Sept 13, 2023
4 min read
Digital disruption is not just about technology; it's a profound strategic and cultural change. It's evident that technology has come to revolutionize the way we live and perceive the world, but driving disruption goes beyond digitizing operations. It's about creating new value through design and with a focus on the creation of impactful experiences. Digitalization should be centered on creating real solutions designed for the user, making a tangible and meaningful impact on people.
During his speech held on Tuesday, August 30th, as part of the Innova Summit 360 CL event, JJ revealed that "The perfect cocktail for disruption combines audacity, a deep understanding of the customer, and a focus on authentic experiences," making it clear that a product designed and developed with a focus on people and their real needs is essential for the success of a disruptive proposition.
The problem lies in the fact that "92% of CEOs are investing in digital transformation; however, 84% of these efforts fail," JJ emphasized. At the same time, only 5% of companies are opting for technological disruption. What we are seeing are efficient processes without evolving the business model and impacting the consumer as a result of this work. Disruptive solutions must be based on authentic customer needs, not assumptions.
How is disruption achieved? The answer lies in continuous innovation and the willingness to embrace the trial-and-error process
A fundamental part of continuous innovation is the willingness to experiment and, at times, make mistakes. The fear of failure can be a significant obstacle on the path to disruption through new methodologies that challenge the status quo. However, it's important to understand that mistakes are valuable learning opportunities when exploring new ways of working. Disruption is a continuous and dynamic process that should be ingrained in the DNA of an organization. Companies that thrive in the era of disruption are those that embrace this philosophy of constant improvement.
When a company is committed to permanent improvement, it is in a strong position to anticipate and adapt to market changes. For Raven, this allows the possibility of transforming threats into opportunities.
Understand Your Starting Point: Market, Customers, and Assets
Before embarking on a disruption journey, it is crucial to understand your starting point. This means gaining a deep understanding of your market, identifying your customers, and recognizing the assets you possess. This information will serve as the solid foundation upon which you will build your disruption strategy.The disruptive approach is not always about creating something entirely new; quite often, it's about taking what already exists and radically improving it by capturing new value, as is the case with multiple successful projects driven by Raven. There is disruption within a company's core business and in adjacent areas.This means that companies have the opportunity to choose to exploit the existing potential within their organizations, challenging, reimagining, and reinventing their possibilities, or revolutionize the market by exploring new business horizons.
Understanding your customers involves designing value propositions based on authentic experiences
Information is power, and in business disruption, data is the beacon that guides the way. The collection and analysis of accurate data on customer behavior and preferences are essential for designing effective strategies. Data enables informed decision-making and the personalization of interactions.If the pains and expectations of the people to whom the new value proposition will be targeted are not deeply understood, there is a risk of designing innovative and amazing products that do not meet real needs and, consequently, lack significance.Disruptive design transforms interactions into meaningful relationships and, in turn, customer loyalty. 75% of a company's reputation, trust, and appreciation are based on the design and the experience of its consumers, and 63% of users are willing to pay more for the last one.
Disruption is the path to sustainable innovation, where design and customer understanding are fundamental elements.
Disruption is not just a momentary act; it is a path to sustainable innovation. This involves a mindset of continuous improvement, where a deep understanding of people and effective design are fundamental elements. Companies that achieve successful disruption are those that can constantly adapt and evolve to meet the changing demands of the market.
The Disruption Cocktail
Disruption is inevitable. What organizations can control is whether they generate disruption or wait to be swept away by it. But how can you achieve driving it? JJ De La Torre shared his recipe for the perfect disruptive cocktail with the audience.
First and foremost is a focus on creating experiences, and to design them, it is necessary to understand and study customer needs and the problems that require solutions. One must never forget that people should always be at the center. Design begins and finishes with them.
Subsequently, iteration is added to the mixture. This is where design must evolve through real-world experience, as a holistic exercise. At the same time, simple and clear value propositions must be designed. Again, designed for the user.
The next step in balancing these well-rounded ingredients is to nurture the relationship throughout the entire customer lifecycle, whose behavior is currently in an evolutionary process, demanding a balance between physical and digital interaction.
Finally, specific drivers must be integrated and leveraged to define new solutions. These include experience, data, and insights. The captivating factor, digital channels, and loyalty. With all of the above, the business model is created.
Disruption is for those who embrace continuous innovation, deeply understand their customers, design authentic experiences, and use data as a guide. For those with the potential to lead the forefront of business transformation.
Now is the perfect time to become a disruptor. Are you ready to lead the change and be part of the transformation? The decision is entirely yours.