These three launch truths converge and permeate the business landscape: launch is critical to business success, they are rarely successful and they’re getting more difficult. Like a perfect storm, they’re inextricably linked to create what we call the Launch Gap — or simply The Uh-Oh Trifecta, as in “Uh-oh, we’d better get better at launch.
#1 Launch is Critical to Success
Whether you’re in a B2C or B2B space, bringing new or improved products to market is increasingly central to the success of your business. More than 25% of total revenue and profits across industries comes from the launch of new products, according to a McKinsey survey.¹ Cooper & Edgett, product development gurus, say it’s even higher, with new products representing 50% of companies’ revenues and 40% of their profits across industries.² Clearly, excelling at launching is a crucial competitive advantage.
#2 Launches are Rarely Successful
Clayton Christensen of Harvard Business School says that each year more than 30,000 new consumer products are launched into the world.³ Even more remarkable is that 95% of them fail. Across varying industries, you’ll find failure rates between 70–90%. It’s hard to imagine another endeavor that’s so vital to business success, where there is so much struggle.
#3 It’s Getting More Difficult
Global markets, omni-channel media, faster lifecycles, increased commoditization, competitors who pop out of nowhere… aaah!…the landscape we compete in is not getting any easier to navigate. In fact, the logistical and psychological barriers are ever increasing. Our jobs as marketers are growing more challenging by the minute with the current rapid rate of evolution.
Ok, what now?
The first step to improve launching is understanding the context it is typically viewed. We can modify processes and shape organizational behavior to improve performance by shifting perspective. Let’s explore the contextual framework and associated mindset to pivot toward three important tenets of successful launching:
2. Launch is a Discipline (Launch It or Release It?)
3. More Than an Introduction (Launch is Not Just for New)
The Introworks launch philosophy doesn’t stop there. Read more in the Orange Paper: Rethink Launching (pdf).