In today’s business world, the conventional wisdom is that companies must compete at the margin for incremental market share. But what if there was a better way? What if there was a way to achieve market dominance by offering a tremendous leap in value? This is the power of value innovation.
What is Value Innovation?
Value innovation is a process through which companies identify and deliver completely new sources of value. This process often leads to the development of competitive advantages, even though that is not the primary goal. Value innovation requires companies to think outside the box and find new ways to create value for customers. This can be done by developing new products or services, entering new markets, or finding new ways to improve existing products or services. At Azul Arc, we became a value innovator by realizing that the traditional app development process was no longer meeting the needs of our customers and changing our focus to OOUX design.
Value innovators don’t focus on competing, they focus on creating superior value. They can distinguish the factors that deliver superior value from all the factors that the industry competes on. This allows them to expend their resources more efficiently and offer products and services that are truly superior. Azul Arc has focused on service excellence as a distinguishing factor to create added value to our customers. By being at the intersection of design, business and technology, we have been able to provide a unique service proposition that surpasses the traditional software development firms.
This is not about making simple, incremental improvements or creating products and services that are better than those of your competitors. It is about radical change and creating products and services that are different from what is currently available in the market. It is about understanding the needs of your customers and then designing products and services that meet these needs uniquely and innovatively. This type of innovation can be risky, but it can also lead to breakthrough results. Value innovation often leads to finer segmentation and greater customization of offerings to meet specialized needs.
If you want your company to be a value innovator, you need to encourage out-of-the-box thinking. Encourage your team to ask “What if?” and to explore new ideas, no matter how crazy they may seem at first. The only way to find truly game-changing ideas is to think outside of the box. And that’s exactly what innovators do.
Here are three tips to help you get started:
1. Define your unique value proposition.
What makes your company different? What can you offer that your competitors can’t? If you can’t answer these questions, it’s time to go back to the drawing board.
2. Innovate around your customers’ needs.
Your customers are the reason you’re in business, so it only makes sense to focus on their needs. Find out what they want and then give it to them. It sounds simple, but so many companies fail to do this. At Azul Arc, we encourage user research for all of our projects. No matter how much you think you know about your customers, you will always learn something new!
3. Focus on creating value, not just following industry norms.
Value innovators don’t just accept the status quo of their industry, they actively seek out ways to change it. They are the companies that create unique value propositions that their customers can’t resist. They are the most significant drivers of profitable growth. So if you want your company to be truly innovative, focus on creating value. It’s the only way to stay ahead of the competition in today’s ever-changing marketplace
So, what are you waiting for? Start thinking like a value innovator today and see where it takes your business!