The rate at which the new products or services are getting launched nowadays is something phenomenon. Every company is trying to differentiate their product/service offerings and are in the pursuit of doing something innovative. Though the companies try to keep their marketing fundamentals right, there are many instances when products fail.
Windows Vista, Coco Cola C2, Savlon, Tata Indigo Marina etc. are some of the well known examples of product failures. The company might have come out with an innovative product or service, a product/service that has high utility value but it might not do well in the market. There are many reasons which can be attributed to a product failure. It might be because of segmentation, targeting and positioning strategy might not have been right, the product might have come out too prematurely and many more. Some of the instances when products fail are:
- The new product would have been launched to spiral growth in the company, but the company cannot support fast growth.
- The positioning of the product might be wrong.
- The product might be an outcome of a bath breaking study but when it is launched there is no market for it.
- The product falls short of expectations of the customer.
- The product might have been launched in a new category but the efforts to educate the customers about it might be too high.
Below given is an article on “Why most products fail” which is written by Joan Schneider and Julie Hall and published by Harvard Business Review