Innovation: The Quest for the Big Idea

Transcription

1 Innovation: The Quest for the Big Idea PMRS Presentation, September 2004 By: Robert Barnard, D-Code Founder and Partner

2 Why is innovation important NOW? The quest to improve and grow faster Increased competition and choice drives differentiation Cost control strategies has run its course Everything is happening faster - from 5 year plans to 5 day plans We have created an addiction to newness An increasingly diversified and informed consumer base Evolving needs as the Information Age changes our lives Recruiting the best and brightest Impressing investors

3 What factors influence the success of innovation? Objectives Clear, focused parameters based on opportunities Inputs Financial & human resources available Measurements that are used to determine success Overall corporate confidence and risk tolerance Useful insights and knowledge A process that works efficiently Outputs Quality of ideas generated Cost and time from conception to launch Tangible and intangible ownership people take Receptiveness of consumers, customers and investors

4 Influencing the success of innovation Who are the stakeholders that have an influence on the success of innovation? Senior management Employees - marketing, sales, etc. Shareholders Marketing agencies Research partners Customers Consumers Community members

5 The people involved in the innovation process Who is involved in the critical idea generation phase of the innovation process? The marketing team? The innovation team? The CEO?

6 The people involved in the innovation process Who are the stakeholders that SHOULD take part in idea generation? Homogeniety vs Diversity Diversity builds better ideas Mythology of expertise and insight The consumers are in control

7 The Case for Stakeholder Involvement in Innovation Better ideas consumer behaviors, attitudes and beliefs are imbedded. Cost effectiveness less testing is required with consumers along the way. Faster to market a reduction in testing. More knowledge There in an increase in brain power to get a product from conception to launch

8 The Case for Stakeholder Involvement in Innovation More confidence there is less guessing about whether the consumer really wants or needs the new product. More ownership more people want innovation to succeed. More risk tolerance going forward the company now has the consumer and other stakeholders on its side

9 Stakeholder Involvement Continuum Uninvolved Integrated Focus Group Testing Suggestion Box Promo Tie-in Stakeholder Integration

10 Examples of Stakeholder Innovation

11 The Innovation EngineTM - A stakeholders approach Step 6. Launch Planning Step 2. Creating Innovation Zones Step 1. Setting the Parameters Step 3. Concept Development (think-tank) Step 5. Concept Decisions Step 4. Concept Refinement & Evaluation

12 The Innovation EngineTM - A stakeholders approach Step 2. Creating Innovation Zones Step 1. Setting the Parameters Step 3. Concept Development (think-tank) Get the Right People Involved Use them properly

13 The Building Blocks to Deep Understanding Generations Velos Nexus Life Stage Teens Students Young Independents Young Families Life Firsts Driving Graduation Jobs Marriage Kids Home Gender Female Male Role Consumer Employee Citizen Information Age Computer Media Telephony Internet Gaming Diversity Ethnicity Region Rural Urban Economic Sector FI Food & Beverage Tele-communications Government Sporting goods Not-for-profit Automotive Media Technology Retail Recreation

14 What have we learned about innovating for the youth and young adult market? They want to be part of the story. They are the most complex, diverse and mobile consumers. They are the most addicted to newness and change. They are living in a constant state of innovation

15 What can research partners do in fuel innovation? Think about front end insights versus back end testing Bring global knowledge into the company Show your value in building great ideas Find your allies in the advertising and marketing world

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