There have been several incidents where corporations made a 'U-turn' on significant decisions due to backlash from consumers. Here are a few notable examples:
Netflix's Qwikster Decision (2011): In 2011, Netflix, the streaming giant, announced a plan to split its DVD rental service and online streaming service into two separate entities: Netflix for streaming and Qwikster for DVDs. This move was met with widespread criticism and backlash from subscribers who found the decision inconvenient and were frustrated by the price increase. In response to the backlash, Netflix quickly abandoned the Qwikster idea and decided to keep both services under the Netflix brand.
Instagram's Terms of Service Update (2012): In 2012, Instagram, the photo-sharing platform, made changes to its Terms of Service, which appeared to give the company the right to sell users' photos without compensation or notification. The update sparked outrage among users, who felt that their content was being exploited. In response to the backlash, Instagram reversed its decision and reverted to its original terms of service.
Microsoft's Xbox One DRM Policy (2013): When Microsoft initially unveiled the Xbox One gaming console in 2013, it included strict digital rights management (DRM) policies, such as requiring an internet connection to play games and restrictions on used game sales. Gamers and consumers criticized these policies, and Sony capitalized on the opportunity by promoting the PlayStation 4 as a more consumer-friendly alternative. In response to the backlash and potential damage to sales, Microsoft reversed its DRM policies before the console's release.
Gap's Logo Redesign (2010): Clothing retailer Gap introduced a new logo in 2010, replacing its iconic blue box logo with a more modern design. The new logo was met with an overwhelmingly negative response from customers who expressed their strong attachment to the original logo. Within days, Gap reverted to its classic logo due to the public backlash.
Coca-Cola's New Coke (1985): In what is often cited as one of the most infamous marketing blunders, Coca-Cola introduced "New Coke" in 1985, replacing the original Coca-Cola formula with a sweeter version. The public reaction was overwhelmingly negative, with consumers expressing their strong preference for the original taste. Coca-Cola faced intense backlash and protest, leading to the reintroduction of the original formula as "Coca-Cola Classic" just a few months later.
These incidents demonstrate the power of consumer feedback and the significance of considering public sentiment when making major decisions. In each case, the companies had to backtrack on their initial choices to maintain their customer base and brand loyalty.