Failure for Brands and Products
Companies try very best to keep at the top. But sometimes there are many reasons that brands and products fail. Companies try to bring out new products as soon as possible inorder to survive in the market and also to beat the fierce competition given to them by their opponent companies and brands.
If the companies don’t keep themselves abreast to what is happening lately in the market they would not be able to survive as the customers demands, needs and wants constantly keeps on changing and you just can not put a stop to them!
Companies are investing a lot in innovation of their products but what is important and should be kept in mind is their budget. Companies which often surpass their budget have to face problems later on. So it should be kept in mind that the process of innovation should remain with in the limits.
Some times companies forget the actual concept of marketing. Marketing involves creativity and proper analysis of the market before the promotion and development of the product. Companies fail in grasping the concept and thus the result is failure of their brands or product.
Some of the reasons why brands and products of some companies fail are as follows:
- Target market was not correct. This is very critical as selecting the right target market may determine the failure or success of your product.
- Budget allocated was not enough. It can happen that the product is at it’s final stage and just because the budget allocated was not enough thus the project had to be put on a halt.
- No proper analysis of the market. The latest trend and demands of the customer should be properly studied first before giving the product any final look.
- Weak positioning strategy used by the firm is very important because if there is a lapse in positioning then the product will fail from the very beginning of the project.
- Pricing strategy of the company was not adequate. If Price of the product is too high than the actual worth of the product the customers wouldn’t buy it and vice versa. Products should neither be over priced nor under priced.
- Insufficient marketing strategy. Get a detailed analysis of the market before developing a marketing strategy.
- Unrealistic forecasts of profits. Do know what your break-even point is. Your profit will be what you earn after that.
- Cannibalization of products. It is the reduction of sales because of the introduction of another product so before introducing a product in the market make sure it does not cannibalize your existing products.
- Pronouncing product ‘dead’ before the actual time.
- Losing hope too early.
- Poor implementation in the real world.
- Poor timings. Make sure it is the right time to launch your product as it’s critical as you don’t want your product or brand to fail.
So before introducing your product in the market, do ponder over the above points maybe you are at mistake some where as it is never to late!