Have you ever taken an Uber? Stayed at an Airbnb? Or watched a movie on Netflix? Even if you weren’t aware of it at the time, all of these brands are participating in what marketers these days refer to as “disruption”; they’re shaking up the industry.
WHAT IS DISRUPTIVE INNOVATION AND MARKETING?
Disruptive Innovation is a term coined by Harvard Business School Professor Clayton Christensen. He describes disruptive innovation as “a process by which a product or service takes root in simple applications at the bottom of a market and then relentlessly moves up market, eventually displacing established competitors.”
But, believe it or not, this buzz-worthy phrase has been a part of the business world longer than you might think. Consider the introduction of cell phones. When was the last time you used a landline?
IS IT BENEFICIAL?
Disruption is a word that has inevitably evolved as the new standard for businesses around the world. Here are a few ways embracing Disruptive Innovation can help you and your brand stay relevant:
- Smaller companies and startups can compete with corporate enterprises by establishing and growing new market segments of their own. In many cases, big business will make lucrative deals or offer huge cash sums to incorporate these innovative startups into their own business model – or make them go away.
- Your company culture can evolve as a learning community that welcomes change rather than fearing it. Employees may have ideas on better processes or technologies that will increase efficiency; consumers can provide insights into what various markets are looking for.
- You will identify your leaders for today and for tomorrow. People who are curious, open to new ideas / approaches, and welcome the challenge of taking your business into the future are those you should rally behind.
- Opportunities for growth will present themselves to companies that allow themselves to adapt to leading new trends. It can benefit both competition and consumers by providing better products and more accessible services.