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Wei Ke, a partner at consultants Simon-Kucher, discusses the psychology behind customers' choices, including the appeal of metal credit cards, the willingness to pay $450 a year for a card and the paralysis of too many options.
Less than 10 months after launch, Keurig Kold has officially lost its fizz. Keurig, which built its empire on single-serve, pod-based beverages, just announced its discontinuation of Kold, the expensive home soda machine no one wanted. But its exorbitant cost – $370 dollars – isn’t the only hurdle. Soda consumption in the U.S. is on the decline, falling to a 30-year low.
The odds are stacked mightily against any company that launches a new product or service. Between 65% and 75% of new offerings fail outright or miss their revenue or profit goals, depending on whose research you look at. And the tab of those failures is hefty — $260 billion in the U.S. alone in 2010, according to University of Texas at Austin professor Rob Adams.

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