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Why BlackBerry Failed?

why blackberry failed

Hello everyone, this is Arpit Rana from learnsomebusiness.com and today we are going to do the business case study of the topic ‘why blackberry failed?’

Blackberry is once the pioneer in the technology world, everybody wants a blackberry back then. No one has ever imagined that once the dream company of every person will become a company whose survival is at stake now.

If we look at the life cycle of blackberry, it reveals all the things why blackberry failed.

First of all, let us see why blackberry progresses in the starting.

There were only two reasons for blackberry to win-

  1. Innovation
  2. Pricing

Innovation- Once upon a time, the word smartphone means a blackberry. Blackberries have their legendary QWERTY keypads. They also have great features like email, MMS etc. That time these features were present in many few phones and blackberry innovated a lot in their OS for bringing them with lots of security in a cellphone.

Pricing- That time Blackberry devices were used to be very costly. Infact, that was right. As cellphone is like a luxury that time. Blackberry priced the phone as a luxury item and won market.

Now, coming to the reasons why blackberry failed.

There are three reasons for the blackberry to fail-

  1. Innovation
  2. Pricing
  3. Trends and adaptation
  4. Marketing
  5. No USP based advertisement

It is funny but due to the reasons blackberry once ruled the market are the same reasons blackberry forgot and failed.

  1. Innovation- Samsung brought Note series, S series, big screen phones, it’s own OS phones, always on display, Samsung gear, etc. in just recent years. This is called innovation but what Blackberry did. If you look closely, blackberry only had QWERTY phones, the touch screen devices they had were very small. Apart from that, they remain stuck in their own OS. The level of innovation blackberry was showing was too low to survive.
  2. Pricing- Well, cellphones WERE luxury ARE not luxury. Blackberry just failed to understand this simple thing. The prices of the product should change as it jumps from the luxury bracket to normal bracket. Although Blackberry did so but at a very small level.
  3. Trends and innovation- World was shifting to Android and touchscreen devices. These things were new trends. In business, a company who don’t take trends seriously die. The same thing happened with Blackberry. They need to get adapted to the new trends and they should bring android devices. Although Blackberry OS 10 that can run Android apps was also a great thing they should come up with it earlier.
  4. Marketing- If you want to imagine how bad someone’s marketing just look at the Blackberry and htc. Do you know about their present devices? No! because they don’t market their products when it is needed most now.
  5. No USP based advertising- Blackberry has a very big USP (unique selling point) and that was their security. But unfortunately, they did not advertise their product by USP.

So, there are few things which we can learn from the blackberry-

  1. Don’t forget the things which made you successful.
  2. Identify the new trends in the market and try to adapt as soon as possible.
  3. If you are not innovating, you are dying in business.
  4. Market your business when it is needed.
  5. Price according to the competition
  6. If the market is changing rapidly, you have to change rapidly. Match the speed of the market.
  7. The fan base is not permanent, be ready to bring something new for customers.
  8. If you have a USP, advertise by the reference to that USP.
  9. Apart from that, one thing that you need in business that you don’t need to learn from blackberry is identifying USP or Unique Selling point.
  10. Lastly, try to match the speed of competitors.

That’s all, is there anything more we can learn from blackberry?

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More about, failure of Blackberry.

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