reasons for product failure causes for product failure

1. PRODUCT FAILURE

2. REASONS
• Generally it is witnessed that many products entering
into market, may not reach the target of sales and
profits

3. Introduction of new substitutes
Technological innovations
Selective in the choice of products
REASONS FOR LESS SPAN OF LIFE OF PRODUCTS
Etc.,

5. Top 10 Failed Products
10.New Coke
9.Bic Pantyhose
8.Jell-o for Salads
7. Multi-Colored Ketchup
6.Levi’s Type 1 Jeans

6. 5. Crystal Pepsi
4.Wow! Chips
3.Colgate Kitchen Entrees
2. Betamax
1. Dasani

7. The following are the general
causes for the failure:
1. Conception of product idea or specification of the
product may be faulty
2. Design of product may not match with
production facility
3. The strength of competitions may not be
accounted
4. Marketing may be insufficient and inefficient

8. Cont..
• Cost of production may be higher than the
estimated cost
• The product performance may be unsatisfactory
• Operations may not be within control
• Market changes may not be understood properly
• Producers may be ignorant of consumers
preference

9. • Technical and production problems might have
been underestimated
• Products nay be introduced to the market untimely
• Introducing products for which there is no demand
• Prices may be higher
• Poor packaging, inappropriate size etc..,
Cont..

10. • Weakness in distribution
• Inadequate sales force
• Poor timing
• Lack of test marketing
• Government policy
Cont..

11. Avoid new product failures:
1. Effective listening, engagement and idea management
capabilities.
2. Powerful software to connect all stakeholders to the
product development process.
3. Requirements analysis metrics for forecasting and
planning.
4. An extensive suite of blended product development tools
to greatly reduce the risk of new product failures.

12. THANK YOU