SME, do you survive or innovate?
Posted: Tue Dec 17, 2024 6:49 am
It is becoming increasingly difficult to maintain a business in a business ecosystem where new companies appear every day to meet the demanding and changing needs of the market.
Traditional companies are becoming less competitive as the market, accustomed to this context of constant diversity and creativity, has much more to choose from and demands an ever-increasing level of adaptation of services and products, as well as a type of relationship with companies that is very different from that of years ago.
It is important to bear in mind that our clients compare us not only with products or services similar to ours, but also with service models from companies in different sectors. This means that SMEs that survive this context either have a very specific market niche or have a differentiating product/service.
What is innovation?
SMEs, regardless of whether they are technological or not, need to find and know how to explore the problems and new needs of their sector from different perspectives if they want to generate new business models.
This ability to find opportunities and successfully solve oil and gas email list problems in the market is what I call innovation.
Through innovation we manage to obtain competitive advantages in our market niche, and surely reach others that we had not anticipated, providing solutions based on experience and empathy with the user by applying a business strategy.
Let's give a very clear example of innovation in a large company.
Nespresso has radically changed the concept of drinking coffee, turning it into a luxury item. It sells various models of its coffee machine exclusively and the capsules to prepare it can only be bought in its stores, or by ordering by phone or in its online store. It has transformed a “commodity” into something original and exclusive and the consumer is willing to pay for it.
On the other hand, Gillette changed its business model of selling quality razors, lowering the price to make them accessible to everyone, with the aim of generating income from the sale of replacement razor blades.
Legálitas has done precisely that with the legal profession. It aims to bring lawyers closer to a much larger percentage of the population and make them available in many situations.
All of them have had the user as their starting point and have built a new business model on a market that already existed, a new innovative approach.
Traditional companies are becoming less competitive as the market, accustomed to this context of constant diversity and creativity, has much more to choose from and demands an ever-increasing level of adaptation of services and products, as well as a type of relationship with companies that is very different from that of years ago.
It is important to bear in mind that our clients compare us not only with products or services similar to ours, but also with service models from companies in different sectors. This means that SMEs that survive this context either have a very specific market niche or have a differentiating product/service.
What is innovation?
SMEs, regardless of whether they are technological or not, need to find and know how to explore the problems and new needs of their sector from different perspectives if they want to generate new business models.
This ability to find opportunities and successfully solve oil and gas email list problems in the market is what I call innovation.
Through innovation we manage to obtain competitive advantages in our market niche, and surely reach others that we had not anticipated, providing solutions based on experience and empathy with the user by applying a business strategy.
Let's give a very clear example of innovation in a large company.
Nespresso has radically changed the concept of drinking coffee, turning it into a luxury item. It sells various models of its coffee machine exclusively and the capsules to prepare it can only be bought in its stores, or by ordering by phone or in its online store. It has transformed a “commodity” into something original and exclusive and the consumer is willing to pay for it.
On the other hand, Gillette changed its business model of selling quality razors, lowering the price to make them accessible to everyone, with the aim of generating income from the sale of replacement razor blades.
Legálitas has done precisely that with the legal profession. It aims to bring lawyers closer to a much larger percentage of the population and make them available in many situations.
All of them have had the user as their starting point and have built a new business model on a market that already existed, a new innovative approach.