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Launch lessons from a growing global supplier of industrial equipment

Article  in  International Journal of Business Excellence · January 2008

DOI: 10.1504/IJBEX.2008.018839

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Int. J. Business Excellence , Vol. x, No. x, xxxx 1

Launch lessons from a growing global supplier of

industrial equipment

*This is the version that was accepted for publication in

International Journal of Business Excellence. To see the
final version of the article, please see:
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DOI: 10.1504/IJBEX.2008.018839

Tuula Lehtimäki
Department of Marketing
Faculty of Economics and Business Administration
PO Box 4600, FIN-90014 University of Oulu
Fax: +358 8 553 7790
E-mail: tuula.lehtimaki@oulu.fi

Jari Salo
Department of Marketing
Faculty of Economics and Business Administration
PO Box 4600, FIN-90014 University of Oulu
Fax: +358 8 553 7790
E-mail: jari.salo@oulu.fi

Heikki Karjaluoto
School of Business and Economics
PO Box 35 (MaE), FIN-40014 University of Jyväskylä
Fax: +358 14 260 3331
E-mail: heikki.karjaluoto@econ.jyu.fi

Abstract: Although the launch phase in new product development (NPD) has
been recognized as a vital stage affecting the success of new products it is often
poorly managed due to various reasons. The purpose of this paper is to
understand better launch management in its context by looking at the drivers
and bottlenecks of launch inside a young and growing global industrial
equipment supplier with the use of a case study method. The findings of the
study show that the enforcement of internal marketing, market knowledge use,
marketing communications and organisation of marketing activities and their
links to other company functions are main drivers of a successful launch. The

Copyright © 200x Inderscience Enterprises Ltd.

 paper presents launch as an independent process managed by marketing
department and discusses the links between launch and other processes such as
NPD. Both theoretical and managerial contributions are provided at the end.

Keywords: launch; growing firms; global suppliers; best practices; launch

management; launch challenges; launch drivers.

1 Introduction

Launch is a stage in the new product development (NPD) process that introduces a new
product to the market for the first time (Beard and Easingwood, 1996). It has been
recognised as a vital stage affecting the eventual success of new products in markets (e.g.
Cooper 1979; Langerak et al., 2004), but this stage is often not systematically managed in
firms (Calantone and Di Benedetto, 2007; Greenley and Bayus, 1994). In addition, the
launch decisions most frequently made are not aligned with factors leading to success
(Hultink et al., 2000). The need to increase empirical launch research in order to
understand launch management better has been identified (e.g. Greenley and Bayus,
1994; Hultink et al. 2000), but academic research has only recently paid more attention to
it (Calantone and Di Benedetto, 2007). Instead of focusing on the problems behind poor
launch management, a great deal of launch research has discussed how various aspects of
launch such as timeliness (e.g. Chryssochoidis and Wong, 2000; Lambert and Slater,
1999) and strategic and tactic launch decisions (e.g. Garrido-Rubio and Polo-Redondo,
2005; Guiltinan, 1999; Hultink et al., 1997; Hultink et al., 2000) affect new product
success. Moreover, literature on systematic or process approach on launch management is
scarce (e.g. Calantone and Di Benedetto, 2007). We argue that in order to manage launch
successfully, in addition to having a holistic perspective on launch activities, also the
problems are as important to understand as are the success factors.
Launch management is seldom considered from the perspective of an individual
industrial player. The context of the launch cannot be separated from launch activities, as
launch decisions have been identified to be situation dependent (Guiltinan, 1999). The
purpose of this paper is to contribute to literature on launch management by developing
an understanding of the context dependent launch management. The research question
can be formulated as: what are the main drivers and challenges for launch management
in the context of a young and growing global industrial equipment supplier? An
investigation of a young and growing organisation offers interesting and relevant
viewpoints, because firms tend to learn most efficiently while they still have few
experiences on launch (Michael and Palandjian, 2004).
The study is organised as follows. First, the literature review presents the key drivers
and challenges of launch. Second, the empirical case introduces the launch of an
industrial product generation and the following launch development activities. Finally,
conclusions are drawn on the basis of the presented literature and the case, and further
research directions are proposed on launch management.
 Launch lessons from a growing global supplier of industrial equipment

2 Launch drivers and challenges in the literature

2.1 Launch drivers

On the broad area of launch literature we first focus on the drivers of launch and then on
the challenges. Launch literature discusses launch often through strategic and tactic
launch decisions (Biggadike, 1979; Hultink et al., 1997). This approach has been also
used to examine the success factors of launch (e.g. Di Benedetto, 1999; Hultink et al.,
2000; Hultink and Robben, 1999). Strategic decisions refer to decisions on what, where,
when and why to launch, and tactic decisions are marketing mix related decisions on how
to launch, and these two sets of decisions should be consistent (Hultink et al., 1997).
Strategic decisions on product innovativeness, market targeting, and whether the product
is marketing- or technology-driven, should be linked to tactical decisions on branding,
distribution expenditure and intensity, and pricing (Hultink et al., 1997).
Di Benedetto (1999) presents using cross-functional launch activity teams in making
marketing and manufacturing decisions, and getting logistics involved early in planning
as a key success factors in launch. Di Benedetto (1999) finds also that perceived superior
skills in marketing research, sales force, distribution, promotion, R&D, and engineering
are related to successful launches. Launch that leads to positive new product performance
should contain an early introduction of an innovative new product along a broad product
assortment, an existing brand name, explicit market penetration objectives for existing
market, penetration pricing, and explicit awareness of competitor’s reactions to the new
product (Hultink and Robben, 1999). In a study of Hultink et al. (1997) the best
performing strategy for industrial product launches was one that aimed at niche markets
with few competitors. Later Hultink et al. (2000) found that some launch decisions are
more relevant either to consumer or to industrial product success. The launch decisions
that were significantly associated with new industrial product success were market
penetration objective, timing, product assortment, and competitors’ reactions with price.
Proficiency in launch tactics contributes to new product performance (Langerak et al.,
2004). Identified launch tactics that promote new product success are high quality of
selling effort, advertising, and technical support; good launch and support program
management; and excellent launch timing relative to customers and competitors (Di
Benedetto, 1999). Tactical decisions enhancing new industrial product performance are
especially intensive distribution, skimming pricing, and broad product assortment
(Hultink et al., 1997). Salesforce plays a major role in product introductions (Micheal et
al., 2003) and the way that products are launched to them influences the manner in which
the products are sold (Rackham, 1998). That emphasises the role of internal launch. Also
marketing communication clarity and integration affect positively new product
performance, and message uniformity affects positively to sales (Chen et al., 2007).

2.2 Launch challenges

To understand the background of launch failures is as important as to know the success
factors. Challenges are frequently discussed as a part of success studies, but literature that
has focused on launch challenges is however limited. Challenging areas of launch
identified in the literature are often related to unstructured launch process (e.g. Calantone
and Di Benedetto, 2007; Greenley and Bayus, 1994); managing product families and
generations (e.g. Saunders and Jobber, 1994; Srinivasan et al., 2006); salesforce
management (e.g. Atuahene-Gima, 1997; Rackham, 1998); global launch management
(e.g. Bruce et al., 2007; Kalish et al., 1995); and especially launch timing (e.g. Kalish and
Lilien, 1986; Wong, 2002). Next, the challenges of launch are discussed further.
Timing can be related to product readiness (Kalish and Lilien, 1986), announced
launch date (Hendricks and Singhal, 1997), competitors (Lambert and Slater, 1999), other
own product launches (Moorthy and Png, 1992), and global versus local aspects
(Chryssochoidis and Wong, 1998; Calantone and Griffith, 2007). The general viewpoint
is that timing is crucial, but often problematic. On the one hand, the product should be
technically ready in order to prevent negative word of mouth (Kalish and Lilien, 1986),
but delayed announcements usually decrease the market value of the firm (Hendricks and
Singhal, 1997) and sacrifice sales (Kalish and Lilien, 1986). On the other hand, in some
situations correlation between schedule accuracy and business results can be practically
nonexistent (Lambert and Slater, 1999). Launch timeliness is linked to R&D schedules.
Managers must set realistic schedules and allocate sufficient resources to ensure both
tasks can be accomplished within planned time (Chryssochoidis and Wong, 2000).
Results on the importance of timing in relation to competitors are contradicting, but for
example Lambert and Slater (1999) say that “being first to market is not necessarily any
better than being second, third, or even fifth.”
On the level of launching product families or product generations the challenge is
cannibalisation management (e.g. Srinivasan et al., 2006). An inability to commit to
subsequent prices and designs precludes the possibility of mitigating cannibalisation
through product choices (Moorthy and Png, 1992). Another dilemma is whether to utilise
sequential or simultaneous launch in global markets. Kalish et al. (1995) and
Chryssochoidis and Wong (1998) prefer simultaneous launch strategy for most of the
cases. In general, sequential launch in one country after another is seen to reduce risks
but Chryssochoidis and Wong argue that this kind of approach overlooks the interplay
between timeliness and product success. In their study most of the sequential rollouts
were delayed, but simultaneous launches were timely more often. Delays resulted in
lower than expected product sales and profitability. The authors state that timeliness is
dependent on sufficiency of marketing and technological resources, proficiency in
executing NPD activities, and effective communication between headquarters, business
units, and customers in different countries. Global launch requires at least some degree of
customisation of launch process (Bruce et al., 2007). In order to coordinate global launch,
geographically dispersed virtual multicultural teams are needed (Harvey and Griffith,
2007). Product technology customisation to global market requirements causes easily
delays in multi-country rollout program (Chryssochoidis and Wong, 2000). The ability to
set realistic development schedules and to allocate sufficient resources to both
development and launch is required for a timely launch.
Succeeding in internal launch is important but challenging. Misbehaviour of
salesforce, e.g. misrepresenting product’s benefits for gaining short-term volumes, can do
severe harm on sales in the long run and spoil the planned product positioning. That is
why managers should see salespeople as the first line of customers and ensure the
adoption of a new product among them by considering carefully the characteristics of the
product, the competitive environment, the firm, and the members of the salesforce
(Atuahene-Gima, 1997). Launch communication on the new product must be modified
differently for internal and external stakeholders of the firm in order to guarantee
adoption by both. Finding a balance between informational and more sentimental
 Launch lessons from a growing global supplier of industrial equipment

messaging is challenging. A common mistake is to launch innovative products with too

much attention on new features and not enough on customer needs. Messages that are too
product-centric cause the customer interest to fade (Rackham, 1998). On the other hand
for example high-tech customers’ interest can be increased by informational messages
(Chen et al., 2007). In addition to own salesforce and direct customer, also all other
channels should be motivated to promote and sell the respective company’s product
preferably relative to competitors’ products (Bruce et al., 2007).
Sarin and Kapur (1990) present a new product failure of an industrial young firm
caused by unclear segmentation and positioning alternatives. In addition to all the
presented challenges, importance of a clear launch strategy cannot be underestimated.
Without a clear strategy the product will be in the worst case sold to everyone but no-one
finds it suitable or attractive for their purposes. Despite of these challenges, few firms
seem to take a systematic and well-defined approach on launch process management (e.g.
Calantone and Di Benedetto, 2007).

2.3 Summary of launch drivers and challenges identified in the launch literature
Based on the launch literature review the drivers and challenges of launch are categorised
among decisions on what, where, when, why, and how to launch (see Table 1). Most of
the drivers answer the question how to launch. It seems that the question why to launch is
difficult to answer and only few authors have aimed to categorise general launch
strategies (e.g. Hultink et al., 1998). Challenge areas are not so excessively researched
but still there can be found main issues for each of the launch decisions.
Table 1 Summary of launch drivers and challenges based on the launch literature

Decisions Drivers Challenges

What Engineering skills Managing products portfolios,
Innovative product families and generations
Broad product assortment
Where Existing market and for industrial products a Global launch management
niche market with few competitors
When Early timing but not necessarily in industrial Launch timing related to product
markets readiness, competitors’ actions,
and announced launch dates
Why Explicit market penetration objectives Lack of clear strategy
How Proficiency in launch Unstructured process
Cross-functional teams Salesforce management
Existing brand name Internal and external launch
Penetration pricing and for industrial products communication
skimming pricing
Distribution skills and intensive distribution
Skilful salesforce
Launch to salesforce
Marketing research skills
Awareness of competitors reactions to launch
Promotion skills
Print advertising
Clear and integrated launch communication
 The existing launch literature presents several factors for successful new product
launches, but even though these kinds of findings are important they are on quite a
general level when considering how to plan and execute a launch in a certain situation
from the perspective of a single firm. Launch process has strong linkages to other
functions and processes of a firm and it is affected by both internal and external factors.
For example Calantone and Di Benedetto (2007) argue that pricing and marketing mix
strategy, firm resources, skills, and NPD activities, work group structure, logistics and
inventory strategy, market orientation, launch timing, industry structure and environment
all affect launch. But there are few studies analysing comprehensively these effects. Next,
our case study aims to provide information that would help in solving the complicated
puzzle of successful new product launch.

3 Research method

We present an exploratory case study (Yin, 1994) to illustrate the launch drivers and
challenges in a certain setting concerning a young and growing, engineering-driven, and
globally operating industrial. Exploratory case study is a justifiable choice for a research
strategy with “what” questions (Yin, 1994). There were several reasons for choosing the
firm in this study. First, it represented a relatively young firm that was currently
launching a new product generation into global markets. Thus, it can be supposed that the
firm serves as a good target for learning from global launch decisions. Second, the firm
has succeeded well, which also supports possibilities for learning. Third, the case is
considered to reveal novel insights into how firms learn from their previous launches.
The research project started with an interest in launch development and more detailed
research questions were formed as more information about the case was known. First, the
launch of a previous product generation was evaluated by gathering empirical data from
twelve personal semi-structured interviews (e.g. Arksey and Knight, 1999). Nine
interviewees were from marketing, two from R&D, and one from sales. They represented
different organisational levels varying from managers to vice presidents. Additional data
that included notes from three workshops with firm personnel and project’s researchers,
internal documents such as presentations, brochures, project documents, launch plans,
and public materials such as news, annual reports and information on firm’s homepage
were used as supporting material. All gathered data was transcribed soon after data
collection and the researchers then read the data carefully several times before the actual
case analysis. The first step of case analysis was a detailed write-up (Eisenhardt, 1989).
In the write-up, the strategic and tactic launch decisions were utilised to organise the
writing. Then the case was analysed by thematizing the data as the drivers and challenges
of launch based on the research problem (Eisenhardt, 1989; Miles and Huberman, 1984).
The lessons learnt were then discussed in the firm, which resulted in a launch process
development project with three workshops, where the main phases of the launch process
were described from the marketing perspective. Notes from these workshops were
analysed accordingly. Finally, conclusions were drawn on the basis of the presented
literature and the case.
 Launch lessons from a growing global supplier of industrial equipment

4 Launch in a young and growing global industrial firm

4.1 Launch process and organisation in broad

The firm operates globally with over 1,000 employees and it has increased its revenues
constantly year by year. The firm designs, manufactures, and markets electrical
equipments used in many industries and applications. It offers broad product families
through direct sales, distributors, and equipment manufacturers. At the time of the
examined launch the firm was not only young and growing but also engineering-driven.
The firm started with entrepreneurial spirit aiming at excelling in engineering by focusing
on quality products and processes. The first product generation was a success and it fed
the firm’s growth. The aim with the second product generation was to build a broader
product assortment so that they could reach out to new markets and attain new customers.
During the examined second launch, the launch process was seen as a continuance for
the product development process and not so much as a parallel activity. When the product
design was considered sufficiently ready, information on what is going to be launched
started to flow more to the marketing and the sales. Launch activities were not
systematically organised as the organisation was then quite small. Communications and
organisation of tasks and responsibilities were taken care of without systematic approach.
Product managers and experienced salesmen had an important role in launch preparation
as the marketing function was small. A cross-functional launch group organised launch
activities. General launch plans or process descriptions were not available, but several
check lists were in use for different actors. Launch included in those lists a set of
marketing tasks (creation of brochures, manuals, sales presentations, taking part in fairs
and events), preparing demonstrations, internal trainings, and organising distribution.
Launch activities were not very targeted or customised to certain type of customers.
The new products were introduced sequentially to markets and experienced salesmen
had an important role in planning the rollout order. When the first products of the
generation were ready for launch, they were presented in those markets where there was
known to be a demand for that kind of equipment. The timeline from the first product
launch to the last launch of that generation was considerably long, over five years, as the
product range became quite broad. Main launch events were the technical business to
business exhibitions. The firm also organised own seminars for customers. At the
beginning these seminars were organised for example in hotel conference rooms, and
entrepreneurship more than marketing proficiency best describes the nature of those
seminars.

4.2 Launch drivers

Launch drivers can be more briefly described than the challenges. It is easier to see what
went well, but due to the multitude of problems it is unclear which ones were primarily
responsible for the troubles experienced by the firm. After all, the product generation
continued the success of the firm. The reason for that was not perhaps proficiency in
launch activities, but other related factors. Sales played also an important role in making
the product a success. After the initial technical problems with the product were solved,
salesforce was more motivated to sell the product. The launched product had advanced
features which provided customers with more benefits. Most of all there was a strong
positive attitude and motivation among the personnel in completing the launch. Personnel
were enthusiastic to introduce the new product to new and existing customers.

4.3 Launch challenges and lessons learnt

There were many kinds of challenges in the early phases of the launch of the product
generation which were later overcome and eventually the generation provided
continuance for the success of the previous generation. Many of those challenges were
not marketing originated but still affected the launch considerably. The marketing related
problem areas in the firm were concerned with different aspects of communication, lack
of proficiency, and inability to make realistic plans. The major challenge in launch
outside of the marketing function was caused by product development difficulties. In the
next section the launch challenges and the lessons learnt are discussed.

4.3.1 Unreliable development schedules

The most difficult problem during the early phases of launch did not originate from
marketing but from product development: the product was not technically reliable enough
when it was first launched, which further caused delays for the whole range of products.
It was characteristics for the launches of the product generation that they were delayed
and it was hard to say what would be launched next and when. The product families that
were planned to be launched as a whole turned out to be launched one product at the
time. This uncertainty was a result of growing organisation which had lack of
development resources, poor development effort prioritisation, external pressure for
launch timing, and no experience in developing and launching a broad product
generation, which complicated realistic development schedule planning. Introductions of
new products could not either be planned systematically because the development
schedules could not be trusted. This problem was made worse by not adjusting the
schedules but sticking to unrealistic timelines despite of the known difficulties and
delays. So the information on the real state of the development process was unclear
especially outside the development function.
Launching a product that was not reliable enough at the time of launch caused
internal resistance in the salesforce. They did not want to sell an unfinished product when
there were still excellent products to be sold in the previous product generation. That
delayed the ramp down of the previous generation. Schedule problems not only caused
internal conflicts but also customers were doubtful about what would come next and
whether the announced dates could be trusted. Some customers were waiting to get a
specific type of product but they could not get information on when it would be ready.
This might have caused loss of sales, both in short term but also in long term, if a firm
image was damaged in the eyes of some customers.
The launch lessons learnt from the unreliable development schedules can be
summarised as follows:
 Launch plan should consider either launching a whole range of products at the same
time or just releasing a segmented and targeted product so that customers are not
anxiously waiting for the next releases and delaying their purchases.
 Realistic schedule planning is essential in product development in order to be able to
develop realistic launch plans, and the schedules must be adjusted along the process.
 Launch lessons from a growing global supplier of industrial equipment

 Proven technology should be used for most of the projects in order to avoid delays
caused by unreliable technologies. Verification and testing are important for product
reliability and durability.

4.3.2 Internal communication between marketing and R&D

Communication between functions and processes of the firm happened naturally because
organisation was then smaller than now. Due to the rapid growth of personnel
communication has become increasingly complex. The interface between marketing and
R&D was identified to be vital in successful launch. The problem is that the marketing
function needs information on new products as soon as the main features are frozen so
that argumentation for launch can be built early on, but engineers are often reluctant to
present the new product until it is fully finalised. This information block slowed down
launch planning. Even in the marketing function nearly all employees were engineers,
and position of marketing function was then weaker due to small number of employees
and the engineering-driven history of the firm. It was also stated during the interviews
that at the time marketing proficiency was missing from the organisation. Two main
lessons can be identified here:
 Cross-functional communication is encouraged by assigning specific roles to take
care of it and utilising cross-functional teams.
 Processes and their interfaces have been developed to make communication, tasks
and responsibilities clear.

4.3.3 Internal communication of launch

The firm’s personnel (especially salesforce) were educated on the new products for
example in internal seminars. All sales channels should be trained and motivated in
addition to the firm’s own salesforce, and for each channel the launch message should be
tailored. As the new product was unfinished and the previous generation was still
competent, the salesforce questioned the new products. This made internal marketing
challenging.
Another dilemma linked to internal launch communication was that launch plans, as
they were uncertain, were not communicated to the relative parties in time. As there were
more and more products launched, the salesforce did not know the whole product lines in
all regions. The growing organisation impeded informing sales globally on new products.
At the time of this launch product mangers were training salespersons, but as the scale of
operations has got larger, internal trainings and communication on launch message must
be organised differently in the future. Ongoing trainings are needed as new products are
continuously launched.
Inadequate launch discipline is another impediment for well managed launch
communication. It is feared that if the information is passed on to some part of the
organisation, the rest of the staff will soon know it too, and as information has already
spread it is more difficult to do a credible and convincing rollout. That is the difficulty
especially with sequential roll-outs. Launch discipline means also that the salesforce
should be motivated to follow the positioning of the launched product. With the
examined launch, positioning of some individual products was not clearly communicated
internally. This resulted in a lack of understanding of the products’ target markets among
the salesforce, which led to unnecessary price discounts when product was sold to the
wrong target market. The main lessons for internal launch communication are:
 More attention is now paid to internal launch, especially in relation to salesforce
motivation, organisation of internal launch, communications on new product, and
argumentation building on the new product.
 Importance of positioning of products is now understood.
 The launch message must be tailored to different distribution channels of which own
salesforce is the most important.

4.3.4 Customer communications in launch

Generally, there was no strong marketing proficiency in the firm, but still services from
outside professionals were not used efficiently. During the launch it was felt that the
communicated new product message was perhaps too technical and not enough attention
was paid to the needs and interests of the customers. That was partly due to the fact that
initially product presentation materials were developed by R&D personnel for the
internal presentations, but then the same materials were used also externally. Marketing
communications during the launch were not tailored to different customer groups
systematically. Positioning and the benefits related to prior generation of products were
unclear to customers at first. As time passed the presentations were moderated to be more
customer-oriented and the need to have several types of presentations for different
purposes was better understood. There were many lessons learnt on customer
communications related to launch.
 To convince customers, especially customers of segment products, knowing the
values of specific customers and speaking customer’s language is essential. The
launch message and its arguments must be based on these. Quality and reliability of
the product are taken as given.
 Launch communications must be tailored to specific customer groups but that
requires strong market knowledge. Right market communication tools must be
selected to deliver the tailored message to the right people.
 Brand development is an essential tool to be utilised in launches for credible
communication, but if using one single brand, the building of segment specific
credibility takes time.
 Marketing materials should have common templates. This is a simple way to build a
firm specific way to communicate on launch.
 When seeking growth it is important to consider how to communicate new products
to new potential customers. That again requires market knowledge.
 Positioning of products must be paid attention to in launch communications.
 It is preferable to utilize the services of external professionals for example in
marketing communication planning if there are no such professionals in-house.
 Launch lessons from a growing global supplier of industrial equipment

4.3.5 Unorganised launch process

One identified challenge was that launch process was not very organised and according to
interviewees the responsibilities were somewhat unclear. That was partly due to that
growth of the organisation had not been followed by more structured operations and
guidelines. However, process thinking has been gaining foothold in the organisation and
currently the launch process is under development. But once again, it was hard to plan
launches since product development schedules were not trusted. This also undermined the
possibility to effectively utilise preannouncements or timing options.
The lessons learnt collected from this launch triggered the launch process
development in the firm. Three workshops focused on describing the general launch
process, but how it should be adapted to different product groups has yet to be
considered. There is also need to synchronise the process more closely with other
processes, but it was emphasised that it is important to first look at launch from
marketing perspective and as an independent process from the NPD process. NPD
process descriptions take only a R&D perspective on launch and name the needed inputs
from marketing. No other function than marketing itself can know what needs to be done
by whom and when, and what is needed from others. It should be acknowledged too that
not all launches introduce a novel product originating from internal NPD process. Launch
can concern only a face-lift or an outsourced product design, so it is not only a part of
internal NPD process but an independent process. To sum up, the main lessons from the
launch process development are:
 The need to describe processes through actors, activities, inputs, outputs, and links to
other processes is recognised.
 Launch planning and especially scheduling must be improved in product, product
family, and product generation levels.
 Launch should be developed and managed by the marketing function as an
independent process that has many interfaces to other processes and functions.

5 Discussion

The empirical case study described the drivers and the challenges of a launch of a product
generation in a young and growing global industrial firm (see Table 2). Questions where
and why to launch did not include major issues, hence only decisions on what, when and
how to launch are concerned on Table 2. When looking at the drivers, the engineering
excellence resulted in a good product that guaranteed the success with strong sales and
process know-how in the long run. The case includes fewer launch success elements than
the complex literature. It can be argued that the success in this case was not a result of
skilful and considered integration of strategic and tactic launch decisions, but a sum of
many actors and activities also outside marketing function such as product development.
Many drivers found it the literature were validated in this case, but again different drivers
were emphasised in the literature and in the case.
Table 2 Drivers and challenges of launch identified in the case

Decisions Drivers Challenges

What Product with advanced features that Technical problems with product
provided customers with benefits reliability at the time of launch

When Unreliable development schedules

caused delays
How Efficient sales and distribution Unorganized launch process
Enthusiastic attitude Internal communication between
Motivated personnel marketing and R&D
Internal communication of launch
External communication of launch

The main problem areas of the case were unreliable development schedules that
caused launch delays, internal communication between marketing and R&D, internal
communication of launch message, customer communications during the launch, and
unorganised launch process. Presented launch challenges in the literature were
unstructured processes, management of product families and generations, salesforce
management, lack of clear launch strategy, technical problems with the product, user
adoption, customisation, segmentation, global launch management, and especially timing.
Thus, with the exception of user adoption problems, the challenges found in the literature
were surprisingly well represented also in the case but the case highlighted some of the
challenges more than the literature. In this case the problems with new product
development and lack of marketing professionalism were emphasised during launch.
Many of these challenges are linked and if one link fails, there will be effects to other
links. For example, the unreliable product development schedules caused difficulties in
launch planning, and delayed product introductions led to confused communications.
Growth of the firm was one factor behind the introduction delays as there was shortage
on development resources and there were many kinds of communication problems and
lack of planning as development of organisation was lagging its growth. The young age
of the organisation was then linked to lack of marketing proficiency.
The case also found that drivers and challenges are linked. For example having cross-
functional teams for launch decision making was brought up as a success factor (Di
Benedetto, 1999), but on the other hand cooperation and communication between
marketing and R&D is traditionally considered to be problematic (e.g. Griffin and
Hauser, 1996; Rodríguez et al., 2007), as it was also in the case. Proficiency in
information gathering activities is an identified launch success factor (Di Benedetto,
1999), but it was also a launch challenge in this study as the firm recognised a need to
develop their marketing knowledge. The implication of the study is that key success
factors and challenges are in some cases the other sides of one coin.

6 Conclusions

This study explored the main drivers and challenges of launch in case of a young and
growing global industrial equipment supplier. Main drivers for the success of the new
product were actually largely independent of the marketing function. They were
 Launch lessons from a growing global supplier of industrial equipment

excellence in engineering and sales resulting in good product with real benefits to
customers, efficient delivery and manufacturing processes, and high volumes. When
looking inside the marketing function the findings of the study show that the enforcement
of internal marketing, market knowledge development and use, internal and external
launch communications, and organisation of marketing activities and their links to other
company functions are the main drivers of a successful launch. The main challenge of the
launch is unreliable development schedule. Other challenges are related to internal and
external launch communications, lack of planning and systematic approach in launch
activities, and lack of marketing proficiency.
This study contributes to the launch management literature by taking a
comprehensive view on launch in its context. In addition, we expect to contribute to the
literature on “systematic and integrative thinking about the new product launch plan”
(Guiltinan, 1999) by describing context specific drivers and challenges of launch. Our
case analysis has illustrated that the theory captures the general characteristics of the
launch phenomena, but still in certain contexts they appear differently and different
elements become more important.
What seems to be the most important lesson for managers is that it is hard to excel in
launch if it is not managed and developed as a holistic cross-functional process. Launch
process consists of tightly linked activities that cut across functional boundaries. All key
areas of launch must be taken care of in order to succeed, but all of the areas are not
under marketing’s control. That is why the importance of cross functional communication
is often underlined. If managed rightly, it is easier to understand the interconnectedness
of activities and to realistically plan the launch. Even though launch management is
linked to the schedules of NPD process, the launch process should be developed and
described independently from NPD process and from the perspective of the marketing
function. After all, important launch timing decisions should not be made on the basis of
NPD schedules, but NPD should be scheduled to meet the planned launch dates. The
marketing function coordinates the launch and for that reason it can best understand the
process and its connections. Therefore it should be the function that defines what is
needed and when.
Another lesson is that before focusing on fine-tuning the integration of strategic and
tactic launch decisions in young and growing organisations, basics should be handled
first. At the beginning organisations should develop a general launch plan template to be
applied in launches and make clear the tasks and responsibilities. This should be followed
by gathering the required resources and proficiency and by clarifying the connections to
other processes and functions. Finally, the importance of market knowledge should not be
underestimated.
The main limitation of the study relates to the single case study approach which
makes generalisations of the context specific results difficult. However, the explorative
case clearly supports the general theoretical findings on launch success factors and
challenges, but provides also new context related ideas and examples on launch that can
be further developed and tested. As the literature notes, the purpose of an exploratory
single case study is not to generalise on the basis of hypotheses testing but to examine
and to understand the phenomena in its natural setting (Eisenhardt, 1989; Yin, 1994).
Future studies could enhance the empirical research on launch and look at how launch
actually happens in firms. More research focusing on launch management from process
perspective is encouraged to better understand the launch as a whole. Literature is limited
on process descriptions on launch at least from marketing perspective. Second, this study
implies that internal marketing plays a major role during launch but that has received
scarcely attention in the launch literature. Third issue for future studies is to examine
launch on an upper level considering product families and generations utilising product
life-cycle thinking and road mapping. If launches are not planned at long sight, it will be
harder to systematically transit between product generations due to cannibalisation and
markets that can be at different phases of product generation adoption. Finally, as argued,
future studies should look for key elements in launch instead of separately presenting
success factors and challenges as they appear to be overlapping to some degree. More
context specific research into launch is encouraged by this research as it has illustrated
that the specific constellation of drivers and challenges of launch could be context
dependent.

Acknowledgements

The financial support of the Finnish Funding Agency for Technology and Innovation is
gratefully acknowledged. The authors would like to thank the anonymous reviewers for
their helpful comments.

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