Failure Case Study: Spam Snacks

Failure Case Study: Spam Snacks

  • January 2017 •
  • 16 pages •
  • Report ID: 4755218 •
  • Format: PDF
Failure Case Study: Spam Snacks

“Failure Case Study: Spam Snacks” is part of GlobalData’s Successes and Failures research. It examines the details of and reasons behind the failure of Spam’s snack line extension. It delivers the critical "what?", "why?", and "so what?" analysis to teach you crucial lessons that increase your chances of launching successful products, especially within an oversaturated marketplace.

Recognizing growth in both on-the-go consumers and the dried meat snack category, Spam sought to enter the market with the creation of Spam snacks. However, key consumer trends and desires were overlooked, leading to the product’s withdrawal after just six months. Consumer and industry trends must be recognized during the product development stage in order for a product to succeed, especially in Spam’s case, where several competitors were already established within this category.

- As the dried meat snacking sector is already established, consumers expect more from manufacturers in terms of differentiation and relevancy to current trends in the marketplace.
- Premiumization could have elevated the perceived value of the product to consumers who are overfamiliar with traditional protein sources.
- Relying on loyal consumers to accept new product launches is dangerous. Instead, Spam should have attracted new, adventurous consumer segments while retaining loyal fans.

Reasons to buy
- 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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