35 Stats About Product Innovation All CEOs Must Know
Welcome to another issue of The Future of Strategy.
Built specifically for C-Suite leaders, this newsletter cuts through the information overload, delivering strategy-packed insights, actionable trends, and practical tools in a concise format.
It's your roadmap to navigate the chaos, lead with purpose, and achieve ambitious goals.
Everyone seems to be talking about AI integration into business solutions, product innovation strategies, and a few other key buzzwords.
Reality, however, seems to be much more diluted, at least for businesses.
To help give you a more realistic view of product innovation and service development we've compiled key findings from several global surveys from research giants like:
35 Product-Innovation Statistics You Need to Know About
Obstacles to Product Innovation
11. 38% said lack of funding and resources is their primary challenge
12. 25% of report Uncertain demand for new goods or services as an obstacle to innovation
12. 35% stated cultural resistance to new technology as a main concern
CEOs mentioned a list of other challenges also impacting their innovation potential:
13. 69% Organizational and operational limitations
14. 13% said legal hurdles and rigid regulations are key obstacles
15. 38% noted lack of time to develop and test new products
16. 33% attributed their lack of technical skills and know-how as an innovation inhibitor
Competitive Advantage
17. 49% of senior executives say sustainability is a key component in their innovation plans, and view it as a very progressive and necessary concept for the development of a robust competitive advantage
18. In general, 96% of surveyees agree about the impact of sustainability on competitive advantage; however, not all are actively pursuing it as a goal or an ingredient
Actions Taken by Companies to Enhance Innovation
19. 60% believe it's the role of senior management to encourage and enable innovation across the enterprise.
Key examples include encouraging experimentation; holding brainstorming sessions across juniors; and providing incentives for employees to take risks and innovate
20. 47% say the shortest route is to hire talent with the needed technological skills
21. 47% believe hiring consultants is a huge plus
22. However, only 45% believe upskilling existing staff will help in matters of product innovation
领英推荐
Companies Use M&A to Access Innovative Technologies and Expert Talent
When it comes to companies that are actively pursuing product and service innovation:
23. 36% say they actively consider acquiring companies with innovative technology or processes
24. 32% say that innovation experts are a core part of their M&A consideration
The Difference Between Companies that are Ready for Innovation and Businesses that Aren't
25. 72% of innovation-ready companies are committed to full data transparency, while only 35% of the remainder of companies are
26. 58% of innovative companies have clear portfolio targets, versus an average of 38% for the total
AI’s Impact on Business Innovation Varies Significantly by Industry
The following is an aggregate impact of AI on:
27. MedTech ranks the highest with a 51% average impact of AI adoption on its innovation and operation
28. Pharma comes in at 39%
29. Transportation, Finance, and Telecom each have an average AI impact of 34% on product innovation and overall operations
30. Automotive and Tech hardware each have an average of 33%
31. Tech, Energy, and Manufacturing follow closely with 31%
32. Retail comes in last with an average impact of 17%, the majority of which is related to discovering market trends
Some Other Interesting Stats
33. 54% of successful companies consider the ability to kill a project a core strength
34. Maintaining innovation-capable talent is a key concern for 38% of businesses
35. 50% of middle managers surveyed do not believe their leaders fully display the vision and passion needed to make innovation happen
Want to know more? Check our Features on the Topic: