Innovation and Commercialization - Importance of Commercial Funnel and New Product Development for Essence Drinks

This presentation discusses the importance of commercial funnel and new product development for commercialization of innovation in Essence Drinks. It also explores ways to access funding and evaluates different tools for IP and knowledge protection. The presentation critically evaluates the nature of innovation along with the context that facilitates development with evidence-based judgments.

Innovation and
Commercialization

Content
 Importance of commercial funnel and application of new product development processing for
commercialization of innovation
 Building an innovation business case for Essence Drinks, including ways to access funding
 Detailed innovation business case
 Evaluating different tools in regard to wider business environment
 Critically evaluate the nature of innovation along with the context that facilitates
development with evidence-based judgements.
 CONCLUSION
 REFERENCES

Importance of commercial funnel and
application of new product development
processing for commercialization of innovation
 Commercial funnel is defined as marketing tool through which many
organizations in the business world find, qualify and trade their products to
target customers (Teixeira, Benedet and Velasco, 2020).
 It is quite essential and beneficial for Essence Drinks in term of generating
awareness among buyers and determining issues which enable firm to solve it
by producing quality items.

New product production
 Idea generation
 Idea screening
 Concept testing
 Business analysis
 Product development
 Test marketing
 Commercialization

Building an innovation business case for Essence
Drinks, including ways to access funding
 Executive summary: Due to competitive environment, each company has
taken attempts and one steps ahead in context of gaining benefits and
increasing sales, which is quite essential. Essence Drinks also do so in
term of producing a new lassi, which is much delicious than earlier mango
lassi as it carries single flavour. By using venture capitalist option,
company has get success in term of launching the new lassi in the market.

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 Mission: The mission of Essence Drinks is to leave a mark of its company in
market, where customers get attracted towards their new products.
 Vision: The vision of firm is to gain competitive edge by providing top category
lassi to customers.
 Satisfaction of innovation: The key elements that provide full satisfaction of
innovation in term of new lassi.
 Opportunities in market for new item: Essence Drinks have great opportunity
in market in context of its new product because the number of rivals are
accessible who are unable to produce this kind of lassi.

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 Competitive edge: Firm have chance to grow its venture and get success in term
of increasing profitability and sales level after selling new lassi in market.
 Target market: By using STP model, company may target those people who are
more inclined towards the healthy drinks. It may use demographic and behavioral
segmentation strategies to target these people as target customers. For positioning
purpose, company may use digital marketing channels and tools, which help
management in terms of influencing mind of buyers.
 Marketing strategies: Social media marketing is the best because it helps to
spread any information with second at global level, which is quite beneficial in
term of saving time and money.

Ways of findings
 Equity financing: It considered as procedure of raising capital via selling shares
in market (Fu and et.al., 2021). Most of the companies in recent time raise money
because they may have a short term need to innovate something new etc.
 Venture capitalist: It is one of the most commonly utilize and easiest form of
funding. Venture capitalist is define as private equity investors that provides
money to those firms that exhibiting high progress potential in exchange for an
equity stake.
 Bank financing: It is the most common and traditional financing approach, where
a company may take loan after applying it and getting their approval.

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From above discussion, it can be said that bank financing is the best option for
Essence Drinks, through which it may receive money to produce the best lassi
every day.
Budget- Resources Amount (£)
Employees’ salaries 2000
Collecting new tools and equipment's 2500
Conduct Market research 1200
Marketing tactics and usage of channels 1800
Selling 3000
Total 8700

Detailed innovation business case
There are several factors which examine
innovation business case of Essence
company:
 A thought:
 Idea development
 Strategies and implementation plans
 Analyzing market

Evaluation different tools that companies can utilize to
develop, retain and protect IP and knowledge
 Patent- It is an exclusive right provided for an invention, which is a service, process
or product that caters (Grzegorczyk, 2020). In general, a new way of producing
somethings of offer a unique item that satisfy needs of customers and fulfill the
expectations of business as well.
 Copyright- Just like above, copyright is also included in list of IP tools that protect
work and important information of companies from their competitors (Chatterjee,
2020).
 Trademark- It is a kind of intellectual property that consist a recognizable sign,
expression or design which determines goods/ services of specific source.

Evaluating different tools in regard to wider business
environment
Basis Strengths Weaknesses
Patent The key strength of patent as IP tool is that it protect for a
pre-identified period, permitting user to keep rivals away
from its valuable and precious resources.
The negative thing about patent is that it consumes a lot of
time and might be lengthy while a person conducts it into
practical manner.
Trademark This tool helps companies in term of protecting them
against infringement.
The most negative fact about trademark is that its
registration fee and renewal fee is quite expensive, which is
not affordable for some ventures.
Copyright The best thing about copyright is that it protect a
organization broachers, important documents and annual
reports for longer period of time.
The main drawback for this tool is that it protects aspect of
idea, not idea itself.

Critically evaluate the nature of innovation along with the
context that facilitates development with evidence-based
judgements.
Innovation is considered as an important factor in every organisation. In aspect of Essence Drinks,
innovation is significant but it may also hinder the progress of the organization. The nature of
innovation is aspect of Essence Drinks is discussed below:
 Customer connection
 Innovation strategy
 Empowerment

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Occurrence Invention takes place when a new idea
strikes in the mind of scientist.
Innovation occurs when the organization
feels a need of developing or improving a
new product.
Skills The skills that are mandatory for invention
are scientific skills.
The mandatory skills for innovation are
strategic, marketing and technical skills.
Activities
involves
The activities of invention is limited to the
extent of Research and Development
department of the organisation.
The activities involved in innovation is
basically spread across the whole
organization.
Concern The concept of invention is concerned with
a specific product, process or service.
The concept of innovation is concerned
with a blend of various products, services
and processes.

CONCLUSION
By summing up above analysis, it has been inferred that innovation contribute to boost
the growth of company and increase its sale level even better than rivals. By
supporting and motivating workers, leaders have built effective workforce that
contribute to increase the productivity and performance level of venture. Furthermore,
from above discussion, it has been concluded that by using innovation funnel and
frugal innovation, company has gained competitive edge and leading at top position in
market. By taking loan from bank and using the most appropriate IP tool, organization
has successfully protecting their knowledge and retaining workers for longer period of
time.

REFERENCES
 Teixeira, J. M., Benedet, G. V. and Velasco, J. L., 2020. LEMME-X: an agile
approach applied in the creation of personas, sales funnel and customer
journey in the company MAKING. e-Revista LOGO. 9(1). pp.01-21.
 Fu, H. and et.al., 2021. 3PL firm’s equity financing for technology innovation
in a platform supply chain. Transportation Research Part E: Logistics and
Transportation Review. 147. p.102239.
 Hossain, M., 2020. Frugal innovation: Conception, development, diffusion,
and outcome. Journal of Cleaner Production. 262. p.121456.