When you are first setting up your website, if you have a featured products display, you may have default featured products that are showing up as placeholders. To display just the products you want to feature, you will want to delete these placeholder products from your inventory.
First, you will want to know what tag those products are using. To do that, check out this guide here: http://help.crystalcommerce.com/faqs-and-troubleshooting/how-do-i-change-the-products-displayed-on-my-website
To delete the placeholder products, go to the Inventory > Products page in your admin. Search for the tag that is used on the featured products display.
The placeholder products will be in the results. Typically, they'll be under a category named "Setup Assets".
To remove them, simply click the "delete" button and confirm for each placeholder product.