Innovation Part 1: Skills of Innovation

Innovation
Part 2: Innovation in Action
By: Tom Gorman
7
8
Designing & Testing
Rolling out New Products
7 Designing & Testing



INNOVATION is the
physical form of an
idea.
DESIGN is the
determination of how it
will look, feel, and work.
DESIGN affects cost,
materials, safety,
manufactrability,
storage, distribution
and delivery.

DESIGN = underlying
plan for structure and
function.

The Snot Spot®
www.snotspotgear.com/product.html
Design Example:

The Puzzle Alarm
wakes you up by firing
four puzzle pieces up in
the air, then it is your
mission to get the
pieces and put them
back in the alarm clock
or it won’t turn off until
then. Price:$52
[via Gizmodo]
Design Example:


Holofiber® is embedded with
microscopic mineral crystals that
harness certain wavelengths of
light as well as the body's radiant
energy and redirect them into the
body. This relaxes the capillaries
in the skin, increasing blood flow
and oxygen delivery to the
tissues
EcoSpun fiber - made from
100% post consumer recycled
plastic bottles. Recycling saves
energy, reduces oil consumption
and waste in our landfills.

Two new fibers
combined
Design Example:




Strain-Reducing WheeledLeverage Snow Shovel
scoops snow and allows
you to throw it into piles as
high as 4', greatly reducing
strain on your back.
can be adjusted for various
body heights and snow
levels
Item 72777 .............$119.95
SOLD OUT
Due to the popularity of this
item.
7
Designing & Testing
Getting Design Right:
Customers’ expectations
& desires
Cost of materials,
assembly, packaging,
transportation & storage,
& installation
Durability, maintenance,
repair, parts availablility,
technical service skill
Customization factors
7
Designing & Testing
FUNCTIONALITY





It does what it is supposed to do and
performs to expectations
It is safe & easy to use
Has the parts needed to perform its function;
no more / no less
Form follows function.
Aesthetics still count
Design Example:


Cell towers needed to
maintain your cell
phone signal are
polluting our landscape.
Ericsson has started
creating designs for cell
phone towers that
aren’t nearly as ugly as
some the ones we are
accustomed to seeing.
7
Testing


Product Testing
determines how well
the product or service
works for the customer
Test design, usage,
instructions, quality,
performance, durability.
7 Product Testing





Know what you want to test. Develop ways
to measure those thing,capture information
For B2B products & services, test for
compatibility with current operations and
client customization
If products are complex, guage instructions,
training & support needed.
Note features users like/dislike
Note misuse & danger
7 MARKET Testing
PRICING DECISIONS & SALES FORECASTS



Market testing is used for assessing buying
behavior
Best used to assess - PRICING DECISIONS
& SALES FORECASTS (Purchase Volume
estimation & Price Sensitivity)
Cost and skills needed for statistically significant
samples just isn’t practical for many products.
8
Rolling out New Products
PRODUCT LAUNCH:
Go to Market Strategy
the actions necessary to
 produce at a larger volume,
 plan and execute marketing,
 hire & train sales and support
personnel,
 select distribution channels, and
 prepare to sell and support the
product.
8
Rolling out New Products
PRODUCT LAUNCH:
Go to Market Strategy
Emphasize
Early Adopters
Crossing the Chasm: Marketing and Selling High-Tech Products to Mainstream Customers (1991, revised
1999), is a marketing book by Geoffrey A. Moore
8
Rolling out New Products
Attend to the 5 “Ps” of Marketing





Product
Price
Packaging
Place
Promotion.
8
Rolling out New Products
Find first buyers (innovators & early
adopters)


Consumers: target demographics –
Socio-economic characteristics
B2B: rapidly growing or established
companies with excellent reputations
8 Rolling out New Products
Value Proposition – Unique Selling Proposition



Why the customer should buy the product
Distinguishing or unique benefits of the product or
service
Competitive advantages and high performance
Example from Outsourcing IT Services
http://glowtouch.org/proposition.html
8
Rolling out New Products
Tackle SALES CHALLENGES
Find the right retailers, wholesaler, OEM (original
. mfgs.) and other middlemen to help
equipment
bring product to customer
http://ww2.nscc.edu/gerth_d/MKT2220000/Lecture_Notes/unit13.htm
The End