how cmos should use service innovation to break out in saturated markets
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There’s a joke I often hear from CEOs: there are three ways to lose money: gambling, divorce and innovation. For the latter, conventional wisdom says that expenditures allocated under the umbrella of innovation cost millions and almost always fail. But here’s the rub. How do you increase revenues and profits in saturated markets?TRANSCRIPT
Why CMOs Should Look To Service Innovation To Stand Out In Saturated Markets
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3 Ways To Lose Money: Gambling, Divorce & Innovation
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INVENTIONV
SERVICE INNOVATION
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Invention is the first occurance of the idea, product or process
Service Innovation is the first attempt to carry it out, improve on or make a significant contribution to an existing product, process or service
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Innova&on'In'The'Organiza&on.'As'Well'As'Service'Product'&'Process'Innova&ons''
'New'Distribu&on'Methods'
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ATM$
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Why Companies Win At Service Innovation
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How do you plan for new growth?Service Innovation determined by:
Business doing what?Service Innovation to do what?Service Innovation like what?Service Innovation delivering what?
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What resources are required: money, materials, methods, measures, machines, manpower tasks?
What activities need to be undertaken to achieve the desire results?
What internal factors are necessary and are in place?
What external factors influence the Service Innovation outcomes?
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OUTSIDE IN NOT INSIDE OUT
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Don’t Say Do
The transformative power of Service Innovation not only transforms traditional industries, but also shapes emerging industries
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Assess the current potential for profitable service diversification
Develop the Service Innovation process by setting up the research agenda, strategy, roadmaps and key deliverables
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FAILURE
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Service Innovation is an after thought
Service Innovation remains a costly exercise in overhead damage control
Service Innovation not creating new revenue streams let alone profit
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“If people aren’t telling you that your idea is crazy, then it is likely not a very good idea.”
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Service Innova,on enables companies to focus on their ul,mate goals with cross sell, upsell and reten,on at appropriate ,mes to build deep life,me value
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