Food & Beverages

Failure Case Study: Nestle Nesfluid ; The risk of conveying multiple promises/messages for a new product

  • CAN374222
  • 16 Pages
  • December 2015
  • Food & Beverages
Summary
French consumers are atypical in their food and drink preferences, unlike English and Germans who respond better when it comes to experimenting with innovations. They tend to put a great emphasis on naturalness in general rather than functionality, regardless the segment. Additionally, taste has a significant impact on their response to new products.

Key Findings
-Failure Case Study: Nestl Nesfluid highlights the launch of a functional drink made with coconut water and whey protein in France in 2010. The range comprised six variants, with each targeted at different health needs. These were Renforce (Reinforce), Vitalise (Vitality), Equilibre (Balance), Body, Rayonne (Radiant), and Protect.

-The product was positioned as a hydranutrition drink, a concept that was not clear to French consumers and failed to attract their attention. In addition to this, each variant conveyed a different message to different consumer groups, which created confusion in consumers minds. And finally, a perceived lack of flavor was one of the critical reasons for the failure of the range.

-Nestl not only targeted the mass market too soon but also failed to meet the needs of French consumers. Keeping the message clear and respecting the value perceptions of the target consumer base are key to success.

Synopsis
-Failures Case Study: Nestl Nesfluid is part of Canadean Consumers Successes and Failures research and explores a failure of a launch of a hydranutrition drink in France. It delivers the critical:

- What? Nestl Nesfluid was a functional drink with coconut water and whey protein.

-Why? The unclear proposition combined with the lack of taste contributed to the failure of the range.

-So what? Emphasizing a single health benefit targeted at a receptive group of consumers is key to success.

ReasonsToBuy
-Reduce the risk of failure by learning from brands/products that have under-performed: failed innovation can severely impact profit and reputation.

-Understand the relevant consumer trends and attitudes that drive and support innovation success so you can tap into what is really impacting the industry.

-Gain a broader appreciation of the fast-moving consumer goods industry by gaining insights from both within and outside of your sector.

-Access valuable strategic take-outs to help direct future decision-making and inform new product development.
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