Product benchmarking is part of market research that includes product testing, consumer testing, product analysis, taste testing, consumer paneling, etc. It’s a company’s strategy to improve its product development process. To know more about product benchmarking, let’s see the definition, aspects, and how to benchmark your products.
Product benchmarking is the practice of comparing your products with the best in the industry to determine which areas need improvement. It may sound like competitor research but it’s different. Product benchmarking mainly focuses on your products that lie within the market
The product benchmarking requires a lookout into the industry, the practices used by other companies to see both the negatives and positives of particular products. The process of product benchmarking involves four steps, including:
Product benchmarking helps to improve a certain product’s performing. It requires an identification of the best practices and the implementation of the practices learn to your operations and sales.
Product benchmarking helps to improve a certain product’s performing. It requires an identification of the best practices and the implementation of the practices learn to your operations and sales.
The main goal of benchmarking is to collect examples of best performance and to understand the process and practices that drive the performance. After understanding the process, companies improve their performance by tailoring these best practices into their own operations. It’s not necessarily imitating the practice, but make innovations out of it.
There are four main aspects of product benchmarking, including internal, generic, Competitive, and functional benchmarking. Here are the explanations for each type: