Move From Product Innovation to Business Model Innovation
Business model innovation creates and implements new ways of generating value for customers, organizations, and society.
It involves reimagining how a business operates and monetising its products or services to drive growth and competitiveness.
In today’s fast-paced and constantly changing business landscape, companies must continually innovate to stay ahead of the competition. Traditionally, innovation has focused on product innovation or creating new or improved products to meet market needs. While product innovation is still important, it is becoming increasingly difficult for companies to differentiate themselves through products alone. This is where business model innovation comes into play.
Business model innovation involves fundamentally rethinking how a company creates, delivers, and captures value. It can involve changes to how a company sells its products or services and creates value for its customers or generates revenue. For example, a company that traditionally sells physical products might shift to a subscription-based model, or a company that provides services might move to a crowdsourced model.