We liked the radio because it was unique enough that we felt it would stand out. Instead of flipping between AM/FM stations, you'd be flipping between podcasts. I think that would have sold pretty well... or at least well enough for us to prove the concept and raise the large amounts we needed.
Hats off to you for trying, but I'm going to file this statement under my "I'm reliving 1999 in 2015" heading...
I am not sure if I agree with this.
I think a good initial product choice is really important to gain the much needed initial traction.
If the initial product is good, the potential users will resonate with it. They will think 'Yeah! I want it!'. They will think 'Yeah! These <initial_product> could be so much more convenient to use / cooler'. You get the idea.
But nowadays, few people use radios other than a car radio. It's much harder for the users to resonate and see what problem it solves for them.
Then again who buys radios? Custom clocks seem far more universal and let people use a wider range of shapes.