Every product has a story—some are tales of success, while others serve as valuable lessons. Research shows that 95% of new products fail, a sobering statistic that underlines how challenging it is to bring the right product to market. Whether it’s a mismatch with customer needs, poor timing, or inadequate quality control, the reasons behind these failures provide insights that are invaluable for product leaders.
Consider Google Glass, an innovative product launched in 2013 that promised to change the way we interact with technology. Despite its futuristic concept, it faced widespread criticism for being impractical and invasive, eventually leading to its failure. Such stories are not merely about missed opportunities—they’re about learning what it takes to develop products that resonate with customers.
This blog examines four notable product failures, unraveling the lessons they offer to aspiring and experienced product leaders.
What Happened:
In 2013, Google introduced Glass, a cutting-edge wearable device equipped with augmented reality. Despite the buzz, it was met with resistance due to its $1,500 price tag, limited real-world utility, and privacy concerns. Many consumers found the device too futuristic for everyday use, and by 2015, Google shelved the project for general consumers.
The Takeaway:
Google Glass highlights the importance of aligning innovation with practicality. A product ahead of its time may fail if it doesn’t solve immediate customer problems or feels intrusive to society. Timing, affordability, and social acceptance are critical for launching breakthrough technologies.
What Happened:
In the 1990s, PepsiCo launched Crystal Pepsi, a transparent soda aimed at offering a “pure” and healthy alternative to traditional colas. Although it created initial curiosity, the product lacked clear differentiation, and its taste didn’t align with what consumers expected from Pepsi. Coupled with ridicule from competitors, it was pulled off the market within a year.
The Takeaway:
Crystal Pepsi underscores the need for strong brand alignment and a clear value proposition. Even unique ideas can fail if they don’t connect with the brand’s identity or if consumers don’t understand the product’s purpose.
What Happened:
The Galaxy Note 7 was a highly anticipated release in 2016, but it became a disaster after reports of its batteries overheating and catching fire. Although Samsung initiated a recall and provided replacements, the replacements also had the same issue. Ultimately, Samsung discontinued the product, resulting in an estimated loss of $5.3 billion and reputational damage.
The Takeaway:
This case emphasizes the critical importance of quality control. A single flaw can lead to a cascade of issues, especially when it affects safety. Samsung’s struggle also highlights the importance of transparent crisis management to maintain trust during product failures.
What Happened:
Juicero, a $400 high-tech juicer launched in 2016, promised convenience by using proprietary juice packets. However, customers soon discovered they could squeeze the juice out of the packets by hand, rendering the machine unnecessary. The company became a symbol of overengineering and folded in 2017.
The Takeaway:
Juicero is a prime example of solving a problem that didn’t exist. Products must address real, meaningful needs to justify their cost. When customers perceive little to no added value, even a technically sophisticated product is bound to fail.
Product failures, while painful, are an essential part of innovation. They reveal the importance of understanding customer needs, ensuring quality, and balancing creativity with practicality. Each misstep offers an opportunity to grow as a product leader, paving the way for better decision-making in the future.
Institute of Product Leadership (IPL) empowers aspiring product managers and leaders to navigate such challenges with confidence. Through experiential learning and industry-aligned frameworks, IPL equips professionals with the skills to develop meaningful products and avoid the common pitfalls of product failure.
Failures may be inevitable, but with the right insights and preparation, success becomes much more achievable.
Product failures often stem from a mismatch between the product and market needs, inadequate customer research, poor timing, and lack of differentiation.
By conducting thorough market research, engaging with customers, ensuring quality control, and aligning products with clear value propositions, product managers can mitigate the risk of failure.
Customer feedback is crucial as it informs product decisions, helps prioritize feature development, and ensures that the product meets the real needs of its users.
Analyzing past failures provides valuable insights into what went wrong, allowing teams to avoid similar mistakes and refine their product development processes.
Effective product management requires a blend of strategic thinking, customer empathy, and the ability to balance creativity with practicality.