Disruptive Innovations May Lead to Tunnel Vision
This post over at Brand Story got me thinking about how similar this topic is to strategic inflection points (from Only the Paranoid Survive by Andrew S. Grove). I work in an industry where competition from product imports (from China) are a serious threat to our business. The discounts at which their products are sold are very challenging to compete with. Fortunately, we think we have disruptive innovations in the works, but reading the post at Brand Story really got me excited — primarily because what we’ve got coming up over the next couple years is really exciting, and we’re doing it right. There are however, downsides to new innovations that must be taken into consideration, namely tunnel vision.
Fortunately for our industry, competing profitably at much lower costs is not the end-all, be-all of business strategy. Driving costs down is certainly always top-of-mind when competing with imports and when dealing with retailers who private-label imported products to directly compete with your brand-name products. At the end of the day however, and this may be the case for several other industries, you’ve got an industry with a plethora of products and brands, all similarly priced, but giving the consumer serious information overload and confusion (ever tried shopping for blinds and shades in a retail store? 
).
Avoiding tunnel vision: Consumer insights are your friend!
Disruptive Innovations, while game-changers, cannot get away from the fact that consumers still need to understand how to shop your category and ultimately make a decision to buy. A lot of new product development may lead to tunnel vision — being so focused on that great new feature, huge cost savings, adopting a “me too” product (playing “catch-up” to other competitor innovations), or a new type of product altogether, that sometimes the “big picture” is lost for consumers.
Tunnel vision is really hard to see while you’re in development mode. You may begin to see it after the product is ready for consumer testing and you are able to take a moment and step back from the nitty-gritty and see just how consumers respond to what you think is an innovation. From a web development standpoint, it’s very easy to get lost in the cool, new features of a website and completely forget that the consumer must actually find their way to your site at first, be aware of the new technology, and know how to navigate to this area of your site.
Don’t forget the marketing
Worse yet, consumers may respond quite well to the innovation itself during the consumer insights session, giving you the reinforcement you’d be hoping for — but your innovation may tank in the marketplace. The branding, marketing, advertising, and/or overall awareness will help bring your disruptive innovation to its full potential.
Sometimes, this is the most critical component. You may have the best product in the world, but if nobody knows about it, or it’s buried in an aisle of other similarly confusing products, then you’re back to square one. Don’t forget to think “big picture” when it comes to consumers — it’s very easy to get lost in the industry competitiveness. Consumers insights and evaluating all aspects of the innovation are critical to success. This applies to many businesses, not just manufacturing companies — web companies are just as guilty (Google is a major offender: I just discovered Google Browser Sync, nearly a 1-year old product and I love it! But where’s the marketing for it?).
