Disruptive innovation is a term which refers to an innovation that creates a new market and value network and was first coined in 1995 by American scholar, Clayton M. Christensen.
At Cutitronics, we believe that innovation, disruption and technology go hand-in-hand (or paw-in-paw if you’re our Lab Manager Marly). Products, services, and whole industries have been disrupted, and newly created, as a result of some game-changing technology.
But innovative technology doesn’t just have to be big, grand and all-encompassing to make an impact. Over time, the introduction of smaller, evolutionary innovations can have a cumulative effect resulting in the desired mind-shift of the consumer.
“Streaming has largely replaced purchases of individual tracks and albums” FT.com
The last century saw a phenomenal change to music technology that fundamentally altered how we interacted with music.
Think back, way back, no, further than that, to a time when music was only available on 12-inch pieces of vinyl. Columbia Records was the first company to introduce the world to the wonder of music on ‘record’ in 1948.
In 1963, Phillips brought us the Compact Cassette Tape. A real first – giving customers the ability to listen to pre-recorded music as well as record their own music onto said cassette tape (listening to the charts and trying to hit those play/record buttons anyone?).
By 1982 technology moved on again. Sony and Phillips were at the forefront bringing us futuristic-looking Compact Discs (CDs). The late 1990’s saw the first online file sharing service, Napster, arrive and then disappear in a flurry of licencing lawsuits. Then along came Apple with its itunes download service, the introduction of further online streaming services such as Deezer, Spotify and even YouTube, and the rest is a distant memory.
The Humble Coffee
“Around 2 billion cups of coffee are consumed worldwide, everyday” British Coffee Association
In days gone by, before the creation of extra-hot-double-shot-decaf-almond-milk-drinks-to-go, the only place you could enjoy a freshly ground cup of your favourite coffee was your local coffee shop. Here, the professionally-trained Barista would grind your beans to order, steam the milk to perfection and serve your coffee in just the right size of cup. But as consumers, we demanded more. We wanted to enjoy this coffee experience in the comfort of our own homes. So, from “instant” freeze-dried soluble coffee grains in jars to espressos, filters, milk-frothers and beyond, the Barista bean-to-cup experience is now available to anyone who chooses to purchase a coffee machine. And the market has had to play catch-up. High-street coffee chains now sell their own brand of beans for you to grind at home; you can drink your coffee of choice in their standardised size of mugs and add an extra shot of their branded syrups to sweeten the experience.
The Mobile Phone
“The number of mobile phone users in the world is expected to pass the 5 billion mark, by 2019”. Statista.com
From Alexander Graham Bells’ first US patent for the invention of the telephone in 1876 to Motorola’s first handheld mobile phone in 1973 through to today’s latest iPhone and Android-based smartphones, the humble telephone market has been well and truly disrupted. Just a few decades ago, who could have known how much our lives would have changed thanks to this small handheld device. But it didn’t all happen overnight, it was small evolutionary changes and enhancements that saw us embrace the new technology. From a device that allowed the making and receiving of calls, then text messaging and playing games, to browsing the internet, chatting online, video streaming, paying for goods and services, taking photos, making and editing videos… the list of mobile phone capabilities now really does go on.
In each case above, the introduction of new technology has interrupted and disrupted the marketplace. Consumers have adapted and changed their behaviours, buying patterns and consumption of products and services accordingly. Regardless of the sector, disruptive technology has several commonalities to it:
- Automation – taking a process from manual to automated
- Convenience – removing barriers and making it easily accessible
- Instant expertise – enabling the customer to become their own expert
- Personalisation – tailoring the product or service to the specific needs of the individual customer.
This is what is going to drive forward the successful businesses and technologies of the future.
“The worldwide skincare, beauty and cosmetics industry is predicted to be worth over $675bn by 2020.” Research & Markets.
Like all the industries before it, home skincare is next in line. Over the last year or two, we have seen an ever-increasing growth of new innovation in devices and digital being presented into this industry. This was particularly evident at this year’s Consumer Electronics Show which presented the highest ever density of non-chemical based innovation in home skincare to date.
Pierre Nanterme, CEO of Accenture has summarised the learning industries need to take from history quoting that “Digital is the main reason just over half of the companies on the Fortune 500 have disappeared since 2000”.
It is clear that home skincare is learning from history and seeking to embrace how devices and digital can support their strategies going forward. At Cutitronics we have been preparing for this season change and now have an exciting suite of patented technologies and digital innovation to support Global Brands in their device and digital strategies through 2018 and beyond. We can’t wait to share our vision of this with you at in-Cosmetics Global 2018.