Many German companies rely on innovations to provide them with a competitive advantage. Most of them also have this idea embedded into their corporate identity. Not only Audi uses the promise “progress through technology“. However, those who promise innovation face a real challenge – the need to deliver!
Innovation is not an end in itself. It is not about the number of registered patents. What counts instead is the added value an innovation offers. Successful companies succeed in creating unique customer benefits through real innovations. The greater the added value of a new solution and the more relevant the fulfilled need of customers, the more innovative the company is rated.
The brand acts as interface between company and customers. On the one hand, the brand helps to develop the right innovations that match the customers’ needs and are also successful in the long-term. On the other hand, it ensures that innovations fit with the corporate identity and strengthen the reputation of the company. Synchronizing the brand and innovations will be even more critical for success in the future.
What we offer
Due to the high relevance of innovations, an early integration of the brand into decisions regarding the innovation strategy is useful. The brand identity defines the framework when searching for potential fields of innovation. The aspired brand image needs to be reinforced by future-oriented, yet suitable solutions that are also seen as “authentic” from the customer’s point of view.
While innovations so far have only been valued by means of economic factors, our decision-making tool for brand-driven innovations involves three valuation components. Besides the general marketability of the innovation, the potential due to the existing brand strength as well as the fit between innovation and brand are evaluated. Consequently, the relevance of the innovation to your target group is secured.
The upstream examination of the marketability lights up factors that significantly determine the market success of the innovation. This way, new developments that do not lead to a marketable offer can already be interrupted at an early stage. This reduces flop rate and development costs and allows shifting resources to more promising projects.
During the second step, the brand strength and associated brand expansion potential of your brand are analysed. The brand strength is measured along the brand impact chain and demonstrates the boundaries of the brand transfer. The goal is to anchor the brand as well as specific associations regarding the image of the brand in the minds of the target group.
The brand fit answers the question to what extent the innovation supports the company’s brand strategy. This prevents brand risks and reputational damage due to innovations that do not fit with the brand.
The result is presented in a transparent way using a structured decision tree model.
The first and possibly most important benefit is the fact that your innovations are developed based on the identity and positioning of your brand. This raises the success rate of innovations. By specifically managing the brand expansion, your brand expertise is sensibly expanded and your brand is emotionally charged – particularly in the B2B area. Another significant advantage is the objective decision making process based on a standardised checklist for all valuation dimensions. This simplifies and optimises the process of decision-making regarding innovation.
Research and development processes are more efficient since the brand provides clear guidelines. This saves money and time. Innovations that may damage the image are identified early on and can be stopped just in time or diverted to be compliant with the image. Consequently, the threat to market position and the risk of loss of market share is reduced.
Moreover, the brand operates as precise action framework during the integration of different departments such as R&D, marketing, distribution and other divisions involved with value creation. They all work towards a common goal, which also simplifies internal communication.
Overall, the orientation of the process towards your brand helps you to
- improve innovations,
- develop a superior innovative strategy,
- secure and expand the position of your company in the market,
- improve the consistency regarding the perception of your brand,
- increase the perception as an innovative company as well as
- intensify the feedback of the market to your R&D division.
This creates investment security and therefore relief during your daily business, allowing you to concentrate on other important activities and contribute to the success of your company.