In order for your business to thrive you need to identify new revenue opportunities, reduce costs, grow margins, create new markets, build strong customer relationships, have a powerful company culture – these are the business of innovation. Face it – innovation is what will make your business better than your competitor, it defines what makes you different and makes you better. This article explores three models of innovation, Revenue Model Innovation, Business Model Innovation and Industry Model Innovation. Revenue Model Innovation Many organisations look at their revenue model and consider how to change that model to grow the gross yield. The concept of Freemium which has grown significantly in the last ten years is a perfect example, as is the move from outright purchase to subscription. A key aspect of revenue model innovation is to keep watching global trends and to model the impact of that change to your organisation.
Synopsis of an article from Entrepreneur.com by Tiffany Delmore, Published 15th April 2020 In this short article the author points out that most companies do not have an effective way to prioritise or select where to invest in innovation aligned with the corporate strategy. Without a proper system in place, you end up chasing hundreds of goals and failing to achieve any of them. Tiffany Delmore To be effective at innovation it is important to build a system that can make the hard decisions – easy. Here are some ways to help you build the process for identifying, validating and priortising innovation opportunities and ensuring you spend more time facilitating aligned initiatives and avoiding the “pitfalls of time mismanagement”. Translate purpose into action Having clarity of purpose for your company provides a set of guide rails that helps weed out those that do not match your business vision. Set aside