Types of innovation

Ten Types of Innovation

Rey Lugtuwww.reylugtu.com

Credits:

Profit Model

Network Structure Process ProductPerformance

ProductSystem

Service Channel Brand CustomerEngagement

CONFIGURATION EXPERIENCEOFFERING

Ten Types of Innovation

The way in which you make money

From video rental to subscription

The way in which you make money

Selling the enduring part at low cost, recurring disposable parts at a premium

Ad-Supported

Auction

Bundled Pricing

Cost Leadership

Disaggregated Pricing

Financing

Flexible Pricing

Float

Forced Scarcity

Freemium

Licensing

Metered use

Microtransactions

Risk Sharing

Scaled Transactions

Subscription

Switchboard

User-Defined

Premium

Connections with others to create value

Working with renowned external

designers to differentiate itself

Connections with others to create value

Alliances

Collaboration

Complimentary Partnering

Consolidation

Coopetition

Franchising

Merger/Acquisition

Open Innovation

Secondary Markets

Supply Chain Integration

Alignment of your talent and assets

Pioneered the “Community Owned Companies” model,

Local artisan owned and ran the companies

that supplied arts and handicrafts to Fabindia

Alignment of your talent and assets

Asset Standardization

Competency Center

Corporate University

Decentralized Management

Incentive Systems

IT Integration

Knowledge Management

Organizational Design

Outsourcing

Signature or superior methods for doing your work

Zara’s “fast fashion“ strategy moves its clothing

from sketch to shelf in record time


Ikea’s flat-pack furniture with no

variation by region or country


Crowdsourcing

Flexible Manufacturing

Intellectual Property

Lean Production

Localization

Logistics System

On-Demand Production

Predictive Analytics

Process Automation

Process Efficiency

Process Standardization

Strategic Design

Distinguishing features and functionality

OXO Good Grips cost a premium but its

“universal design” has a loyal following

Added Functionality

Conservation

Customization

Ease of Use

Engaging Functionality

Environmental Sensitivity

Feature Aggregation

Focus

Performance Simplification

Safety

Styling

Superior Product

Complementary products and services

Nike+ parlayed shoes, sensors, apps and

devices into a sport lifestyle suite

Complementary products and services

Complements

Extensions/Plug-Ins

Integrated Offering

Modular Systems

Product Bundling

Product/Service Platforms

Support and enhancements that

Surround your offerings

Free lifetime pressing at any of its

locations in the US

Added Value

Concierge

Guarantee

Lease or Loan

Loyalty Programs

Personalized Service

Self-Service

Superior Service

Supplementary Service

Total Experience Management

Try before Your Buy

User Communities

How your offerings are delivered

to customers and users

Nespresso locks in customers with its

useful members only club

How your offerings are delivered

to customers and users

Context Specific

Cross-Selling

Diversification

Experience Center

Flagship Store

Go Direct

Indirect Distribution

Multi Level Marketing

Non-Traditional Channels

On-Demand

Pop-up Presence

Representation of your offerings

and business

Virgin extends its brand into sectors

ranging from soft drinks to space travel

Brand Extension

Brand Leverage

Certification

Co-Branding

Component Branding

Private Label

Transparency Value Alignment

Distinctive interactions you foster

Apple’s WorldWide Developers

Conference Allows partners to

play with and provide feedback

Autonomy and Authority

Community and Belonging

Curation

Experience

Experience Automation

Experience Enabling

Experience Simplification

Mastery

Personalization

Status and Recognition

Whimsy and Personality

How do you apply these?

Understand the centre of gravity in your industry so you can double down and do something differently!

Profit Model


ProductSystem



Three Innovation Shifts

Profit Model


ProductSystem



Business Model Shift

Profit Model


ProductSystem



Platform Shift

Profit Model


ProductSystem



Customer Experience Shift

Three Innovation ShiftsUnderstand the centre of gravity in your industry so you can double down and do something differently!

Innovation is NOT optional

Innovation is a discipline

Thank you