even if you aren’t sure if they are your potential customers). At least, you’ll learn, iterate and be more prepared to beat your competitors in the future.

Jobs to be Done is the best way to innovate. I recommend you look into how many companies figured out the unmet needs of their market by understanding NOT what the competition has done but how the customer is trying to make progress in their lives. Don't go into the process trying to find people who will buy into your idea, talk to people about their struggles and find out what job they are hiring their current CRMs systems to do for them, what caused them to buy them in the first place and where they continue to struggle in their use. You can read more about it here which also links you to other sources to learn more. https://catalystgrowthadvisors.com/2017/02/23/tom-hanks-explains-what-happens-when-innovation-goes-wrong-4-minutes-and-3-videos/

What makes you different? Why would someone buy your service over the existing tools?

if you can answer that, you have your answer.

I suggest you read the book titled "Re-work" which is written by the pair of entrepreneurs who did exactly what you're proposing to do, built a small business CRM product in a crowded market, and succeeded. Of course you'll be competing with them unless you innovate.

Hi Penuel,

It is usually difficult to navigate and attract customers in an already established market. However, I have come to learn that people are attracted to new things, new features, likely upgrades and simplicity.

All you need to do is add a feature that would attract your target market; a trait not obtainable in existing CRM Software whilst still staying simple and user-friendly. Trust me, you will definitely need to study the products of your competitors in order to ascertain what is missing. That way, you can learn and enhance.

Thank you everyone for your inputs and advice :-) They are really helpful and some of them is really helping me to think in a right way and in a proper direction.

A key success for every product is innovation or the differentiation. Actually there are no unique product on the market, there are always concurrence.

Take your time to make your product different which will satisfy a niche of customers which will be your target.

identify your customers who is willing to pay and build your niche product and rest follows

Don't you have at least one customer, one user/company that has expressed the problem you're addressing?

I'd look for customer #1. That might be yourself, but for better validation and motivation (and some cashflow :) someone else would be better I'd think.

If you can convince one person, and make a product they LOVE, then you'll find others. (How many you'd find depends on how original and innovative your CRM is...)