Companies are constantly trying to make an existing product better or create the next best thing. As our new white paper details, Innovation is a constant race to the top with businesses investing incredible amounts of money towards new concepts and technology – but the vast majority of them fail. Taking a loss is a tough pill to swallow, and many companies are left wondering what went wrong.
Usually, the answer to this question is very simple. Customers were left out of the process. A lot of companies choose to anticipate what their customers want, rather than actually asking them. It’s understandable too, considering the pace of innovation is faster than ever. But, as the example below proves, it’s important to not just hop on the next bandwagon but instead do the work to truly understand what your customers yearn for.
Back in 2009, following the success of the movie Avatar, TV manufacturers thought the next big thing was in-home 3D technology. They figured since Avatar had performed incredibly well with record-breaking numbers, it would open the floodgates of demand for 3D televisions so consumers could have the same experience in their homes. It seemed like a good idea on paper, but they failed to do the necessary market research and based their decisions on intuition and apples to oranges data. As it turned out, people like 3D movies, but they don’t want them in their homes. Sales were poor, and the 3D revolution was considered a colossal flop. Today, the concept is practically dead, with manufacturers cutting the 3D functionality from most of their products.
Market research can be tedious and often expensive, and given the premium placed on lean budgets and reduced timelines, it’s natural to be intimidated by it. But when you look at the cost of assumption, research seems like less of an expense and more of a must-have insurance policy.
Organizations like Save the Children, along with companies like Procter & Gamble and Abbott Nutrition, know the benefits of research. The investment is one that has consistently led them to successful product launches, game-changing discoveries, and fruitful product pivots.
To read their stories and see what you can do to easily integrate market research into your innovation process, please check out the white paper, Fueling Innovation with Modern Market Research.