Why Does Innovolo Charge An Estimate Fee For Your New Product Development Project?

Learning Centre > Why Does Innovolo Charge An Estimate Fee For Your New Product Development Project?

Learn about the product development process at Innovolo and why we charge for estimates. We want to ensure that our clients receive the best possible service and value.

Learn about the product development process at Innovolo and why we charge for estimates. We want to ensure that our clients receive the best possible service and value.Learn about the product development process at Innovolo and why we charge for estimates. We want to ensure that our clients receive the best possible service and value.
Contents

Giving an accurate estimate is one of the essential things a service business can do for a customer. It sets expectations and helps ensure that everyone is on the same page. However, it can also be one of the most challenging product design and innovation aspects. To give an accurate estimate, businesses need to clearly understand the product, the design process, and the market. They also need to account for any unforeseen challenges during the development process. Despite these challenges, businesses need to remember that giving an accurate estimate is essential to providing good customer service. By taking the time to offer a well-informed estimate, companies can show their customers that they're committed to providing a quality product or service.

While providing product development estimates can be an essential part of the design and manufacturing process. Unfortunately, it can also be costly for businesses. As a result, many companies avoid giving estimates altogether, fearing the financial uncertainty that comes with it. At Innovolo, however, we believe that our customers are worth the investment, so we charge a fee for providing you with an estimate for your product development project.

Our unique approach to product development allows us to consider all aspects of your product's design and manufacturing, from ideation and product testing to prototyping and scaling up for mass production. With this expertise comes a deep understanding of how uncertain a product development project can be - and how much uncertainty there is across every stage of the process. As a result, we charge a fee for providing an estimate: it allows us to invest our time and resources into developing a detailed plan tailored specifically to your product needs while ensuring that you come out on top no matter what challenges arise.

By investing in our team's cross-functional product development expertise and working with us every step of the way, you can rest assured that you'll get an estimate and a complete solution that will help bring your product to market quickly, efficiently, and affordably.

 

Why do you charge for estimates?

Think of an Innovolo estimate as more of a commitment to your project than an estimate on how much it will cost. We invest time, money and brainpower into getting to know your business and the market you are tackling. This upfront investment is necessary to produce a high-quality estimate that reflects all of this knowledge; we know this as the 'product discovery phase'.

The product discovery process is about building the right products and features for your customers, so it's important to know what they want before going too far down a path that might not be the best option. Unfortunately, there is always uncertainty when it comes to making product decisions. We carry out product discovery since we want to lower the risks surrounding what we decide to develop. Unfortunately, sacrificing discovery usually results in a disconnect between user needs and the products created.

Innovolo's fee for providing an estimate allows us to invest in our process and our team to produce a high-quality estimate that reflects all of this knowledge.

 

What are the risks that the discovery phase seeks to mitigate?

First of all, carrying out product discovery helps us lower the value risk. It helps by verifying whether your product addresses a problem worth solving and what features would be most valuable to your customers.
Secondly, it lowers usability risk by figuring out the best way to deliver the solution via software or hardware.

Thirdly, while the discovery phase is not strictly a feasibility study, it does help us find ways to build what you need within the current constraints of our team and technology.

Lastly, it helps us understand if your product is compatible with other elements of your business or project - how will the success of this product affect others in the pipeline?

The discovery phase can also include some feasibility analysis to determine whether our team can build what you need. While we do not provide a full-scope feasibility study as part of the discovery phase, we use the findings of this process to help us determine how feasible your project is.

 

What does the estimate include?

An Innovolo estimate is a detailed breakdown of your entire project's cost based on an upfront assessment. This assessment includes several things:

Most importantly, we check that your designs for both hardware and software work within our team's current capacity. Optimising for speed is a priority - we can't promise to build in record time if you're asking us to do it at an impossibly fast rate per hour.

 

How long does the estimate process take?

The whole process can take up to 2-3 weeks, obviously depending on the complexity of the product; this is because we need time to:

At the end of this, we provide you with a thorough breakdown of how much it would cost and how long it would take for us to do it. We also offer some insight into what features might be challenging and what is most important for this project.

Are you a visionary? Or a gambler?

R&D budgeting can be tough.

You want to ensure you're investing in the right things, but you also don't want to overspend (or underspend).

It's a tricky balancing act that can be hard to justify (to yourself or others).

New ideas + expert execution = game-changing products

Innovolo offers project management services for new product development (NPD).

We work as an extension of your in-house capabilities, providing the extra bandwidth, expertise, and momentum needed to get your products rapidly to market.

Giving an accurate estimate is one of the essential things a service business can do for a customer. It sets expectations and helps ensure that everyone is on the same page. However, it can also be one of the most challenging product design and innovation aspects. To give an accurate estimate, businesses need to clearly understand the product, the design process, and the market. They also need to account for any unforeseen challenges during the development process. Despite these challenges, businesses need to remember that giving an accurate estimate is essential to providing good customer service. By taking the time to offer a well-informed estimate, companies can show their customers that they're committed to providing a quality product or service.

While providing product development estimates can be an essential part of the design and manufacturing process. Unfortunately, it can also be costly for businesses. As a result, many companies avoid giving estimates altogether, fearing the financial uncertainty that comes with it. At Innovolo, however, we believe that our customers are worth the investment, so we charge a fee for providing you with an estimate for your product development project.

Our unique approach to product development allows us to consider all aspects of your product's design and manufacturing, from ideation and product testing to prototyping and scaling up for mass production. With this expertise comes a deep understanding of how uncertain a product development project can be - and how much uncertainty there is across every stage of the process. As a result, we charge a fee for providing an estimate: it allows us to invest our time and resources into developing a detailed plan tailored specifically to your product needs while ensuring that you come out on top no matter what challenges arise.

By investing in our team's cross-functional product development expertise and working with us every step of the way, you can rest assured that you'll get an estimate and a complete solution that will help bring your product to market quickly, efficiently, and affordably.

 

Why do you charge for estimates?

Think of an Innovolo estimate as more of a commitment to your project than an estimate on how much it will cost. We invest time, money and brainpower into getting to know your business and the market you are tackling. This upfront investment is necessary to produce a high-quality estimate that reflects all of this knowledge; we know this as the 'product discovery phase'.

The product discovery process is about building the right products and features for your customers, so it's important to know what they want before going too far down a path that might not be the best option. Unfortunately, there is always uncertainty when it comes to making product decisions. We carry out product discovery since we want to lower the risks surrounding what we decide to develop. Unfortunately, sacrificing discovery usually results in a disconnect between user needs and the products created.

Innovolo's fee for providing an estimate allows us to invest in our process and our team to produce a high-quality estimate that reflects all of this knowledge.

 

What are the risks that the discovery phase seeks to mitigate?

First of all, carrying out product discovery helps us lower the value risk. It helps by verifying whether your product addresses a problem worth solving and what features would be most valuable to your customers.
Secondly, it lowers usability risk by figuring out the best way to deliver the solution via software or hardware.

Thirdly, while the discovery phase is not strictly a feasibility study, it does help us find ways to build what you need within the current constraints of our team and technology.

Lastly, it helps us understand if your product is compatible with other elements of your business or project - how will the success of this product affect others in the pipeline?

The discovery phase can also include some feasibility analysis to determine whether our team can build what you need. While we do not provide a full-scope feasibility study as part of the discovery phase, we use the findings of this process to help us determine how feasible your project is.

 

What does the estimate include?

An Innovolo estimate is a detailed breakdown of your entire project's cost based on an upfront assessment. This assessment includes several things:

  • Detailed insight into your vision for the product, including research and insights on what would be most valuable to your customers.
  • Research competitors and the broader market so we can provide accurate price ranges for each feature of your software or hardware.
  • A preliminary estimate on how much time it would take for our team to accomplish everything on the plan, including some severe number-crunching on specialists' time taken per task and the complexity of each task.

Most importantly, we check that your designs for both hardware and software work within our team's current capacity. Optimising for speed is a priority - we can't promise to build in record time if you're asking us to do it at an impossibly fast rate per hour.

 

How long does the estimate process take?

The whole process can take up to 2-3 weeks, obviously depending on the complexity of the product; this is because we need time to:

  • Do research and analysis on your product and market, and get a good idea of precisely what you want us to build.
  • Discuss requirements with our product design specialists, so they know exactly what you need them to build.
  • Perform a preliminary assessment on the feasibility to give you a realistic idea of what we can build and at what cost.
  • Figure out how long it will take to build everything so we can calculate the final price.

At the end of this, we provide you with a thorough breakdown of how much it would cost and how long it would take for us to do it. We also offer some insight into what features might be challenging and what is most important for this project.

Key Takeways

Related Articles

Join 70+ companies accelerating their product development with Innovolo
Farm+Stable is a client of Innovolo, a product development as a service provider offering R&D teams globally extra capacity, capability, and momentum in their product development and obsolescence management projects. As a company that specializes in the development and engineering of products for the agriculture and construction industries, Farm+Stable has benefited from Innovolo's expertise in helping to bring new products to market quickly and efficiently. In particular, Farm+Stable has been able to rely on Innovolo's team of experienced engineers to help with the design and development of a new line of products that are designed to be more durable and longer-lasting than previous models. With Innovolo's help, Farm+Stable has been able to bring these new products to market in a timely manner, and they have been well-received by customers. Thanks to Innovolo's innovative product development solutions, Farm+Stable has been able to stay ahead of the competition and continue to grow their business.
Innovolo is a product development as a service provider. It offers R&D teams globally extra capacity, capability, and momentum in their product development and obsolescence management projects. Its services are used by clients in a variety of industries, including automotive, aerospace, consumer electronics, and medical devices. One of its clients is Kawneer, a leading manufacturer of aluminum products for the architectural and construction industries. Kawneer has been using Innovolo's services to help develop new products and to manage the obsolescence of its existing products. Thanks to Innovolo, Kawneer has been able to speed up its product development cycle and to reduce its costs. As a result, Kawneer has been able to bring new products to market faster and to better meet the needs of its customers.

Related Tools and Templates

No items found.

Brands Mentioned

No items found.