Why do some products fail in the market? Providing products and services in the market is one of the great challenges for companies, whether large, small, or even emerging, as it requires good planning to demonstrate the quality, skill, efficiency, and achievement of the product to the market, but this is not enough for the product to be successful, as some major companies have spent millions of dollars thinking about its success. Its products, but they witnessed a major failure, because the names alone are not enough for consumers to be satisfied with the products, so why? We will answer that in the following lines on the website Trianvo.
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Why do some products fail in the market? What are the reasons for product failure in the market?
In the following lines, we will explain in detail what are the reasons for product failure in the market:
Failure to understand customer needs
It is noteworthy that in 1970, the American telecommunications company “AT&T” launched a phone that allowed the transfer of images, and the company at that time expected to produce one million copies of the phone within 10 years of its launch. But the company found itself forced to withdraw it from the market after only 3 years.
Because it failed to attract consumers' attention, the device was bulky and difficult to use, and its images were very small and of poor quality. The result was that it presented a product that did not meet the requirements and needs of consumers, and it seems that it did not learn from its mistakes, as it launched another version in 1992, which achieved the same negative result.
Solve a problem that does not exist
In 1990, coffee brand Maxwell House launched a ready-to-drink coffee drink. The goal was to provide an innovative product that helps customers enjoy coffee instantly without having to go through the traditional preparation process.
Of course, coffee cannot be placed in the microwave in its commercial containers and must first be poured into the cup and then placed inside the device. It is a process similar to the process of making a drink using a regular coffee machine, meaning that the new product does not make anything. The difference to customers and the company was forced to stop its production. This explains why some products fail in the market.
Wrong market targeting
In 2006, Microsoft launched Zooon to play video and audio files to compete with Apple's iPod. But the product failed and the company was forced to stop production after it admitted that it was imitating the iPod version, meaning that it had done so. Not adding anything new to encourage consumers to choose its device.
Incorrect pricing
In 1993, Apple launched the “Newton Pad,” a touch-screen messaging device considered the precursor to the iPad, but its price was very high, reaching $800. This was a relatively large number at the time. In addition, it did not fit the specifications because its poor quality battery, blurry screen, and difficulty reading or writing on it, prompted the company to discontinue this product in 1998.
Weak work team and internal capabilities
In 2007, a Swedish businessman and a Danish businessman created an Internet TV service, which was very promising at first, but failed due to the incompetence of the team. The site was poorly designed and operated. So it was sold two years after its launch. The lack of competence and skill of workers leads to a sterile product that does not meet customer requirements, and this is the best evidence of why some products fail in the market.
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Slow development and delay in entering the market
Delay in putting the product on the market may lead to its failure, as many changes may occur in the market during the delay period. Such as changing consumer needs, slowing economic growth, and other shifts in market data. This is what happened with the “Google Live” website, which Google launched in 2008 after a long wait. But at that time the world was hit by an economic recession and did not achieve the expected demand, which led to its closure after only 5 months.
Poor implementation
In 1995, Microsoft released the “Pop” program, but it failed miserably as it relied on advanced technologies that were not available to most consumers at that time. Many found it difficult to use it 4 months after its launch, as the company allowed the sale of devices with an older system.
in the endIntroducing any new product or service to the market by a large, medium, or emerging company is considered a challenge that has its own characteristics, circumstances, and methods of dealing with it. Good planning of the product's technical specifications, price, ease of use, and availability in the market ultimately means increasing its chances of success. With its strong move to the category of guaranteed profit, we hope that we have provided a sufficient answer to why some products fail in the market.
