Over the last few decades, technology has advanced significantly, causing businesses worldwide to feel the pressure. Companies continually innovate new ideas and methods to work more efficiently and stay ahead of the competition. Innovation is becoming a significant part of how businesses grow and expand. It leads them to find new ways of doing things and imagining what they can improve.
To know how innovation powers the technology we use every day, we need to learn about the three main types: progressive, disruptive, and radical innovation. Each of them is different in terms of the extent to which it changes things and who it affects. Knowing these three types helps us understand why some ideas improve things gradually and why others shake up entire industries. It is this clarity that enables industries to make informed choices. Let's make this clear to you.
Progressive innovation is all about making small, step-by-step improvements. It is not reinventing the wheel all over again but rather making minor tweaks to something that already works, whether that is a product, a process, or a system. They may not make the headlines, but over time, they can compound into gigantic outcomes. It is not revolutionising things overnight. It is improving what you already do better, faster, or smarter.
A notable example of progressive innovation is what Adobe has done with its software. Years ago, Adobe used to sell programs like Photoshop and Illustrator in boxes. However, over time, Adobe gradually transitioned everything to the cloud and introduced Creative Cloud, a subscription-based service. Instead of one-time purchases, users now subscribe and get regular updates. It wasn't a sudden change; Adobe made it gradually, giving customers a chance to adjust while staying competitive in the fast-paced technology industry.
Disruptive innovation doesn't begin with fancy features or big headlines. Instead, it starts with something simple, low-cost, and easy to use, designed for people who big brands have overlooked. These products initially appear plain but continually improve, luring customers away from industry behemoths.
Take Canva, for example. While Adobe created powerful tools for professionals, Canva targeted non-designers, such as teachers and small business owners. With its drag-and-drop features, free templates, and intuitive interface, Canva opened up design to anyone. At first, Adobe didn't even consider Canva as a threat. But as Canva grew and matured, it compelled Adobe to rethink its products and pricing.
Radical innovation is about big, bold changes. It's not simply a matter of doing something better; it's about doing something new. These innovations have the power to introduce ideas, products, or technologies that the world has never seen before. They don't just improve an industry, and they remake it.
A prime example of this is blockchain and Decentralised Finance (DeFi). Instead of going through banks or brokers, DeFi empowers individuals to have control over their money, lending, borrowing, and investing using smart contracts on blockchain platforms. No middlemen whatsoever, only code. It's not just a slight upgrade over banking; it's a complete overhaul of what finance can be. And with the potential for increased transparency and broader access for people worldwide.
| Feature | Progressive Innovation | Disruptive Innovation | Radical Innovation |
|---|---|---|---|
| Type of Change | Small and steady improvements | Introduces easy and low-cost options that change how the market | Creates something completely new that the world has not seen before |
| Target Audience | Existing customers | People who usually do not get much attention from big companies | New markets or needs that didn't exist before |
| Risk Level | Low - safe and stable | Medium - a gamble, but it often pays off | High - can either fail big or succeed massively |
| Common Drivers | Big, established companies | Startups | Research labs |
| Customer Experience Change | Slightly better over time | Much easier and more accessible | A completely new way of doing things |
| Example Company | Microsoft | Uber | SpaceX |
Innovation does not always require giant leaps. It is often a steady improvement, like improving upon what already exists. Sometimes, it disrupts the marketplace with less expensive and easier options. And sometimes, it is a bold change that brings about something entirely different.
Each category plays a fundamental role in shaping today's technology. By identifying them, businesses and innovators can better decide how to grow, develop, or break new ground in the future