Blockbuster Products: More Than Mere Functionality

Because of saturated markets and the dominant power of the buyer—distributors, retailers, and consumers—it is no longer enough to deliver a well-engineered, functional product or package. Every competitive company does. Manufacturers today must create greater meaningful value for the end user.

To do this they need to study the retail landscape in terms of in-store merchandising and displays, shopper perceptions, and the retail experiences. They also need to analyze competitive products in terms of product or package features, benefits, and look and feel.

Above all, manufacturers must explore with consumers not just the specific features they expressly want but also their latent, unarticulated needs. What are the issues they wrestle with every day? What are their desired outcomes? What opportunities for improving existing products or packages can they envision? Some recent examples might be illustrative.

Thermador
Thermador is the world’s third largest appliance manufacturer. For 70 years its name has been synonymous with ingenious design and innovation in luxurious kitchens. In 1954, Thermador introduced the built-in wall oven. Other breakthroughs followed to become industry standards in the high-performance kitchen category.

Nonetheless, the product line was incomplete in that it lacked refrigerators. So in 2001, Thermador decided to develop a line of next-generation refrigerators.

Thermador’s start-up research found that consumers wanted to experience a high-end refrigerator differently than less expensive appliances. They wanted a special luxury experience. The basis for the first Thermador refrigerators was to be a new design esthetic, an elegant look and feel, inside and out, and exceptional convenience. The design would connect the owner’s identity to the best-in-class product.

Launched in 2004, the line immediately won the recommendation of architects, interior designers, and homeowners, as well as an award from “House Beautiful” magazine.

Gillette
Several years ago, the Gillette Co., a world leader in personal and oral care products, wanted to gain share in the highly competitive personal care market. Its goal: to create a next-generation antiperspirant and deodorant product.

Through its diagnostic process, Gillette discovered acute consumer unhappiness with the way deodorants often left a white residue on garments. Consequently it reinvented the formula, making the deodorant clear. Because the new solution was sticky and thick, a special applicator was required to apply the gel. The new applicator proved both cost-effective and patentable, giving Gillette an easily defensible competitive advantage.

Today clear antiperspirants and deodorants dominate, and Gillette’s products are number one.

Similac Infant Formula
Ross Products introduced Similac Concentrated Liquid, the first infant formula available in a form other than powder, in 1951. Similac became the most popular product in its market. But growth was slow, and management wanted to capture market share from a leading competitor. To win at retail, the packaging, then a can, would have to be redeveloped.

The development team studied the product, the company’s capabilities, the market, and the users—young mothers and healthcare professionals. The result was a 32-oz. reclosable plastic bottle, containing a day’s feeding, that was easy to hold and pour, travelled well, and could be opened without a can opener, due to a built-in patented cutter. Finally, a rectangular shape was designed to make the brand and stand out on shelves filled with round metal cans.

The response was exceptional. Similac captured the market share it desired.

GoSnacks
To create the loudest tasting, most fun snack on earth, Frito-Lay Co. developed Doritos 3D’s Corn Snacks. The question was how to package it to compel consumers to buy repeatedly.

The focus was males 8-19 years old. What did they want? Several important undetected needs were discovered through ethnographic work. The resulting packaging was designed for the “on the go” generation: The cap doubles as a cup for sharing, and a reclosable freshness seal and container protects the integrity of the corn snacks and fits in a knapsack or a cup holder.

Response was overwhelming. Wal-Mart gave GoSnacks two power-aisle displays in every one of its more than 3,000 US stores.

Yes, we still need solid engineering and functionality. But today that’s table stakes. To become a blockbuster is to be something consumers want to buy—something that’s not just different but also better than anything else in its category, better because it meets heretofore unmet consumer needs.

Gary Grossman is president of Innovation & Development (www.IDIusa.com), an Edgewater, NJ-based product strategy and packaging firm.