Feasibility studies cross over with business plans but are much more about testing ideas and options to see what will work. They can save £000s or millions of pounds and lots of anguish – testing on paper is much less painful than testing in reality. Sarah has been working in New Product Development since the 80’s, not always in glamorous areas, for example, she did feasibility studies for reusable incontinence products and feminine hygiene disposal units.
Particularly if we work with you to develop an innovative solution it is important to test it before launch and this is what a feasibility study does. In really practical terms we sense test it, will it work and what factors will be critical to a success, such as collaborations.
Every feasibility study starts with looking at the market, market research is critical, is there the demand and is there the money in the market to make it viable, who will pay for it? Is the market growing or declining? The numbers and financial forecasts are fundamental to deciding whether to proceed, but our studies also include the marketing strategy and the fit with values, vision and the corporate personality of the organisation. A feasibility study will show a product could be very profitable but not a fit for the organisation as it is now – then there’s a decision to be made and that normally needs a full business plan to identify how existing activities are working and the role of any new development.
Here is an example of why a feasibility study can be so important