The document discusses 5 products that failed due to poor advertising: 1) Volkswagen Phaeton - aimed at luxury buyers but retained VW branding and was not marketed as a separate luxury brand. 2) Ford Edsel - failed to define its niche and demographic despite $400M spent on development and marketing. 3) Barnes & Noble Nook - customers saw B&N primarily as a bookseller and failed to convince them to buy the Nook e-reader. 4) Nintendo Virtual Boy - overpromised graphics and experience but underdelivered with limited games. 5) Microsoft Zune - entered the music player market late against the established iPod and lacked aggressive advertising to compete.

1. Failed products by bad Advertising
Christin Thomas Varghese
S2 MBA
Mar Athanasios College for Advanced Studies Tiruvalla (MACFAST)
Kerala, India
www.macfast.org

2. Products which
have failed due to
bad Advertising

3. Marketing
 Means managing markets to bring about
exchanges for the purpose of satisfying
human needs and wants.
 Advertising is that function of marketing
executives so that the potential consumer is
made aware of the product.
 The success of advertisement or it’s effect on
the consumer is determined by the wit and
genius of those executives and their
coordinated team.

4. Here we will be discussing about
5 great products which had
failed due to poor advertising

5. 1.Volkswagen Phaeton

6.  In 2002, Volkswagen launched a brand new car
model called the Phaeton. The Phaetonwas
described by Volkswagen as a premium class, full
size luxury vehicle and marketed worldwide.
 Sales in North America ended in 2006. Sales
globally ended in 2016. The Phaeton was aimed
at the luxury category with customers who were
inclined to buy from BMW, Mercedes-
benz & Lexus.

7. Effects of negative marketing
on the consumers.

8. Reason
 Simply, bad marketing, lack of understanding
of product positioning and demographic
miscalculation. Historically, Volkswagen has
always been known for making affordable
cars for the masses. The word Volkswagen
means "People's car" in German.
 The parent brand stilled retained ownership
and operations of the new brand/products .
Volkswagen should have created and
marketed the Phaeton as a separate and
distinct brand Volkswagen.

9. 2.Ford Edsel

10.  To this day, in marketing circles, the word
"Edsel" has become synonymous with
"marketing failure.“
 In 1957, Ford invested $400 million in creating
and marketing the Edsel. The car/brand failed
and was pulled off the market in 1960, mere 3
years after it was launched.

11. Reason
 Consumers wanted smaller, more economic
and fuel efficient cars. In some case studies,
marketers blamed the model’s failure on Ford
execs for failing to define the Edsel's niche,
pricing and demographic

12. 3.Barnes & Noble Nook

13.  Barnes & Noble launched the Nook e-Reader
to compete with Apple’s i-Pad and Amazon’s
Kindle.
 Barnes & Noble is after all a bookseller and
could not stand by and watch its core
business be cannibalized by Amazon and
Apple. So B&N launched Nook.

14. Reason
 Barnes & Noble has always been known as a
bookseller. Customers, mostly them, likely
already Kindle or i-Pad users could not get
past B&N as book sellers.
 B&N failed to adequately make their case in
the way of advertising to convince customers
to buy into the Nook vision as an e-Reader
with B&N inventory on the backend to create
a seamless experience.

15. 4.Nintendo's Virtual Boy

16.  Virtual reality gaming is popular today, with
better designed products and software to
support the hardware.
 Back in 1995, Nintendo launched the Virtual
Boy which was aimed to transport the gamer
into digital environments beyond the gaming
console.
 Much like the VR consoles today.

17. Reason
 Over promised and under delivery – limited
game availability.
 low-resolution graphics and overall poor
experience led to the failure of Virtual Boy.
 Finally the understandability of the then
consumers.

18. 5.Microsoft Zune

19.  Apple launched the iPod line of portable music
players in 2001. It took Microsoft a full 5 years
(2006) to launch a competitive product to the
iPod.
 Even though Zune was launched with much
fanfare and serious budget, it never got more than
single digit market penetration.
 Zune team spent huge sums of money and a lot of
time chasing after Apple’s iPod until 2015 when it
gave up on Zune and the associated music
streaming service.

20. Reason
 While Apple had been running iPod & iTunes
commercials for years, Microsoft Zune was
wishy-washy on committing to aggressive
advertising to compete with Apple.
 By the time Microsoft figured it out, Apple had
already moved on the mobile phones that
were fully integrated with iTunes and can offer
music player.

21. THANK YOU