In this blog we always touch on the importance of innovation in companies and how vital it is to do it constantly to continue in the market but this time we will talk about two types of innovation, continuous innovation VS disruptive innovation. Continuous innovation is the progressive change in the same product and on the other hand the disruptive innovation is when the previous model becomes obsolete, then it is explained in more detail
Also known as incremental innovation is to make small improvements to the product or service in order to perfect it, they can be improvements to make it cheaper, lighter or more practical.
This process in constant within the company for example. in a car company they apply it to reduce the remaining waste from manufacturing in order to constantly improve until they leave none
Another way to apply continuous innovation is when we expand the market to a product that we are already selling
No matter the size of the company, all customers have a pending need to cover, you should be alert to hear complaints or suggestions to identify areas of improvement that may not have been noticed before, a good way to implement these changes may be As an additional service and if you have a good response, it can become another product offered by the company.
It grows steadily but not with a radical leap, an example is the banks that provide new credit to those who are already customers, or a restaurant that only extends its business hours
The course of continuous innovation is determined by the customer as it is created by him and for the consumer.
Continuous innovation does not need a large investment, since they are only small modifications based on what the client is asking for, to put different channels to be able to listen and the workers must be aligned to listen to suggestions from the client
By having a minimum implementation time, requiring very little investment and a very low complexity the benefit can be reflected in a short term
But on the other hand we have…
The most relevant feature of this type of innovation is that it is created to displace others, just as the computer displaced the typewriter.
Normally they are not as accepted by the customer at the beginning as it breaks with what existed in the market and there may be some resistance at first.
It requires a high cost since it is something completely new so in the beginning the potential clients are reduced quite
If we want continuous innovation, we must listen to customers, if we want to interrupt, we must observe them to discover their needs.
Which is better?
There are companies that remain in continuous innovation to constantly improve their products but gradually, gradually adding small changes to ensure that the customer continues to see the attractive product with the risk that the time comes to stop perceiving a value extra, as is the case in the last years of iPhone
But this is the counterpart, those companies that allocate many resources to get to get a product that completely or significantly change the industry and that can create a new source of income for the company, the risk may be, that the market cannot adapt or understand it or that the price is very high.
There is not one better than another, each company must choose what is most in line with its strategy or it can even have both.