Companies that innovate empower employees to try something new, even if it’s just a small adjustment to a long-standing process that can save time or money. Those small changes can add up to business success, which is why innovation is more important than ever in 2025. Businesses face fierce competition and challenges like never before.
Here we explore what innovation is, how to embrace it, and the many benefits it yields.
What Does Real Innovation Look Like?
Innovation is setting into motion new america phone number list processes or products in a way that positively impacts customers, the company, or both. Innovation is typically recognized in 3 major areas: business model, product, and marketing. What all of these types of innovation have in common is that the process is repeatable and scalable and has a significant impact on the business.
- Business model innovation is based on how a company operates. Innovation at this level can be risky if it changes fundamental ways in which the company creates revenue, but it can also have a big payoff when successful.
- Product innovation is creating a new offering, especially one that diverges considerably from what’s already on the market.
- Marketing innovation serves to increase market share or tap entirely new markets, including introducing new uses for existing products. It usually entails new ways for a company to engage with customers.
Innovation Outcomes
Top-tier businesses have achieved their status by embracing innovation. Consider Apple, which disrupted the status quo many times seo can only attract large clients over by releasing products like the iPhone, the iPad, and the Apple Watch. These are examples of the product innovation model, as well as the marketing model.
Or, consider Airbnb and Uber’s business models. These successful companies upended the way people think about transportation and travel accommodations, respectively, completely overhauling their industries.
One of the keys to innovation is the willingness to put ideas into action. Consider the example of Netflix, which bet people would be receptive to receiving movies in the mail. This innovative business model was so successful that it put less innovative competitors like Blockbuster out of business.
Companies that innovate benefit in numerous ways:
- Increased efficiency. Innovations made in everyday processes may not be glamorous but even small ones can save companies large sums of money.
- Brand recognition. When companies innovate products or services, or the way in which they’re delivered, they gain the reputation of having something unique to offer.
- Higher revenue. Companies that innovate are typically on the lookout for new ways to please customers. With customer experience becoming increasingly important, those who feel delighted at every touchpoint are likely to return and bring their friends with them.
How to Support Innovation
For employees to innovate, companies resource data must support actions that lead to it. Returning to the Frappuccino example, this innovation was only possible because the team members who developed it were permitted to make and sell the drink locally to show its popularity. Management could see the real results and quickly embraced the product company-wide.