To Patent or Not To Patent

A patent, while not always airtight, is an excellent way to deter copycats and to maintain an edge in the marketplace. Having a patent on a new innovative idea also creates a saleable asset should you decide to sell the rights to your invention.

The process of patenting usually involves a patent search, the writing of the patent, and filing fees. The cost varies widely depending on complexity and type.

Although one can file a patent without legal representation, a patent attorney is the choice of most.

First and Fastest to the Market

In today's society the consumer can be reached very quickly. And whether your product is patented or not, being first and fastest to the marketplace can mean the difference between grabbing the lion's share of the market or the crumbs.

For many, this is an alternative mindset to patenting a product. Many think that if they can get their product first and fastest to market that imitators will not attempt to compete.

Generally, the more successful the product and size of the market, the higher the risk of people copying your idea. (While electing not to patent a product because of a first-to-market-strategy has distinct advantages, this is a business decision best made with the consultation of competent professionals, the scope of which exceeds the overview-nature of this article.)

Launch Your Product on Television

Using television to launch your product might be the fastest and most cost effective method of launching a new product.

At first glance this might appear to be a contradiction with the reported costs of Super Bowl ads and the like being in the millions, but upon closer inspection, it is possible to launch a product on television without incurring any production or air-time costs.

The answer lies in the home shopping channels and their method of operation. Popular home shopping shows purchase product from manufacturers at a discount and sell at a markup - the production and air-time cost being incorporated into their side of the equation.

Conversely, if an infomercial is the television marketing strategy of choice, expect to pay for production and air-time. This can start at $100,000.

Television provides more than immediate results. One exposure can put your product in front of millions of people at once, which in turn can attract retail outlets, causing a synergistic impact on your bottom line.

The avenues for getting your product on a home shopping channel vary but two of the most common include finding someone you know that has the relationships, it could be an agent, or contacting the channel directly.

Generally, contacting the channels directly involves no personal contact, but rather a mail-in application. For this reason, when possible, seek a face-to-face meeting, which can be arranged by most competent agents.

Trade Shows

A slower alternative to television, but a proven avenue for building a business, tradeshows offer the ability to reach a large number of stores or consumers with concentrated effort.

Marketing at a trade show includes travel expenses, lodging, and the cost of the trade show booth at a minimum. Booth costs range from hundreds to thousands of dollars. The larger the show, the higher the cost.

License Your Product

For many, licensing is the most attractive alternative for launching a new product. Companies with proven track records can accelerate the success of your product because they have the relationships and experience to bring your product to market.

In return, you, as the product developer will receive a royalty payment, which varies by industry. In a licensing arrangement you make less per unit but you might sell more. If you go it alone, you might make more per unit, even after marketing expenses, but you'll likely sell less and it will likely take you longer to see success.

If you decide to pursue licensing, increase your chances of success by working with companies that have a strong presence in the market and solid, established distribution channels.