How to breed innovation

idea, business, cloud, lightbulb“Most of us understand that innovation is enormously important. It’s the only insurance against irrelevance. It’s the only guarantee of long-term customer loyalty. It’s the only strategy for out-performing a dismal economy.”- Gary Hamel

The buzz word of 2017 is innovation – can’t seem to tune into some business dialogue somewhere without the word innovation appearing. It’s a truly laudable intent by boards and executives, although what is it that we are articulating and how can it drive value accretion?

We know that the motor car was not invented by breeding stronger horses or electricity by building a better candle. Yet, as retailers, why do we still typically leave innovation at the door or lump it under the banner of product development or format refinement?

Strategy as a parallel is often misunderstood for tactical improvement, with site selection, new product ranging, omnichannel development, margin improvement to name a few examples, occasionally lauded as strategic initiatives when really, they are simply doing the same stuff, just better.

Is innovation running into the same misnomer? And really what are the innovation levers a retailer can pull?

Over the years, I have advised on some retail innovation teams, and in one or two cases, saw some fascinating ideas, which then were ambushed, taken through the internal operationalising business case, beaten slowly and effectively, strangled and decapitated by the operators, leaving all hope of that innovation ever breathing within that organisation.

Or given three to six months to gestate with an expectation for operating returns – again, a certainty to eradicate genuine innovation – common frameworks for operational tactics evaluation and only valid in that context.

So where are the genuine innovation opportunities for retailers? Well, innovative thought will come from anywhere from customers to external stakeholders.

Some initial innovation thought starters (and there are many more) to reflect on:

  • Technology is the great enabler, disrupter, connector, educator – changing conceptual and real experiences virtually and, by the second. How do we innovate these experiences in a seamless omni-channel cycle?
  • Innovation will drive the customer experience in ways that we mortals can only dream about, utilising the enablers and disruptors, inviting invitation from those whose mind space would never have played in retail.
  • Soon we see that the concept of reality is changing from augmented to virtual and beyond. To whose reality are we innovating in?
  • What about the axis of time and space? As RFID solutions become more innovative – their part in disrupting the classic channel supply channel becomes self-evident.
  • Innovations from gamifying retail, to payments and redefining the concepts of currency.
  • E-commerce, m-commerce, s-commerce – all waves into the innovative redefinition of what we once called retail.
  • The customer demand pull – demanding innovation as the traditional supply channel leaves our nomenclature.
  • Concepts of consumer communities fuelled by redefinition of social communities. Consumers being the providers and initiators of retail for other consumers.
  • The communication channels seamlessly moving between people, brand touch points, and creation concepts in retail simultaneously.

That said, forecasting where innovation might come from is as stereotypical in its approach as saying that we are innovative organisation or have innovation in our DNA.

Or even the natural misnomer between true innovation and just some extremely clever business improvement such as store design, or product enhancement.

One simple question for innovation is whether this might improve aspects of my life or will it change my life?

I am reaching the conclusion that true innovation starts with awareness, creative expression, idea enhancing, supporting cultures, and celebration.

As David Campbell says “When truly creative people come up with a new idea, they don’t reject it immediately because of its flaws. They play with it, looking for strengths and sliding over weaknesses”.

What do you think? In a world where only the innovative really win.

Brian Walker is founder and CEO of retail consulting company, Retail Doctor Group. He specialises in the development and implementation of retail and franchise strategies. He can be contacted on 02 9460 2882 or


1 comment

  1. Don Gilbert posted on July 20, 2017

    'As David Campbell says “When truly creative people come up with a new idea, they don’t reject it immediately because of its flaws. They play with it, looking for strengths and sliding over weaknesses”.' The retail rent evaluation methodology I invented did not have / does not have flaws. Only I have been too timid to push it forward ............ now we are; and feedback from clients very good.

Comment Manually


When Crumpler CEO Adam Wilkinson stepped up to lead the Tigerlily brand earlier this year, he asked customers for f…

5 hours ago

The supermarket giant has received the highest ever fine issued by the Australian Communications and Media Authorit…

1 day ago

Kathmandu's sales have risen sharply over the past six weeks, but CEO Xavier Simonet remains cautious about the ret…

1 day ago