What makes or breaks a product launch?
6 min read
Product launches are usually exciting moments. But with the stakes so high, they’re also nerve-wracking. When an innovation is a hit with consumers, an immediate boost in sales is just the beginning.
A successful launch not only sparks short-term sales but also builds a brand’s meaningful difference, helping it find new space and strengthen brand equity for long-term success.
But when a launch fails to take off, the consequences are far-reaching. It’s not only revenue loss in the short term. There’s also potential for lasting reputational damage.
Sadly, such failures are common. Kantar’s data indicates that almost two-thirds of new product launches are dead or dying by the end of their second year. Without proper post-launch insights, brands are left in the dark, wondering: “Why isn’t my product resonating?” “What’s holding back trial or repeat purchases?” “Is my innovation offering incrementality to the trademark?”
This lack of clarity often results in missed opportunities, repeated missteps and an inability to turn good ideas into great successes.
In many cases, it’s the smallest details that make all the difference. And if you know what the problem is, it’s often straightforward to rectify.
So, when launches don’t go to plan, it’s important to have data that sheds light on what’s not working and explains why. With this clarity, a brand can quickly adapt its approach, giving the new product the best chance to thrive.
This is where Kantar’s LaunchEvaluate comes in: digging deeper into launch performance to uncover actionable insights and turn them into impactful decisions.
The importance of cutting through the clutter
It’s always helpful to know how many people are aware of and buying a new product. But the real value comes from understanding how they become aware of it, and what prompts them to try it and repeat purchases. Answering these questions empowers brands to make practical changes to their post-launch strategy to improve performance and be more present in the moments that matter.
A strong commitment to marketing is usually an important factor in driving favourable outcomes. Kantar’s data suggests on average, new products that decline in their second year cut their advertising support by half compared to those that maintain or grow sales. It’s also essential that campaigns effectively convey how an innovation can make a meaningful difference to consumers’ lives.
Breaking through distribution barriers
Another key consideration in post-launch strategies is meeting consumers where they shop, online or in-store – ensuring your product appears in the right places at the right time. Post-launch research pinpoints exactly where your product should be available, offering actionable insights to address gaps and optimise distribution strategies.
The moment of a launch is by no means the end of an innovation journey. In fact, it’s the months after that follow that determine whether a product will achieve long-term success or fall short.
Connecting the dots
When Diageo created Captain Morgan Black Spiced, a premium addition to the Captain Morgan portfolio, sales were initially slow to build. By monitoring early performance, Kantar helped Diageo to identify that a lack of consumer awareness was holding Black Spiced back.
To give the drink the best chance of success, Diageo needed to consider how to maximise reach through a revised channel strategy and capitalise on in-store presence by making the bottle stand out more on the shelf.
Nicola Sargent, senior consumer planning manager: Vodka, Rum and Convenience at Diageo, says: “We knew we had a great product, so to address these challenges we revised the media plan to ensure high impact, awareness-raising channels were selected and invested in extra feature and display so that Black Spiced stood out as something new and exciting at the point of purchase in store. These tweaks to the launch plan resulted in a 30% increase in awareness and 50% increase in both trial and repeat purchases over the following six months.”
Understanding not just how new products perform but also what sits behind this is crucial. Existing tools often fail to connect the dots between consumer behaviour, brand impact and sales performance, leaving brands with gaps in their strategies for what to do next.
This is exactly what LaunchEvaluate makes possible. Beyond offering detailed performance metrics, it digs deeper into consumer motivations, uncovering why and how trends are happening and the broader impact they have on the brand. These insights provided a solid foundation for immediate decision-making and serve as a springboard for future innovation.
Whether it’s diagnosing barriers to sales, assessing if your innovation is driving the desired incrementality (through occasion, demographics or competitor sourcing), identifying growth opportunities or refining brand strategies, LaunchEvaluate ensures every launch delivers maximum impact.
With insights available in as few as 48 hours via an interactive dashboard, your next product launch could be your most successful yet.
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Image credit: creativeart/Freepik
