To fail with the market entrance – the product launch – cost billions! A report by Nielsen shows that 76% of all product launches fail within a year, but this can be changed!
The report – “The Nielsen Breaktrough Innovation Report” – conducted products launched between 2008 and 2012, found that 14 products of 3,463 launches in 2012 met the criteria for distinctiveness, relevance, and endurance.
High new-product failure rates lead some to believe that success is random and unpredictable. But innovation is far more science than magic. We share the lessons of Breakthrough Winners—as well as the perspective we’ve gained from the study of thousands of less successful launches—to encourage adoption of the principles and practices that enable consistent success, fuel sustained growth, and increase organizational confidence.
The studied material comes from over 12 000 consumer products launches, and show that 2/3 of the launched products sells less than 10 000 and that 3/4 of all new launches not survive the very first year! To succeed you have to challenge daily norms, accustomed thinking and offer something really new!
Nielsen put four principles forward, that have to exist for a star innovation:
1: What make customers angry? Is there any product that not being used i.e. it’s to difficult or to boring to use?
2: Make the product relevant – it has to solve a problem and be unique.
3: The marketing process must be really creative in a way that vitalize the product why it exist.
4: Everyone in the company must stand united behind the product.
Then, must all four principles be followed. Three won’t do the job!
Check out what we at hintland.com can do in this very problem! One of our services is to launch products. Read more here.