Elizabeth Perry/White Bull:
You say, “It’s not about technology, it’s about Meaningful Innovation.” What is Meaningful Innovation and how does it differ from new technology?
Bernard Gander/Logitech:
Meaningful Innovation is actually a long way away from the definition of “new technology”. In fact, I would argue that Meaningful Innovation makes technology invisible!
WB:
Wait. How’s that possible? I thought that “revolutionary technology” was what innovation was all about?
BG:
No. Your “hot new thing” can’t just be a representation of great technology. And, it’s not enough to be “revolutionary.”
The technology behind your product should be invisible to the consumer! It might run in the background, but the user can’t be bothered with it!
In other words, before you go showing off your great new gadget, you must ask yourself what is relevant to the consumer … the end user. It must make a difference in the consumer experience. It has to change something … improve the quality of the user’s life. It has to be effective, save time, save money, … or be just plain fun! In fact, often there’s no new technology at all! It’s sometimes simply a better package!
WB:
In your experience, you've surely seen a lot of great ideas come and go. Can you give me an example of something that just didn’t cut it?
BG:
In 1992 we came out with one of the first digital cameras: the Fotoman. The technology was great, but not meaningful because the consumer was not there yet, not ready for it. There was no infrastructure in place yet to support it. The lesson is: Timing! Before you build something new, you have to be sure your consumer is educated and prepared.
WB:
How about something that worked?
BG:
Logitech’s Harmony Web-programmable universal remote has been a hit. Why? Because we took an existing market and recreated the user experience. There were already such things as universal remotes and people were already on the Web. What we brought to the table with the Harmony was a new way of configuring the remote using the Web … therefore simplifying and improving the user experience!
WB:
Ok. So, what do you think about the iPad?
BG:
Well, that’s actually a great example of Meaningful Innovation. This so-called “new thing” isn’t really new at all! Just a different form factor. Some people say it’s just a large iPhone, with more apps. But what they did was build on an existing technology. They improved it, repackaged it, and made it all about the user experience.
WB:
What can early stage companies do now to help turn great ideas into Meaningful Innovation?
BG:
Test! Test! Test! Go to people: consumers, friends, etc. Get Feedback. Validate what you’re doing. And before you approach a company like Logitech about your idea, you need to be able to demonstrate somehow that it works.
You also have to raise awareness of what you have … but if what you have is truly meaningful, marketing costs should be minimal. If it’s relevant, you will inflame the market. Facebook and the rest provide a massive leverage effect because of the Internet.
WB:
What do you think the Big Fishies like Logitech are really looking for? How has the economic crisis affected the market for early stage companies?
BG:
R&D budgets have been reduced pretty much across the board because of the economic crisis. This means that the innovation pipeline depends more than ever on the outside, and big companies like Logitech are looking more toward external investment. This is a great opportunity for young companies to step up. If you can demonstrate the value of your product and have tested it in the real world, there is a greater chance now for exposure and success.
WB:
On the subject of Great Ideas, how much risk is a company like Logitech willing to take?
BG:
The reality is, larger firms take less risk. We prefer to pay more for less risk. It should be the role of entrepreneurs, the business angels and VCs to take more risk. … But that’s a subject for another time. …