“Disruptive Innovation creates new markets and reshapes existing ones, to achieve growth in a fast changing world you want to be a disruptor, don’t be disrupted”
Disruptive Innovation or Big Bang Disruptive Innovation is a theory developed by Professor Clayton M. Christiansen of Harvard University. It explains the reason why relatively small companies can now compete with big companies in their own field, by creating new markets or modifying existing ones. A disruptive innovator comes up with an idea that represents a basic, easier and lower priced solution to whats already existing in the market.
A good example of Disruptive Innovation is how Netflix resurrected movie renting for new generations, offering a platform in which they sell Online Movie Streaming, movie suggestion and unlimited access to their database of goodies – all for a small fee. Another big player when it comes to Big Bang Disruptive Innovation is Google. ”Google Drive” is one of the best examples because it is a “Cloud” storage solution for those who need easy, on-the-go access of their documents. I’s a free service included in their e-mail package and has saved one or two lives by giving the possibility of utilizing their built in Word Processor and other versions of programs that may not be installed in their personal computers. This is perfect for those who do not have any programs such as Microsoft Word, Excel, and Powerpoint – just to name a few.
Pandora, Skype, Toyota, Apple and Nike are all well-known disruptors. They base their products on customer’s direct feedback and unmet needs. It’s not surprising that we may encounter many of these monitoring user generated reviews, customer experiences, and many other insights for the R&D department.
You may be wondering how this relates to us (other than the fact that it is innovation in the making) and it’s because we can also see this happening within the design and advertising industry. More and more companies offer only digital solutions for their clients, resulting in services that – when compared with traditional media (T.V., Radio, and Print) – are considerably inexpensive. Websites, Banners, Rich Media, Facebook Ads, Social Media management and other solutions are overshadowing Creative Campaigns that Ad Agencies pride themselves with. SEO is a big example of disruptive innovation in Online Advertising. To be successful you have to be able to understand how content allows you to advertise in a way that will guarantee a decent ranking on Search Engines. Pretty graphics won’t be able to reach many people by themselves.
“Big Players focus on sustaining innovation, upgrading existing products and services to attract higher paying customers. But soon they start to ignore all the regular customers who want just simple, low-cost alternatives.”
What about you, are you a Disrutive Innovator or are you being disrupted?