Innovation in the consumer market: new and disruptive concepts
As I wrote the last time, during the credit crisis companies continue proactively looking for innovations to growth their business value. However, the credit crisis has significantly changed the perspective of the consumer. Before the crisis the consumers are mainly driven by an almost unconscious impulsive buying behavior now the consumer’s attitude is mainly focused on deliberately making choices. Capgemini’s research (published in October): trends in Retail 2009-2010: uncertain consumers back to square one, it appears displays the purchase decisions on the knife-edge.
“Partly as a result of the economic instability perceptions and value sets of consumers are finally changed in the last eight months. In addition to the focus on so-called “price-set”, responsible “Choice-set” and the attractive alternatives became essential. Striking is that a good service (ease), and a high level of attractiveness (pleasure) of the formulas by the consumer to be regarded as a hygiene factor: they are not distinctive, but they will be missed if they are not directly be observed by the consumer. “
Companies of consumer products and services, would do well to proactively anticipate on the new trends and translate these in new concepts. However, I hear you thinking: this is much easier than done. And I will not deny that it isn’t easy to put successfully new concepts on the market, but it is certainly possible. Richard Brandson describe his successes in his book: Business Stripped Bare: Adventures of a Global Entrepreneur. I highly recommended this book. Despite the sometimes detailed descriptions of specific cases it makes it very clear what, according to Richard, what is the core to be successful by putting new concepts in, for him, new markets. I cherry-picked the following aspects:
- Never include a legacy of someone else, but start your own business
- Have patience, create great plans (large) but building the concept slowly
- New concepts needs to be as simple as to be executed in your own
- You need to stay full of passion for your own idea all the way
- Take every opportunity to clarify the new concept and be consistently
- Highly regulated environment will create medium results
- Take people on the basis of their mentality, skills training is always possible
- Teams are perishable and will continuous change of composites
The fun of the book by Richard Branson is that we in our innovation team, recognizes a great deal of his approach and experience the success in doing business.