Making innovation work in consumer products

Why is the failure rate for new products so high?

Did you know that over 80% of new consumer products fail within a year of launch? And that this is equally true for new players in the field as well as for large, established brands. What a colossal waste of energy, time and money! But why is this number so high? Why is it so difficult to launch innovations that stick? Good news! We have the answers.

Three reasons why new products fail so frequently

Data analytics company Nielsen analyzed thousands of product launches and identified three key reasons for failure:

  1. They fail to address a clear consumer need
  2. They fail to deliver a good user experience
  3. The product is not given enough marketing support

Although nearly every company considers the needs of their customers in one way or another, their process leads them to list either nit-picky details, idealized needs, or abstract, unworkable ones. The result? Bad decisions from bad data. By focusing on eliminating pain-points rather than elevating high points, no one will hate your product – but no one will love it either!

Our solutions for making innovation work in consumer products

While we can’t help with marketing support, we have a lot of experience in the areas of consumer needs and user experiences. We recognize that the key is to start with the emotions that consumers experience with your product. They are the ideal entry point to understanding what people really want, value and experience. What’s more, consumer needs can only really drive innovation if they are captured in a truthful manner, analyzed with a meaningful framework, and formulated in such a way that they are both inspiring and actionable. This is what we do.

By focusing on eliminating pain-points rather than elevating high points, no one will hate your product – but no one will love it either!

Find out more about solutions for making innovation work in consumer products

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