The success rate of new product launches currently remains limited: around 7 products out of 10 have disappeared from the shop shelves three years after being launched! How can this phenomenon, which isn’t a new one and which manufacturers are struggling to turn around, be explained?
Innovations need time to become established, to convince consumers and find their ‘audience’ / target, but they do not always have the chance to do so.
The result is that manufacturers have started proposing to retailers purely tactical innovations. Although these innovations have the advantage of injecting dynamism into the range in the short term and occupying extra shelf space thereby hampering the competition, they do not generate sufficient incremental sales (no cannibalization) in the long term.
This is because consumers’ real expectations have not been put at the center of product development in these innovations.
It is also sometimes the case that the innovation is born of a specific know-how that the manufacturer wishes to ‘impose’ as it stands on consumers,without consumers having really expressed the need for it.
Exhibitions
It's possible to see the same thing at exhibitions, but there the main problem may be that most want to ride the wave, or copy the success of others. Most exhibitors with this strategy have lonely days at the exhibitions where they participate.
For the (at least) 5-6 years, many manufacturer have wanted to ride the energy drink wave, without offering anything new to the market. Except for a new label. A new label don't give much attention, even though pretty girls with wings might convince someone to try a product.
Our products at SIAL 2012
What did we do different and what new did we bring to the market? Amazon Secret are functional beverages and our company are (according to SIPPO) one of few that focus not only on the products, but also on sustainable use of the rainforest.
More than 100 big distributors visited us, from more than 50 countries, and they where all very interested in our products and concept. The only reason for this was that we brought something new to the market. Something unique.
What we liked most was that the young people, students, understood the concept and the benefits of the products that are targeting people from 15 to 25 and are a healthier alternative to energy drinks and soft-drinks. The products has viscosity like soft-drinks and vitamins and minerals (natural) like a fruit juice or a smoothie.
You can see more photos from SIAL on our Facebook page for the product, or read more about it on www.amazon-secret.com