Gerber - Singles

Some companies do have the right idea, only it just doesn't come up at the right time... Or with the right shape.
In 1974, Gerber, a baby food enterprise, tries to extend its brand to the adult food market. Willing not to spend too much money in new manufacturing tools or in brand re-positioning, Gerber decided that the niche market of the single living adults would suit its expertise. Single people don't need to buy a lot of food at the same time, they only need small portions. And this is how Gerber launched a baby-food-jar similar product range for adults. I have to admit that they thought about that very carefully, since nothing is omitted : vegetables, appetizers, mashed potatoes and meat, desserts... You could truly feed you with that single brand.

The for-adults-baby-jars

Thing is that the company didn't think about the consumer's motivation. Why would this single 35 years olds man buy this product ? So that he remembers that he is alone ? Or that, as he is single, he cannot be seen as an accomplished adult ? Or that not only he is single but he also doesn't have friends to go out and eat with ? The product range didn't work at all and has quickly been removed form the shelves. No need to ask if Gerber did a market research before its launch. If it had done that maybe it could have been one of today's leader in the single-portion food, in plastic or aluminium package, that are made for busy people...

Moral of the story : The end justifies the means... Or maybe not !

Facebook - Facebook Home

Facebook. The phenomenon of the last decade, that had reached a billion users in 2012, and had a movie dedicated to its creator. Well, facebook had its failures too.
In 2013, Facebook decided that its customers, who are using more and more their smartphone for basically... everything, would probably like an alternative user environment, closer to them and that would facilitate their communication with their friends. And this is how Facebook launched Facebook Home, an Android app, aimed to replace a smartphone home screen. You could thus view your friends' updates and notifications on a full screen environment, which was also made in order to hide as much as possible the Android shape of the phone : the research bar is not visible for example.
On its app launching, facebook collaborated with HTC in order for the phone company to sell its new smartphone, the HTC First, with the pre-loaded app.

The facebook Home design

The problem is, no one wanted the facebook Home app. Not the users, not the phone sellers. The app was too invasive on the consumers' phones, and quickly on internet topics were created with a "how to get a rid of Facebook Home on the HTC First" subject.
Another face of the failure arose, that is quite embarrassing for Facebook : the app has been created by... Iphone users, who were therefore not aware enough of how an Android user thinks. The thing is, Android' USP (Unique Selling Point) is its personalization possibilities. Widgets, folders, or docks are all things that Apple doesn't offer in its smartphones. The constat is simple: How can you possibly create something that personal for a target that you don't even know ?

Morale of the story: Don't pull all your eggs in one basket !

R.J Reynolds – Smokeless cigarettes

Smoking is an old habit of the world. When, in 1988, Americans began to understand that tobacco could be dangerous, and so could the passive smoking, R.J Reynolds (Camel, Pall Mall, Winston) decided to invest 325 million dollars in a smokeless cigarette. The idea was that, if the cigarette didn’t release any smoke, then this cigarette would wealthier for both the smoker and the people around. The cigarette is baptized Premier. 

The Premier cigarette

But dreams don’t always become true and even if it does its part of the contract, the Premier cigarette faces a lot of issues. First of all, according to the consumers, it tastes like hell, and the first consumer to admit it is… Reynolds’s CEO. Then, due to its technology, the cigarette is really hard to light and a match isn’t enough: when you wanted to smoke a Premier, the lighter was the minimum required. Premier works indeed with a charcoal that heats the tobacco, so that it doesn’t burn and release smoke. This is where we meet the last main problem: the inhalation is really difficult and requires a lot of efforts.

To finish, one of the most pleasant aspects in smoking, according to smokers, is precisely the smoke. This product had therefore no advantage for smokers. After 4 months of weak sales the Premier cigarette stopped being sold.

However, Reynolds, unlike the other brands that we saw before, did not understand this lesson: a few years later, in the middle of the 90s, the anti-smoking campaigns keep increasing in intensity. Reynolds decided that this was (again) the right time to launch a smokeless cigarette. This is how, in 1996, the company invests 125 million dollars to improve the Premier cigarette, and release the Eclipse cigarette. But this is a new failure. Stressing on the healthier and cleaner aspects of its new products due to the charcoal and the heated tobacco (same method than the Premier cigarette), Reynolds didn’t anticipate that some studies would attack it because of the toxins released by the charcoal when it burns, especially when the smoker inhales hard. In addition to all of this, smokers still did like the smoke of a cigarette… And this is a new fail. But it is still sold today, and became more appreciated since smoking is restricted in most of the public areas.

In spite of these failures Reynolds is the second tobacco brand on the American market with 33% market shares and is now looking for becoming the e-cigarette market leader. It recently fused with Lorillard (which owned the e-cigarette brand Blu) to achieve this goal. And this is how, after 50 years to wait for a successful healthier cigarette, Reynolds has the serious opportunity to finally triumph.

Morale of the story: Bear and forbear!

Kellogg's - Cereal Mates

When in America the number of working hours began to increase at the same time than the fast-food development, Kellogg's saw an opportunity on the breakfast market. The idea was that american people had less and less time on the morning to eat, especially when they live far from their work. To gain some of this precious time that is the morning time, Kellogg's began to offer a little box of cereals with some conditioned milk and a plastic spoon: the Cereal Mates. This box was declined with four kinds of the most popular kellogg's cereals : Corn Flakes, Frosties, Fruit Loops and Mini Wheats. It believed so much in this new product that it launched a TV advertising campaign:

But this product never worked and the following year in 1999, when Kellogg's rival General Mills became the market leader, it was abandonned.
The fact is, Kellogg's did not understand the need of its customers and did several mistakes in its product elaboration.
Its first and main mistake was the milk conditioning. As the product was stored on the breakfast shelves the milk was warm, and when Kellogg's decided to store it on the refrigerated shelves nobody thought of buying their breakfast cereals in there. In addition to that, advertisings show children using the product by themselves, while in reality the packaging was not practical enough to enable them to serve the milk properly. To finish, the taste of a conditoned-in-a-sanitized-way milk was not very good.
The second main mistake was the price. Sold at more than a dollar, the product's price was considered way too expensive compared to its quality and its promises it couldn't keep: indeed, the Kellogg's Cereal Mates were supposed to be a practical product above all. But serving the milk and using a spoon was no practical way to quickly eat breakfast for a huge majority of consumers.

A few years ago Kellogg's tried again to create a practical breakfast product, and launched the Nutri-Grain range, some cereal bars which need neither milk nor spoon. And it is now one of the Kellogg's biggest successes, as Nutri-Grain became the second most liked breakfast biscuit market brand within nine months.

The moral of this story: Forewarned is forearmed !