Lessons learned from blockbuster products

More new products are hitting the market every year, at an accelerated pace. However, the rate of success remains fairly low for both industrial and consumer products.

There is no shortage of books offering tips on how to perform better in this arena. Much of this advice recommends a two-step process aimed at improving the chances of success of new products. First, stimulate creativity to increase the chances of finding a good idea. Then, establish a series of filters, e.g. concept tests, feasibility studies, etc., to minimize the chances of failure. Unfortunately, observation shows that the impact of these efforts on the rate of success remains marginal.

The authors of “Blockbusters” decided to concentrate their research on blockbusters. They conducted a detailed statistical study of several hundred projects, in order to identify the underlying practices that characterize blockbusters. What they found falls outside the beaten path:

– Developing a blockbuster is a perfectly realistic ambition. This requires powerful strategic drive, reflected in focused efforts on one core project.

– The chances for success are increased considerably by combining five practices, i.e. ensure the operational involvement of senior management, establish a clear and stable vision, work with prototypes, actively share information and challenge the project team.