Failed products

Failed Products from Coke, Heinz and McDonald’s There are several reasons why products do not become a hit with consumers. Even the big s of thecompanies that create them do not help boost the performance of the product in the market. This paper will present three failed products and the possible reasons their stars never shone. One of the most notable failed products is the Arch Deluxe from fast-food icon McDonald’s. Despite millions spent on marketing, the hamburger aimed for the chain’s adult costumers did not receive a hearty welcome from patrons. In fact, the customers were displeased about McDonald’s new venture. The new burger was supposedly customized to appeal to the grown-up palate. One could say that the failure was probably due to distasteful advertising. A study on advertising has shown that television ads do affect the decision-making of consumers. (Gordon, 2011) McDonald’s came out with two commercials for the Arch Deluxe. The first one featured children who showed their distaste with the new burger through facial expressions and dialogue. With food, it can be assumed that customers in general would not want to try eating something others find disgusting. The food chain probably forgot that both adults and children liked the existing menu from McDonald’s. If one group manifested its dislike for a new product, there is a good possibility the other group would also not find the new product appealing. The second one showed Ronald McDonald playing golf, doing a grown-up activity. This did not click with customers as well. McDonald’s has always been associated with having an enjoyable meal time with the family. This new promotional campaign separated the adults from their children. In a way it promoted, not having quality time with the family. The second product that also failed to be a hit is Heinz EQ Squirt ketchup. When the movie Shrek came out, internationally known ketchup-maker Heinz came out with their kid-friendly ketchup – green in color and packaged in an easy-squirt, easy-to-hold bottle. Following the popularity of the lovable green ogre, the green ketchup initially had thousands of fans. For this product, it was not advertising but timing (Brandt, 1999) and target audience that influenced the decline in sales. Heinz EZ Squirt which was intended for children came out in other colors as well. Unluckily for the creators, the Shrek fever had died down when the variants came out. There were no new characters in yellow, purple, etc. to love. As a result, there was no clamor for the new ketchup. The creators of Heinz EZ Squirt put the product in the market with young consumers in mind. This was not a good move as the product is not as typically associated with kids as, for example, a toy car or action figures. Also, kids did not have the financial capability to buy products. This power was with the adults. Thus, when the kids ignored the colored ketchup there was no need for the parents to buy the new condiment. The last failed product in this list is the New Coke. Soda giant Coca-cola wanted something new to compete with the uprising Pepsi product and decided to reinvent the formula for coke. When they came out with the “ New Coke” they realized just how attached their consumers were to their original product. The reception for New Coke was extremely negative, with people resorting to overpricing and hoarding of the old Coke. (Ross, 2005) Because of such undesirable feedback, top management withdrew New Coke after three months with an apology to its loyal customers. In this instance, the product failed because the company did not take notice or put importance on its consumers’ attachment to its product, Coke. Also, it failed to appreciate the continuous good performance of Coke in the market despite the introduction of Pepsi. The company was already enjoying success with its existing formula. It also had a loyal market so it was a risk to introduce a change to all that. As what Coca-cola experienced, the risk did not pay off. As can be deemed from the examples above, failed products are a result of more than one factor. They may be due to wrong timing when the product was introduced, a target consumer with no buying power or straying from products or strategy that have already been proven to work for the company. Failed products cost a company loss in finances, manpower and time it could have spent on other worthwhile ventures. Indeed, companies should conduct more research and consider all possible consequences before using up a lot of resources on creating a new product. References: Brandt, M. (1999). Introducing New Products. Retrieved from http://www. inc. com/articles/1999/03/17958. html Gordon, R. (2011). TV Ads Do Influence Consumers – In Elections and Beyond. Retrieved from http://csi. gsb. stanford. edu/tv-ads-do-influence-consumers-elections-and-beyond. Ross, M. (2005) New Coke and other marketing fiascos. Retrieved from http://www. nbcnews. com/id/7209828/#. UqMC4NIW19s