Chinese inventions such as paper, gunpowder, printing, and compass are significant contributions to the world, but modern innovations such as the modern firearm, offset printing, the modern paper-making process, and GPS are inventions from the West. Innovation is a method or instrument for problem-solving, yet it is never without danger. Many businesses resist taking chances and stay with their winning strategy until it no longer works.

For instance, the majority of companies would want to retain or raise the price of a $10 product whenever feasible. IKEA does, however, periodically reduce the cost of its already-existing items, advertising it as "New Low Price." IKEA can give a surprising practical pricing barrier buster thanks to the economics of scale, attracting customers. Another company that frequently introduces new goods is Intel, rendering its earlier products outdated before rivals can match it with newer models.

Source: The Wall Street Journal

Brands who don't innovate run the danger of falling behind as others come up with superior solutions. The digital camera was replaced by smartphones, TV stations by YouTube, bank branches by mobile banking apps, movies by Netflix, magazines by Facebook and Instagram, restaurants by frozen food and delivery services like Grab food, retailers by online shopping platforms like Lazada and Shopee, and stationery by digital. These are just a few examples of technological advancements that have rendered previous products obsolete. Brands must thus keep innovating in order to stay ahead of the competition.

Source: BAEMIN

Practices

Innovation requires a number of important steps or processes that can help bring new ideas, products, or services to market. Some of the most important steps in developing new ideas are:

  • Find the problem or need: The first step to innovation is to find a problem or need that needs a solution. This could be a hole in the market or a chance to improve a product or service that is already on the market.
  • Research and get information: Once the problem or need has been identified, research and get information to understand the market and customers' needs. This means learning about the competition, looking at customer feedback, and spotting trends.
  • Use creative thinking techniques: like brainstorming, to come up with a lot of ideas for how to solve the problem or meet the need.
  • Evaluate ideas and put them in order of importance: Look at the ideas that were suggested and put the best ones at the top of the list based on their potential impact, ability to be done, and resources needed.
  • Make a model or prototype of the best ideas and test it with customers to get their feedback and find places to improve.
  • Refine and improve: Based on what you learn from testing, refine and improve the prototypes until you come up with a workable solution.
  • Launch and market: Once the solution is ready, it should be put on the market and a marketing plan should be made to get it in front of the right people.
  • Watch and judge: Watch how the innovation works and judge its success based on how well it meets the goals. Make the changes and improvements you need to keep doing well.

These important steps or processes can help you come up with new ideas that meet customer needs, keep you ahead of the competition, and help your business grow.

Examples

  • At Amazon Go stores customers can walk into Amazon Go stores, pick up their items, and leave without going through a traditional checkout process. The stores use a combination of sensors, cameras, and algorithms to keep track of what customers pick up and automatically charge them through their Amazon account. This makes shopping faster and easier.
  • Pampers is a well-known baby care brand that has always come up with new products. The invention of disposable diapers, which changed the baby care industry, was one of their most important changes. They also added things like elastic leg gathers, sticky tapes, and ultra-thin designs to their diapers, which made them more comfortable and easier for parents to use. Pampers also has a line of "smart" diapers with a sensor that tells parents when their baby needs a change. This new idea has been well received by the market and makes it easier for parents to take care of their baby's diaper needs.
  • With the launch of its brand-new streaming platform and the development of original series like "Stranger Things" and "The Crown," Netflix has fundamentally altered the process by which movies and television shows are made, distributed, and enjoyed.
Source: Brands Vietnam