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In todays fast paced world, innovation is the key to success in the business environment. It helps to deliver additional value to existing customers, bring new opportunities and create new markets. Especially in SMB sector, there are 2 categories of companies, ones that are built with innovation as the basic building block, while the others are stagnating and struggling with innovation and getting ready for a digital era.

Innovation driven vs Old fashioned businesses

Innovation driven businesses

  • usually from tech industries
  • their business model is based on innovative ideas
  • usually have in-house development team
  • was born as online business from day one

Old fashioned businesses

  • traditional industries ( gastronomy, manufacture, etc. )
  • their business models has not changed for decades
  • no budgeting for research and development
  • started in the offline era and never really transformed into digital

Innovation driven businesses

Innovation driven businesses are usually seen in the technology related industries. Independent game studios, automated kiosk machine producers and many others rely directly on bringing new technologies alive. For these types of companies, innovation is a day-to-day task and they are well experienced in maneuvering in this territory.

 

Old fashioned businesses

Old fashioned businesses on the other hand, often struggle with bringing innovation into their company. These are mostly based in these traditional industries that have been around for ages without any major change. Cafe and restaurants, or your local key service usually don't rely on innovation. These businesses do not have in-house development teams, marketing specialists and often don't even own website. Yet, it's the space, where even the smallest effort of innovation can bring very valuable results. When handled properly, you can transform your business from offline to online, help people find you and your valuable offerings.

Online business doesn't need to be directly serving customers online, but it's using technology to support its day-to-day operations, and let people explore its offerings online.

Drivers of innovation

Technology driven innovation

Technology is the main factor that supports innovation in the current world. Fast development of internet technologies, payment systems, and mobile applications has offered never-ending possibilities for companies of all sizes. Cloud helps small businesses lower the cost of development and operations of their information technologies. Less management overhead offers more space to focus on bringing new products or improvements to existing products and increase revenue.

Processes driven innovation

Processes are the next possible place where innovation can be found. In the recent years changes in management practices brought alive new methodologies as Agile, Scrum, Lean, all of them to support faster iteration cycles and bring new ideas to customers sooner. Products are no longer developed for years before being presented to the world, rather we focus on minimum viable product, rapid prototyping and establishment of fast feedback channels to be closer to the customers. All this to lower the cost of the research and development while driving higher profitability.

How can Webent help your business?

Create and execute your data strategy

Data are currently the most valuable commodity. Especially if you know how to use them. With data, we can improve our existing products, increase sales, grow into markets or get valuable insights.

 

How to collect, store, analyse and use data should be part of your data strategy.