The bungled Kraft Vegemite iSnack 2.0 comes down to a really simple problem. Something they (Kraft) do all the time, and I should know, I used to work there.
They can never seem to fully embrace new ideas in their entirety. They want to innovate, but leave the final decisions to senior management. They tend ignore research, or take snippets from consumers. They only ever go half way.
Latest news is that they are changing the name – your jar might be a collectors item in 10 years!
What Kraft should’ve done:
Not ask for ideas to chose from, but let the crowd choose and vote – like Digg! It’s crowd sourcing 101. If you want an opinion from the crowd, then you’ve got to let them decide too. That way you have them ‘on your side’. To choose a brand name for 48,000 is as pointless as letting a very uncool CEO decide. Which is ultimately what they did.
Startup blog says: Embrace the crowd entirely, or don’t bother engaging them.