Comments on: Outside-In Innovation

By: Ted Mininni

Ted Mininni — Tue, 14 Apr 2009 16:53:12 +0000

I know what you mean, Peter. At times we’re all frustrated when a favorite product is discontinued, or “improved” in a way that we don’t enjoy using it anymore. However, I’d like to comment on your statement: “But the underlying presumption is that they need to always be developing new or improved products.” The fact is that without innovation or a new product pipeline, companies can’t grow. Once sales are maxed out on existing products, there isn’t any room for additional growth. Hence the primary reason for the tweaks. Having said that, CPG companies’ strongest selling products ought to be tweaked sparingly, if at all. Does everybody remember when Coke launched New Coke to replace its classic cola? It was a disaster that was rectified by making sure the original Coke was renamed “Coke Classic” with full distribution. Consumers have the power to voice their opinions as never before, Peter. I urge you to do so when you don’t like what’s being done to products you currently like and use. Smart companies heed the voice of the customer.
Thanks for weighing in with some important insights, Peter. I appreciate it.

By: Peter Curtis

Peter Curtis — Tue, 14 Apr 2009 16:30:43 +0000

I think it’s great that companies are looking to consumers for ideas. But the underlying presumption is that they need to always be developing new or improved products.
I’ve often been frustrated by companies that don’t leave well enough alone. Many times I’ve seen some of my favorite products disappear from the market because the manufacturers “improved” or replaced them. Once I find a product I like, I don’t want to have to switch to something else.
I wish companies would take that into account as well as solicit new ideas.

By: Ted Mininni

Ted Mininni — Mon, 13 Apr 2009 17:40:44 +0000

No matter how you found this blog, we’re glad to have you join the conversation, Norman. You’re right: a number of manufacturers have started using this approach, P&G and Dell among them. I think more and more CPG companies are doing this, or considering it now. I do believe manufacturers that take this tack are truly looking for innovative ideas. Even if they don’t use any/many of them, the conversation they initiate is important. Anything that enables consumers, creatives and companies to interact more closely should lead to better products and services all around, in my view.
Thanks for weighing in, Norman. All POVs are welcome.

By: Norman

Norman — Mon, 13 Apr 2009 17:33:52 +0000

Not quite sure how I got to this blog. One of those ADD internet moments …
Starbucks created something similiar as have a number of other companies, so I think P&G are not really innovating.
Are these outside-in approaches really looking for innovation or are they more concerned with appearing to open up a conversation with consumers to garner more advocacy. I am rather cynical about these approaches

By: Ted Mininni

Ted Mininni — Thu, 09 Apr 2009 15:58:18 +0000

Thanks for the kind words, Ruth. Please feel free to chime in any time you wish. Everybody’s POV is welcome and equally valued.
Nirmal: thanks for adding your insight. Recognition is important to us when we come up with good ideas. Sometimes an idea that may not have apparent value overall can lead to another, better idea. Sometimes part of someone’s idea can be a springboard for a better one, as well. Rather than disparage ideas, we ought to consider that before dismissing them out of hand. Thanks, Ruth and Nirmal. I appreciate your comments.

By: Nirmal Palaparthi

Nirmal Palaparthi — Thu, 09 Apr 2009 15:14:38 +0000

People who come up with ideas a lot of times do not realize the value of them or do not have the means to take them to fruition, for such people, recognition is a big enough reward.

By: Ruth

Ruth — Thu, 09 Apr 2009 02:41:54 +0000

I recently came across your blog and have been reading along. I thought I would leave my first comment. I don’t know what to say except that I have enjoyed reading. Nice blog. I will keep visiting this blog very often.
Ruth
http://laptopmessengerbag.info

By: Ted Mininni

Ted Mininni — Wed, 08 Apr 2009 20:13:30 +0000

Thanks, John for the input. Much appreciated. Very few things are new under the sun, as the old saying goes. . .yet it’s time for businesses to assess things in this downturn and change their M.O. if it leads to true innovation, better products and services, isn’t it? Sometimes ideas are presented and the market isn’t ready to consider them yet as is the case with the writings you cited. It seems that companies are more likely to embrace these ideas a decade later. . .

By: John Wyse

John Wyse — Wed, 08 Apr 2009 19:59:25 +0000

Ted,
nothing new under the sun! For a decade Professor Von Hippel et al (you can all download his book “Democratizing Innovation” out of his own personal website) has been doing very insightful empirical research on lead user innovation in a number of industries not to account for Professor Chesbrough’s 2003 “Open Innovation” all relate to what the Wall Street Journal accounts for. Anybody interested in the subject I recommend “hearing it from the horses mouth” and reading the books and articles that have given birth to these “innovative approaches”.

By: Ted Mininni

Ted Mininni — Wed, 08 Apr 2009 11:55:01 +0000

Love it when a smart, reasoning marketer plays devil’s advocate. Thanks, Stephen, for doing just that. Here’s my view: innovation and great ideas always come from a wide variety of sources. Companies’ own innovators generally work with outside design consultancies, and innovative ideas are collaborative. This is nothing new.
Culturally speaking, companies are going toward a model that invites more and more outside communication and ideas. What about Dell’s Idea Storm site? Same principle, really. . .
Campbell’s decision to solicit outside ideas does not mean its own R&D people aren’t working on new product ideas. It does mean they’re now opening themselves up to more ideas from “experts”. At the end of the day, we’re all consumers, right? We all have ideas. Not every idea is worthy of consideration–whether it comes from the inside or the outside. . .The legal issue is more the central one in my mind. As I stated in my response to Thomas, I suspect that any great idea that comes to the market from an outside source, must be fiscally rewarded. Then there is the issue of intellectual property. If you take a look at the link to my last post on this topic, many companies are already taking the route Campbell’s has just announced, and many of these issues are being sorted out to prevent problems.
Thanks, Stephen, for adding more weight and strong arguments to my post. I appreciate it.