The three innovation barriers- Culture eats strategy for breakfast

Experts in helping brands respond to changing attitudes in nutrition, health and wellness.

We work around the globe (25 countries in 2010)

Specialise in brand positioning and category innovation/renovation in food, beverages, ingredients, supplements and otc pharmaceuticals.

We are global implementation partners to HealthFocus

Peter Wennström The Four FactorsTM Brand Analysis System Food & Health Marketing Handbook

Who are we?

What we do:Better targeted brands, faster to market!(and optimise effort and investment)

We can improve your performance!

And then make sure you

stay on target!

By getting the fundamentals right!

Why Innovation?

Looser-Brands

NeutralWinner-Brands

Only 19% of the looser brands introduced new

products.

63% of the winner brands introduced new

products.

Study by GfK, launch of new products 2003/2004.

The 3 biggest barriers to innovation:

Your Brand

Your Category

Your Culture

Brand stems from the Nordic word ”Brander” meaning to burn a mark.

Your brand is the ‘space’ you occupy in the mind of the consumer

That space is your starting point!

You must understand what consumers expect from you and what they trust your brand to deliver:

Any doubt about what you expect from Coca Cola?

So this is what you expected..and so it is very successful

Great taste with zero sugar

And this was also good news

Great taste with no nasties..

But this was not what you nor anybody else expected from Coke..so it failed.

If you want vitamins and minerals there are other more trusted choices… like Vitamin Water eg.

The 3 biggest barriers to innovation:

Your Brand

Your Category

Your Culture

The Innovation Life Cycle:Where are you?

Medical Late majorityEarly majorityEarly adopters

The Innovation Life Cycle:Where are you?

Explorers ControllersManagersDevelopers

Explorer companies use a napkin (or whatever)

Answer to everything:More Research!

Biggest Problem:Never quite launchOr Launch perfect

science without the

consumer!

Money?:Find new grants or funds to keep on exploring.

Developer companies use flip charts

NewIdea!!

Answer to everything:Try again!

Biggest Problem:Constantly

innovative.Keep trying new

things.

No patience to take ideas to long term success.

Money?:Re-invest in new ideas.

Manager Companies use PowerPoint

Answer to everything:Find a solution!

Biggest Problem:See innovation as a risk.

It’s a great thing if it doesn’t threaten my current business.

Money?:Invest in marketing!!

Need to make sure that this business makes money!!

Controller Companies use Excel

Answer to everything:Tighter control & cut costs.

Biggest Problem:See innovation as cost.

Look at income from innovation last week.

If Zero then cut.

Money?:Goes to the share

holders and management Bonuses.

In summary…

Researchers ControllersManagersDevelopers

So busy managing

can’t create. + Too risky!

All the Developers have left.

Have to buy a Developer

Org. / Brand

Too busy on new to grow

currentLaunch delayed: Cool new science in progress.

In summary…

Researchers ControllersManagersDevelopers

Our Blog…

www.HealthyMarketingTeam.com

Thank you

More information:

Peter Wennström Peter@HealthyMarketingTeam.com

BLOG:

www.HealthyMarketingTeam.com