We are more connected to customers than ever before. This changes how customers consume, demand, and interact with products. Customers today want to be co-creators and they want value delivered to them continuously.
This shift is happening across every industry. From cars to insurance to banking, the customer relationship is going direct. And this fundamentally changes how products need to be built.
The challenge today isn’t building more products but uncovering what to build.
The old way of building products used to work at a time when there were huge barriers to entry and few competitors. Even if you got the product completely wrong, you had time to course correct and get back on track.
But fast forward to today…with the Internet, open source, and cloud computing, it has become cheaper and faster than ever to introduce new products which means there is a lot more competition than before—both from incumbents and new companies starting up all over the world.
According to the 2019 Global Entrepreneur Monitor (GEM) report, more than 100 million startups are launched every year all over the world, which is about 3 startups per second
In the old world, failing to deliver what customers wanted led to failed projects. But in the new world, continually failing to deliver what customers want, leads to total business model failure.
This is because customers today have a lot more choices than they did before. If they don’t get what they want from your product, they simply switch to something else.
On the other spectrum, the most successful companies today realize that good ideas are rare and hard to find. And that the best way to find the next big idea is by quickly testing lots of ideas.
While the early adopters for this new way of working were certainly high-tech startups mostly building digital products, over the years continuous innovation has been increasingly applied in many different domains and it works even at massive scale.
In this new world, speed of learning has become the new unfair advantage.
Companies that learn fast, outlearn their competition and get to build what customers really want. By doing this continuously, they stay relevant to their customers and see their business models thrive and grow.
Because, there is a problem: Existing innovation processes no longer work. Building products this way requires a new and fundamentally different approach, but we are still stuck in systems and processes from the past that are not suited to this new way of working.
LEANSTACK helps you master the new rules for winning with continuous innovation.