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Rice University researcher discovers what makes a tech product stand out in a crowd

Turns out, timing is everything when launching a new tech product, this reacher found for Rice Business Wisdom. rawpixel.com /Pexels

From smart phones to video games to virtual reality toys, new products roll forward as relentlessly as the tides. So what, and how, should you tell consumers about your product to avoid being swept away in a sea of similar wares?

To answer this question, Rice Business professor Amit Pazgal and colleague Yuanfang Lin of Conestoga College dove into the particulars of how companies differentiate their products by informing consumers about a new product's quality.

The rush of new products, they note, is particularly intense in technology, where innovations are constant — which means consumers constantly need information about them. Traditionally, tech companies make the case for their products using advertising, free sample, product trials and splashy product demonstrations. (See your local Apple Store).

But how does a consumer's wish for information interact with their ultimate buying decision?

Timing, Pazgal and Lin found, plays a powerful role in the type of information that best influences consumers. Suppose, for example, Firm 1 offers a new product, say a smartphone with innovative features. This makes Firm 1 a pioneer. For a certain golden period, Firm 1 might hold a monopoly in the market, since there's simply no other smartphone like theirs. This is the moment, the researchers say, to offer consumers information that reveals the product's true quality and uniqueness. Because no similar product is out there, Firm 1 has the power to establish the parameters for judging its invention.

Inevitably, of course, another company (call it Firm 2) will come up with something comparable. Thanks to the heavy lifting in innovation by Firm 1, Firm 2 has the luxury to create a phone of equal or greater quality. And this is when the tide starts to turn. One might assume Firm 2 would just inform consumers of the superior quality of its product. But, surprisingly, Pazgal and Lin found that in most cases Firm 2 will instead focus on educating consumers about their preference for quality — in effect, leaving it up to the buyer to decide which of the two phones they really wants.

However, if another firm emerges with a similar product of lesser quality, its marketing will likely take yet another turn. Instead of trying to claim better quality, late entry companies offering an inferior product typically admit outright that their product isn't as well made as other versions.

That's because such firms calculate that if customers discover this themselves, they'll react badly. By telling the truth and pricing appropriately, a firm can find a calm stretch of water elsewhere in the market, someplace where it's not clashing directly with the earlier, higher quality products.

Whether it's Alexa, a smart TV or a virtual reality game, Pazgal and Lin explain, when a product enters the market for the first time, consumers need to be shown how it works. When a second product in the same line is introduced by a different company, the marketing task changes: it's now more important to show consumers how to identify a quality product, and then let them choose for themselves.

Any time a company launches a device or service into the world, in other words, it needs to trust consumers' ability to learn — and not drown them with too much information. Informed what good quality looks like, Pazgal and Lin conclude, consumers will swim on their own to the item they truly want.

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This article originally appeared on Rice Business Wisdom.

Amit Pazgal is Friedkin Chair in Management and Professor of Marketing and Operations Management at Jones Graduate School of Business at Rice University.

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The human body undergoes specific challenges in space. A new film from TRISH explains the unique phenomenon and how research is helping to improve human life in space. Photo courtesy of NASA

A Houston space health organization has launched a film that is available to anyone interested in how space affects the human body.

The Translational Research Institute for Space Health, or TRISH, which is housed out of Baylor College of Medicine in consortium with Caltech and the Massachusetts Institute of Technology, announced a new documentary — “Space Health: Surviving in the Final Frontier.” The film, which covers how space affects humans both physically and mentally. It's free to watch online.

“This documentary provides an unprecedented look into the challenges – physical and mental – facing space explorers and the types of innovative research that TRISH supports to address these challenges,” says Dr. Dorit Donoviel, TRISH executive director and associate professor in Baylor’s Center for Space Medicine, in a news release. “We hope the film inspires students and researchers alike to see how their work could one day soon improve the lives of human explorers.”

The documentary interviews a wide range of experts — scientists, flight surgeons, astronauts, etc. — about all topics related to health, like food, medicine, radiation, isolation, and more. Some names you'll see on the screen include:

  • Former NASA astronaut Nicole Stott
  • Active NASA astronaut Victor Glover
  • NASA Associate Administrator Kathy Lueders
  • Inspiration4 Commander Jared Issacman
  • TRISH-funded researchers Level Ex CEO Sam Glassenberg and Holobiome CEO Philip Strandwitz

“Understanding and solving the challenges that face humans in space is critical work,” says Dr. Jennifer Fogarty, TRISH chief scientific officer, in the release. “Not only does space health research aim to unlock new realms of possibility for human space exploration, but it also furthers our ability to innovate on earth, providing insights for healthcare at home.”

TRISH is funded by NASA’s Human Research Program and seeks both early stage and translation-ready research and technology to protect and improve the health and performance of space explorers. This film was enabled by a collaboration with NASA and HRP.

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