NNOVATION

NNOVATION 

The process of translating an idea or invention into a good or service that creates value or for which customers will pay. To be called an innovation, an idea must be replicable at an economical cost and must satisfy a specific need. Innovation involves deliberate application of information, imagination and initiative in deriving greater or different values from resources, and includes all processes by which new ideas are generated and converted into useful products. In business, innovation often results when ideas are applied by the company in order to further satisfy the needs and expectations of the customers.
Characteristics of an Innovation 

Relative advantage 

Relative advantage measures how improved an innovation is over a competing option or the previous generation of a product. Potential users need to see how an innovation improves their current situation. Improvements can be in one or many of these areas: better service, consolidation of multiple functions into one tool, decreased need for supplies and equipment, empowerment of users, improved interface, increased customizability, increased longevity, increased productivity, reduced user effort, reduced environmental impact, saving of money, saving of space or storage, saving of time.

Compatibility 

Compatibility refers to the level of compatibility that an innovation has with individuals as they assimilate it into their lives. Potential adopters need to know that your innovation will be compatible with their life and lifestyle. If an innovation requires a huge lifestyle change or if the user must acquire additional products to make your innovation work, then it is more likely to fail. Innovations meet with the greatest success when users are able to seamlessly adopt them — when they replace an existing product or idea, for the better.

Complexity vs Simplicity 

Complexity or simplicity refers to how difficult it is for adopters to learn to use an innovation. Complexity slows down the gears of progress. The more complex an innovation, the more difficult it will be for potential adopters to incorporate it into their lives. Potential adopters do not usually budget much time for learning to use an innovation. The more intuitive an innovation, the more likely it will be adopted.

Trialability 

Trialability describes how easily potential adopters can explore your innovation. Trialability is critical to facilitating the adoption of an innovation. Potential users want to see what your innovation can do and give it a test run before committing. This is the underlying concept of trial sizes for tangible goods, and demo or beta releases for digital goods. Potential adopters can see for themselves what life might be like once they adopt the product.

Observability 

Observability is the extent to which the results or benefit of using an innovation are visible to potential adopters. We covered in the first article that not everyone adopts an innovation immediately. The adopter types who come after early adopters rely on seeing members of this group using an innovation. Observability extends beyond having earlier adopters use an innovation in view of later adopters. Potential adopters of all types must clearly see the benefit of adopting an innovation and using it.

BY MKULA DENNIS