Innovation is important no matter what industry you work in. That’s because being able to improve existing business practices is vital for the growth and continuity of an organisation. This is especially true in the highly competitive beverage industry, where creativity and innovation can be one of the most cost-effective ways to set your brand apart from your competitors.
From a business perspective, innovation is anything that adds value and a new dimension to your organisation, whether that is through improved processes or a new product or service that makes your competitors think ‘I wish I’d thought of that!’
But what the key elements required for cultivating innovation?
As mentioned above, innovative beverage brands can usually count on success at the expense of their competition. This is because they have been first to introduce or adapt to various new themes or concepts in recent years, such as cold-pressed juices, cold brews or plant-based ingredients. Although these new ideas can be very valuable to a beverage brand, they also pose a challenge as organisations tackle the issue of standing out in a crowded market.
Not all organisations will find innovation to be an easy process either. For instance, beverage start-ups can often be more agile and responsive to consumer trends. Nevertheless, there’s no reason why established brands can’t develop a culture of innovation too. Here’s how:
Listen and collaborate
When it comes to catching fresh ideas, you need to cast a wide net. Ideas don’t always come from the experts, and staff at all levels can be capable of coming up with market-leading innovations. Everyone in your organisation should feel that they are able to contribute ideas and teamwork is an essential element of ideation. Innovation cannot happen in a silo. Engaging with employees, suppliers and even customers can often lead to interesting insights and perspectives that you may not otherwise have thought of. Social media has opened up new channels of engagement between brands and consumers; organisations can now find out exactly what changes their customers want to see.
Create value
Many beverage brands stand still and are left behind by a failure to predict or adapt to changing market trends. If your new ideas aren’t creating value to your stakeholders then you don’t really have innovation. Beverage companies should focus on the ideas that are most effective at delivering value and worth. Innovation means creating business value – whether that’s improvements to existing products, entirely new beverage concepts and ingredients, or manufacturing and production changes that reduce cost.
Embrace failure
Innovation can often be suppressed by a fear of taking risks. Not every idea will be a success and even big brands can fail (‘New Coke’ being one famous example). In this respect, innovation can often be a case of trial and error. Your brand is more likely to be remembered for its successes rather than its failures though. Organisations and their employees must be brave enough to take the plunge with a new idea as ultimately it can lead to business growth.
Implement
Innovation is only effective if a good idea is put into action. It can take time and resources to develop an innovation and companies need to account for this. Not following through on ideas can also see employees stop speaking up when they have an idea for improvement, as they may see it as a pointless process. Measures must therefore be put into place for trying new ideas and bringing them to fruition.
The beverage industry has seen growth in recent years by recognising changing consumer demand and adapting to it. Consumers’ preferences are clearly shifting and beverage brands must shift with them. After all, innovation comes from a genuine desire to improve your customer’s experience and this can be what sets you apart from competitors.
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