To Launch or Not to Launch: An Empirical Estimate of New Food Product Success Rate

Local Foods Go Downstream: Exploring the Spatial Factors Driving U.S. Food Manufacturing

“…Beyond providing a more diverse economic base to balance commodity‐dependent areas during times of weak markets (a “push” factor), food manufacturing start‐ups are likely “pulled” by the proliferation and acquisition of niche brands as national conglomerates identify start‐ups with piloted concepts to integrate into their portfolios (Salnikova, Baglione, and Stanton 2019). For example, Hormel Foods, which diversified its portfolio with Skippy peanut butter in 2013, went on to acquire New Jersey's natural food focused Applegate Meats in 2015, then purchased Justin's Nut Butters, a natural food start‐up out of Boulder, Colorado, in 2016.…”

“…Rupasingha (2017) found that the share of smaller local businesses may be positively associated with local economic performance, while Low and Brown (2017) found that smaller, independent manufacturers had the highest survival rates in rural areas, thereby bolstering resilience. Salnikova, Baglione, and Stanton (2019) found new product success rates are higher (>50%) among food manufacturers than previously understood, suggesting that food manufacturers in the U.S. may benefit from more innovative approaches.…”

Improving simulated consumption context with virtual Reality: A focus on participant experience

“…In the food and beverage industry, new product development and launches are critical for a company's success. The success rate of new product launches is reported as being as low as 15% in the US (Salnikova, Baglione, & Stanton, 2019). Multiple factors can contribute to new product failures, however, questions on whether sensory and consumer testing can predict consumer decisions and purchasing behaviours have been raised by sensory and consumer scientists (de Graaf et al, 2005;Jaeger et al, 2016;Jaeger & Porcherot, 2017;Meiselman, 1992).…”

The role of credence attribute claims in food product launch – a comparative study of New Zealand and Australia

“…For example, Gourville (2006) find that between 70 and 90% of new products are removed from shelves within a year, and according to Barczak et al (2009) and Sudhir and Rao (2006), the proportion of new product failure is between 40 and 80%. Note that failure rates for food products differ dramatically across types of product categories and launching approaches (Salnikova et al, 2019): fruit, vegetables and desserts may have a success rate of up to 88%; new packaging and relaunch strategies also help maintain a high success rate. So far, the mechanisms that drive or hinder new product development are still not well understood (Lemmerer and Menrad, 2019).…”

“…The lack of studies on the firm side indicates a clear research gap as studies on credence attributes mainly focus on consumers, such as measuring consumers' willingness to pay (WTP) for different credence attributes and investigating factors affecting WTP (Bai et al, 2013;Liu and Niyongira, 2017;Yang and Renwick, 2019), whilst the potential linkage between credence attributes and new product development is ignored. The literature on the firm side tends to evaluate the performance of firms' product launch strategies, such as the survival rate of new products (Castellion and Markham, 2013;Salnikova et al, 2019). In addition, existing studies generally use case study approach to qualitatively compare firms' marketing strategies (e.g.…”