Reasons products and companies fail

This post will be dedicated to positiong, market analysis, marketing plans and bad timing. If you are afraid of failing with your start-up or product you should read through this post. This post took me a long time to write and I will continue to add information to this post during a couple of week.
 

An idea is born and you know it will be a success. You talk to your family and friends and everything indicates that the product will change your lives and make you a millionaire. Good ideas and products are created every day, in every city, in every country - but it is rare that they succeed.

There are hundreds of different reasons that businesses fail with their product launches, timing, price and misjudgments is something you usually talk about in these cases - maybe the market is not ready for your products, or your crazy invention might not even have a market .

There are also thousands of really good products that have failed to reach out and penetrate the market. Will you succeed with your uppfining or your new product? Here are some reasons why you will fail and never make it.

Working with product development is hard and doing an inadequate or poor market analysis can make you liable to launch your product at the wrong time, taking wrong decisions in marketing and sometimes it can be so wrong so that you may not even should have made a market at all. The cost for your company to develop new products make the strategic decisions are increasingly important, according to the studies done that say that more than 95% of all products launched on the market will not be successfull. But your company and your products will be a sucess!

Here is a list of causes of failure

• Poorly conducted market analysis
• Product or production problems
• Poorly excecuted marketing plan
• Strong competition in the market
• Bad timing
• Trying to reach everyone
• Price of your products to high or to low
• Wrong distribution channels

Reduce your risks - but go all in

In business, it is important that you dare to bet everything you have, but it's also wise to take their time to reduce any possible risks to betting to win in the long run. In business, it is important that you dare to bet everything you have, but it's also wise to take their time to reduce any possible risks to betting to win in the long run.

 Before you begin our production and sales, it might be good to listen to the market and create a picture of what to invest in, which customers you want to reach and how to get a product on the market - will you open a e-commerce, selling on ebay / amazon, open a shop, reach out through dealers or will you bet on everything at the same time?

Though you might not often do recommend anyone to bet on everything at the same time, I would like to encourage you to "If you can afford to invest and test all types of production, marketing and sales channels you can think about". Invest smart and only spend your money on what you belive in!

The reasons you fail launching your start-up or selling your products

Are you an entrepreneur or invest in your start-up companies, there is always the risk that you will lose all that you bet, poor business decisions are common causes that all shitting themselves - but that does not mean that you will not succeed in your venture - but to be aware of the risk and knowing you can loose it all will get you to stand on your toes and make great key decisions.

Missjudging needs and requirements

To misjudge your customers' needs and customer requirements is one of the most common mistakes that many people make, the reason for this error is usually stem from a weak product or concept. It is important that your new product or service provides a sufficiently large and signifik differe with existing products and the benefits are highlighted for your products. Think again and see that your benefits are not only objective without the customer also can experience these benefits when he uses your product.

Problems penetrating the market

It may be tempting to want to reach out to every single person on the planet, for each person is indeed a potential client and you could just sell your unique product that all the world's people need so would you help save the world. Poorly excecuted marketing plans and trying to reach everyone will drain your budget dry, if you do have bottomless wallet please try but it will probably cost a lot.

When to launch your product, it is important to ask yourself whether the market in which it competes, there are differences in the target group's attitudes and needs that can crystallize into a sufficiently large and intresserant market potential.If you have a unique concept in terms of product, price, distribution, so, then maybe you don't need to bother with the segmentation.

 If you have selected a specific target group and one is in a highly competitive industry (which all industries are today), so it is important that your audience gets a clear picture of the products or services that your company offers.When it comes to positioning and message and you will formulate this in the same way as if you were designing a plate, with a clear message that the customer can be rapidly identify and estimate your product's benefits and the characteristics that make so that he or she chooses to use of your company and your products! Another common problem is missjuding your market potential and missjudging your competitors strength.

Missjuding market potential and competitors strength

Missjuding the market potential or weakness/strength of your competition could make big problems for your company. Market potential is often calculated by the maximum number of users and their consumption. The problem for you is that you will never be able to assimilate all of the calculated potential - there are simply too many different reasons that will make you never will be able to reach all of those users. You may have weaknesses in the distribution or maybe you do not have the money to meet all your requirements to reach out to your targeted market.