Innovation and Commercialization for Essence Drink

This presentation discusses the innovation and commercialization strategies for Essence Drink, a company located in Guadeloupe that started selling healthy mango shake two years back. The presentation explores the importance of commercial funnel, innovation business case, techniques to test and iterate innovation business case, critical evaluation of innovation, and tools used by the organization to retain and protect knowledge and intellectual property.

INNOVATION AND
COMMERCIALIZATION

INTRODUCTION
• The innovation and commercialisation of a company has been discussed in
this presentation in context to the Essence Drink
• It is a company that is in the Island called Guadeloupe in Carribean
• It has started selling healthy mango shake two years back
• The organisation has developed significantly because of its innovation
formula and distribution capacity
• However, the sales of it has fallen when it had entered into its fourth year
• Hence, the founder of the company is been introducing some new and
innovative drink in its product list called the Karukera Fresh
• Karukera Fresh is an innovative drink with the combination of mango and
banana juice coming from the unique part of the country (La Soufriere)

IMPORTANCE OF COMMERCIAL
FUNNEL
• It is also called purchase funnel (Zhang et al. 2012)
• It demonstrates the complete journey of a consumer for purchasing a
service of product
• It has five steps and they are- awareness, opinion, consideration,
preference and purchase respectively

• The consumers are attracted towards those companies that offer various
flavoured health drink to them (Cooper 2012)
• Hence, in order to solve the problem that the company is facing, i.e.,
decrease in its product’s sale, it has to offer health drinks to the
consumers that are with various flavours
• The quality of drink must also be much better. Hence, it could introduce
drinks that have the below mentioned properties:
• No caffeine and taurine
• 100% free of fat
• Highly natural and nutritional

• There can be several types of risks that are created at the time when a
company tends to present a health drink with therapeutic power in
market
• The initial stage might take a huge time and it automatically increases
the product cost.
• In context of commercial funnel, therefore the company need to ensure
that the consumers are well-aware of that product. Or else, they would
not be intended in making a purchase of the product.
• When the customers know product, they then regard it under their list of
preference and then make the purchase.
• Company also needs to analyse the product value when it tends to
present it in the market

AN INNOVATION BUSINESS CASE
FOR AN ORGANISATION
• The company could personalise the drink and then shipped it to the doors
of consumers
• It could make the usage of digital marketing for the advertisement of its
products (Boons et al. 2013)
• The consumers would be more attracted towards their product if they
could order them from their home and could receive the products at their
home
• The innovative flavour of the drink would attract more customers who
desire for trying something new.
• It could advertise its product in the market through print media, direct
marketing, internet and broadcast to make people aware and get
attracted to it

• To develop an innovation business case, company must estimate its
budget for its business
• The estimated net expenses of the company is mentioned below:
Types of expense Cost
Raw material
Manufacturing
Management expenses
Marketing expenses
Labour expenses
400$
500$
300$
150$
450$
Total 1800$

• The estimated total revenue will be:
• The total estimated profit would be- (total revenue – total expense)
- (1800 $ - 900$)
- 900 $
Name of the
product
Price of the
product
Quality of the
product
Revenue from
single type of
product
Karukera Fresh
Mango Fresh
Banana Fresh
1.5$
1$
1$
400
400
250
600$
300$
300$
Total 900$

TECHNIQUES TO TEST THE ITERATE AND
IMPROVE INNOVATION BUSINESS CASE
• The companies who sale drones that are of the size of smartphone have
introduced its products in the market
• It can take selfies and could be controlled by phones
• Therefore, the selfie lovers have find better and new ways of taking
selfies
• Such prototypes are first tested and the services and products are first
sold
• The effectiveness the product could be understood with the help of
customer feedbacks
• As it is a unique product, the consumers would come to the store for
giving their feedbacks

CRITICAL EVALUATION OF INNOVATION OVERCOMING
CHALLENGES TO DEVELOP SUCCESSFUL INNOVATIONS
• The primary aim of the innovation is of improving the prevailing products
and methods
• In such context, innovation is by presenting new flavours
• The idea would be to lift the new product sales along with the old
favourites
• With this method, although the starting sales of the products would he
high, it would also create a scope for future income.

DIFFERENT TOOLS USED BY THE ORGANISATION
DEVELOPED TO RETAIN AND PROTECT THE
KNOWLEDGE AND INTELLECTUAL PROPERTY
The essence drink could develop as well as protect the knowledge along
with the intellectual properties by making use of 3 tools and they are:
• Patent- In the case of invention, the patent right refers to the property
right of the inventors. For two years later, after filling of the application
date, the patent is useful and non-obvious inventions. In the nation where
protection is sought, patent is both territorial and meaningful that a
person must apply for the patent protection

• Trademark- It is an expression, sign and design which identifies the
product or services of a specific source. It is also referred to the logo or
the brand of the product. The company could also attain trademark for
caption, business name and tagline.
• Copyright- In case of computer programs, artistic works, films, music and
sound recording, copyrights are used (Gallie and Legros 2012). It is a
bunch of rights and is granted only to the owners for reproducing the
materials.

• The company could protect the knowledge of the organisation through
making use of data protection policy.
• It could also pilfer some legal actions for their staffs for protecting the
right of intellectual property so they could not share the personal
technologies of the company outside. In this way, the personal data of the
organisation could be protected.
EVIDENCE BASED EVALUATION
OF THE DIFFERENT TOOLS

CONCLUSION
• It has evaluated the way for protecting the ideas as well as for understanding
the advantages and disadvantaged of the ideas for Essence Drink
• The company is located in Guadeloupe and it used to sell only mango shake
but now is thinking of adding extra products to its product portfolio
• It must have the knowledge regarding the different types of innovation as well
as the processes for applying it for introducing any innovative product
• It also wants to diversify its products instead of only mango shake like Mango
Fresh, Karukera Fresh and Banana Fresh that would have therapeutic power.
• A new product would develop a business case as well as a budget
• Lastly, the tools of protecting the knowledge and the intellectual property
have also been discussed.

REFERENCES
• Boons, F., Montalvo, C., Quist, J. and Wagner, M. 2013. Sustainable
innovation, business models and economic performance: an
overview. Journal of Cleaner Production, 45(2), pp. 1-8.
• Cooper, C. 2012. Knowledge Management and Research
Commercialisation Agendas. Current Issues in Tourism, 5(5), pp. 375-377.
• Gallié, E.-P. and Legros, D. 2012. French firms’ strategies for protecting
their intellectual property. Research Policy, 41(4), pp. 780-794.
• Zhang, X., Yuan, G., Mao, L. and Niu, J. 2012. Biocorrosion properties of
as-extruded Mg–Nd–Zn–Zr alloy compared with commercial AZ31 and
WE43 alloys. Materials Letters, 66(1), pp. 209-211.

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