"Failure Case Study: Meiji Karl Extruded Corn Snack", is part of the author's Successes and Failures research. It examines the details of and reasons behind the failure of Meiji Karl, one of Japan's long-established snack brands. It delivers the critical "what?", "why?", and "so what?" analysis to teach you crucial lessons that increase your chances of launching successful products as well as avoid the risk.
Meiji Karl was launched as Japan's first extruded corn snack, and has been on the market for nearly 50 years. Its sales reached JPY19bn in the 1990s. However, in the 21st century, the sales of Meiji Karl started to get sluggish, and Meiji announced the termination of production of the brand for eastern Japan by August 2017.
- Meiji Karl is a snack for young consumers. However, the size of Meiji Karl's target audience has shrunk, and the brand did not react to the change proactively.
- The rising power of convenience store chains is exacerbating Meiji Karl's difficulties, as they generally stock top-selling products. Two major chains have dropped the brand from their shelves.
- Identifying demographic changes and developing products accordingly is crucial, while keeping up with the evolution of technology and media is necessary to identify influential media tools for product promotion.
- 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.