Doblin’s 10 Types of Innovation
Exploring Doblin's 10 Types of Innovation: A Guide for Business Growth
In today's rapidly evolving business landscape, innovation is the cornerstone of staying competitive and relevant. In 1998 Doblin (now Deloitte Digital), developed the "10 Types of Innovation" framework. This model provides a structured way to think about innovation beyond product development, creating a more holistic approach to innovation strategy.
1. Profit Model Innovation
Profit Model Innovation focuses on how companies make money. This type is about finding new ways to generate revenue and maximize profits. Examples include subscription models, leasing, or "freemium" offerings. Companies like Netflix have revolutionized their industries by adopting subscription-based models that provide consistent revenue streams.
2. Network Innovation
Network Innovation involves creating connections with others to produce value. This could be through partnerships, alliances, or open innovation. For instance, Apple’s App Store relies heavily on third-party developers, creating a vast ecosystem that benefits both Apple and the developers.
3. Structure Innovation
Structure Innovation is about organizing company assets in unique ways. This includes talent management, organizational structure, or leveraging technology. Zappos, known for its customer service, implements a flat organizational structure to empower employees and improve customer satisfaction.
4. Process Innovation
Process Innovation entails improving the methods used to create and deliver offerings. It focuses on efficiency, quality, and speed. Toyota's introduction of lean manufacturing principles transformed the automotive industry by minimizing waste and optimizing processes.
5. Product Performance Innovation
This type deals with enhancing the features and functionality of existing products. It’s about creating superior products that stand out in the market. Dyson’s vacuum cleaners, known for their advanced technology and superior performance, exemplify this type of innovation.
6. Product System Innovation
Product System Innovation involves creating complementary products and services. It’s about building ecosystems around core products. For example, Microsoft Office Suite integrates various productivity tools that work seamlessly together, enhancing user experience.
7. Service Innovation
Service Innovation focuses on enhancing the value of offerings through improved service. This includes customer support, maintenance, and any additional services that increase customer satisfaction. An example is Amazon Prime, which offers expedited shipping, streaming services, and exclusive deals to its members.
8. Channel Innovation
Channel Innovation is about how offerings are delivered to customers and users. It involves innovative ways to reach and interact with customers. Warby Parker, a direct-to-consumer eyewear brand, disrupted the traditional retail model by selling glasses online and through showrooms.
9. Brand Innovation
Brand Innovation involves positioning and marketing strategies to create a strong identity. This type focuses on how customers perceive a brand. Nike, with its powerful "Just Do It" campaign, has created a brand that resonates deeply with athletes and fitness enthusiasts worldwide.
10. Customer Engagement Innovation
Customer Engagement Innovation is about creating meaningful interactions and deepening relationships with customers, enhancing their overall experience and fostering loyalty
Conclusion
Doblin's 10 Types of Innovation provides a comprehensive framework that goes beyond product-centric thinking. By exploring this multifaceted approach, businesses can build impact and create competitive advantage.