What is an innovation strategy and how do you develop one?

Innovation is one of the biggest challenges nowadays, how do you stand apart in this world full of competition? How do you create a concrete innovation strategy and challenge your branch? 5 steps to develop such a groundbreaking innovation strategy, grow your company and beat your competitors.

How does Redbull use innovation for branding purposes? We all know their energy drink, either if you consume or not, they are famous for their innovative and extreme campaigns and sports coverages. You all read it in this blog.

How to start an innovation strategy?
“How to start an innovation strategy?” Source: Pixabay

How to develop an innovation strategy? 

An innovation strategy has been created to satisfy customer and specific needs. Companies want to find new ways or add value to products or services. 

Here are 5 steps to think out of the box and start creating innovation strategies to grow a company.  

 1. Identify what’s important 

Gather facts to identify and map your best possible strategic choices. Where is the company currently standing? Where does the company want to be in the future? What is the main goal?

Initiative and imagination will be the first approach to create new ideas and explore different scenarios. Make a timetable where you can visualize which is your market, trends, competitors, projects and any other research that will help you to establish your objective leg potential and successful. 

2. Know Your Market 

Identify who are your customers, competitors, channels, segments, and costs. Analyzing your audience is very important as it will give you the right channels and tools to achieve your goal. 

Think about how your customers can get the best and unique experience of the product or service.

For example, In 2012, you probably came across a live stream of the “Stratos” jump. Felix Baumgartner, a skydiver from Austria who partnered with Red Bull to set the world record for highest skydive. 

Record: 128,000 feet, about 24 miles above Earth’s surface. Sounds amazing, isn’t it? 

To make this happen, Red Bull housed Felix in a small communication capsule and sent him up to the stratosphere using a large helium-filled balloon. And what’s truly remarkable is that his ascent and preparation to jump, alone, allowed him to break another record before landing safely back on Earth.

Red Bull streamed the entire event online and saw the highest viewing traffic (around 8 million viewers) or any live stream ever broadcast on YouTube. After almost 7 years, the video has 45 billion views!

We will bring this memory back to you or in case you didn’t watch it before, enjoy it! It is one of our favorite campaigns!

3. Identify strategic objectives 

First of all, define what you want to achieve. Your objectives should be established on a SMART (Specific, Measurable, Achievable, Realistic and Time-related) method. Develop capabilities, such as skills, R&D, values, behaviors, and innovation assets that will define the products or services. 

"SMART goals. What is SMART, and how do you build them."
“SMART goals. What is SMART, and how do you build them.”

Tip! to learn more about SMART objectives, read our blog about the Oasis model for a campaign planning. 

4. Tactical plans 

The tactical plans are the steps and actions of your strategy. Establish if they will be for a short, mid or long term. It is very important to measure them. You can measure them daily, weekly, monthly, quarterly or annually. Strategies, action plans, and budgets will help to allocate time, human capital, and money to prioritize issues and achieve the objectives.

How is your tactical plan look like? Try to make a flow chart or a scope to visualize all the to-do actions and who in your team is doing and achieving them. 

5. Review

To know how your innovation strategy works in practice, you must be able to measure and evaluate the established objectives and the whole campaign effects.

To know how to review your strategy, there are several questions to ask like:

  • What are we doing well and should we continue or stop doing? 
  • Can we improve what is good or bad? 
  • What was supposed to happen, what happened? 
  • Which are the final results? 

 

For example, going back to the Red Bull Stratos campaign, the brand release the records that they achieve: 

Maximum Vertical Speed: * 1,357.6 kmh / 843.6 mph / Mach 1.25

 

Highest Exit (Jump) Altitude: 38,969.4 m / 127,852.4 ft

 

Vertical Freefall Distance: * 36.402.6 m / 119.431.1 f

Summary

An innovation strategy involves continuous experimentation, learning, and adaptation. Sometimes companies have a lack of innovation strategies. Different factors are involved, such as lack of time, ideas or low budget. The implementation of the strategy can be hard and sometimes even harder for a company to make a change to create an innovation strategy. 

Once a company creates innovative strategies and the implementation of these, the company will grow and create so much impact on its audience. That impact will make us remember successful campaigns such as the Red Bull Stratos one.  

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Share your comments below about the Red Bull campaign or how to use the SMART method to set your goals. Madelien is happy to know your thoughts or contact her here.

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