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Product Development Support Solutions

Product Substitution

Managing product portfolios is one of the most challenging aspects in the healthcare market. The constant improvement or the inclusion of small add-ons on well known products is often translated into upgrading portfolios trying to serve ever more markets and customers.

It is key that new products are able to replace old lines without alienating the customer loyalty the latter command.Moreover, another aspect of product substitution that is often underestimated is the impact on the company’s other lines, especially with regards to sales cannibalisation. This may happen when a product designed to capture a new client base in fact mainly shifts the existing client base from one product to the other. HBS can assist you in measuring the impact of product palette innovations on your markets. This will enable you to more adequately asses the benefit and risk of your product portfolio management.

Case Study

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