MBA Essay: Incremental Innovation and Property Marketing

This essay delves into the significance of incremental innovation, particularly within the context of property marketing and the real estate industry. It begins by defining incremental innovation as a process of continuous improvement to existing products and services, contrasting it with radical innovation. The essay highlights the benefits of incremental innovation, such as maintaining market position, enhancing customer relations, and driving revenue growth, supported by examples like Coca-Cola and Cadbury. It discusses the stages of the innovation process, including idea generation, screening, experimentation, commercialization, and implementation. Furthermore, it emphasizes the importance of customer-centric approaches in incremental innovation, such as addressing customer pain points and utilizing existing products to build relationships. The essay concludes by illustrating how real estate industries leverage incremental innovations like 3D walkthroughs and home automation to improve customer experiences and maintain a competitive edge. Overall, the essay argues that incremental innovation is crucial for businesses seeking sustainable growth and market relevance.

Running Head: INCREMENTAL INNOVATION 0
INCREMENTAL INNOVATION
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6/12/2019

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Radical breakthrough innovations are ties innovation that has their focus on 40 per cent
positive on their innovation schemes. These kinds of innovations invest nearly around 15%
of the net sales in the activities of innovation (Kadareja, 2019). The breakthrough innovators
are good and better organizers for the strategies that can be used in innovations for utilizing
the high level of training, if there are high number of partners than there will be improved
sustained innovation culture supported by knowledge sharing trajectories within the firm.
This innovation finds it difficult to select the right ideas in order to commercialize.
Furthermore, specific attention needs to be drawn upon the financial availability of these
kinds of projects. While on the other eureka moments are those that cannot be bulk produced.
Managers need to heed expert guidance in order to cultivate the procedure of innovation by
setting the collaborative work spaces and team encouragement. All these kind of approached
ensure that with the help of the complete procedure, not any one or combination of them,
there can be warranty that valued and sudden intuitions will happen. The best mechanism
an innovation team can do to invite Eureka! Moments are to get away from their way
Example of a different industry’s incremental innovation. Coca cola and Cadbury are
the two brands that innovated by introducing extensions along with that the company
also developed new flavours and also the brand created new and different formats.
Also one more example is Wispa, it is popular brand for chocolate bar and is now
available in the form of hot chocolate and also a bag for snacking. By using the
incremental innovation, Cadbury is able to open new and additional ways for revenue
(Ritala, and Hurmelinna‐Laukkanen, 2013).
Incremental innovation is helpful for real estate because it helps in reforming small
steps that also help in facilitating investment into difficult and critical areas of the
financial services, energy,, transportation and the real estate among the others. The
iPhone signified a kind of radical innovation as it reimagined the scope of what a
“phone” could do and rewrote the rules for many markets where as an example for
incremental innovation can be a hybrid care that does not change the nature of the car
it just adds on new features (Grenville, 2017)
Radical and incremental both the innovations are interconnected to each other as radical
innovation follows the incremental innovation and it also helps in delivering large amount of
leaps forward based on efficiency and revenue and along with that the incremental innovation

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results into various benefits and it is tend to be more modest (Christensen, Raynor, and
McDonald, 2011).
.
Innovation is a way of implementing the new ideas and the methods that can be used as a
process which involves various activities in order to uncover the way of doing new things.
Innovations help in creating big opportunities that helps in growth of a company as well and
the economy. Companies that innovate are able to have a competitive edge in the market.
Innovations are of two types Radical and incremental innovation. Incremental innovation is
the extreme prevailing method of innovation. It is used to appraise the already existing
business products and services. These categories of innovation usually occur in corporate
industries. In order to realize innovation in the company a leader should be open minded
and collaborative. Feeling comfortable and managing changes are components of behavior
to innovate. This essay discusses about incremental innovation and its importance in the
real estate industry and property marketing.(Carrillo-Hermosilla, Del Río, and Könnölä,
2010).
Incremental innovation is a order of minor enhancements or promotions that a company
makes to current services and products. The changes usually done by the incremental
innovation are those which increase the development and efficiency of the already existing
products in command to bring competitive advantage in the market. Companies can also
revive the way products looks or appear in order to keep them updated with the current
tastes of the consumers. In the current competitive market incremental innovation is
something that should be encouraged as it makes the process faster and by making a
product better or faster can allow the customers to get attracted to the services or the
product. A key to incremental innovating is not to load a product with as many features as
possible but instead to make those features useable. Incremental innovation is an important
form of innovation as it allows a company maintain with competition and hold market
position. When an organization or a company brings incremental innovations to the market
before their competition it increases their inclination for the market position to improve and
also provides them a competitive edge in the market.
There are 5 stages of innovation process. The first step is idea generation and enlistment,
during this step, new ideas are generated and mobilization takes place when ideas are
moved to different logical and physical locations. Innovations can be originated from
development of existing products or roughly from the scratch. The second step is support
and screening. All ideas in innovations are not implemented and advocacy and screening

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helps in evaluating the idea and it also helps in measuring the potential problems and
benefits. The third stage is experimentation; under this the companies try or test a certain
innovation in order to see the response of the market and the customers. The forth step is
commercialization. Commercialization focuses on the market worth for the idea which
emphases on the latent impact. This makes the innovation or the idea more appealing to the
people. Commercialization is a state that shifts the emphasis from expansion of innovation to
influence. Once the indication or idea is illuminated and a business proposal is generated, it
will be set for implementation and. diffusion the last and fifth step is implementation and
diffusion and implementation are both the same things. Diffusion is something that happens
at every level of the organization or the invention or innovation to succeed; it will require the
proper properties, a marketing strategy for the consumers and exposed values with sturdy
encouragement. It is significant to diffuse and implement the thoughts (Christensen, Raynor,
and McDonald, 2011).
Incremental innovation is the most leading form of innovation. It is used to appraise the
already current business products and services. These types of innovation frequently occur
in the corporate trades. It is used to protect existing business models, grow revenue and
sales of current product and services and in order to generate a new business prototypical
that does not cannibalize existing corporate simulations (Un, 2010)
Radical innovation is an significant part in order develops innovative market, finding new
customers and outstanding competitive. Organizations should upsurge radical innovations in
order to remain competitive in the market. Some of the examples include the steam engine,
the commercialization of the internet, jet propulsion Wi-Fi, resulting from the allocation of
free spectrum (Xu, and Yan, 2014) Organizations also need radical innovations in order to
transformation the market and remain competitive against the people who implement radical
invention.
The differentiation among radical and incremental innovation is not applicable. incremental
innovation contains of improving the current products and radical innovation depends on
inventing completely new categories and products as they are totally new to the market
and an organization or the firm creates them.
Innovation performance is very important factor in the world today and it also helps in the
economic growth of the company. The degree of innovation decided among incremental and
radical innovation. Incremental innovation comprises of minor technological changes to the
already existing products while the radical innovation includes those technological
innovations that completely change the products (Robertson, Casali,. and Jacobson, 2012)

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Innovations can take place with radical changes. Managing innovation is an important
process. Incremental innovation helps in making changes on a day to day basis. Innovations
sometimes involves discontinues shift which changes the conditions. Innovation is mainly
used in order to m optimize and getting profit out of the system. Incremental innovation helps
in growth of an organization or a company as continues improvements can help in receiving
attention and also helps a company to achieve total quality management. A company is able
to improve its productivity and the production scale and the reason for this lies in the
continuous incremental problem solving innovation. This helps the companies to introduce
new process and products (Edquist, 2010)
Real estate industries and property marketing depends totally on customer relations as in
order to make the industry work, it is important for the industry to build trustworthy
relationship with the customers and that is the reason real estate industries depend on
innovation and automation for building customer relations. Real estate agencies depend on
the incremental digital innovations like ZILLOW and TRUILA in order to manage relationship
with the customers. Some examples of incremental innovation in real estate industries are
the customized payment plans which allows the customers loan facilities according to their
financial status, all this can also be availed at minimal zero down payment. Another
incremental innovation of real estate is the faster construction technique which includes
things like free fabrication and 3D printing which helps in the development of construction
projects in much less time. All these fast techniques help in increasing the demand of the
customers and facilitate faster and more precise construction (Dahlander and Gann, 2010).
There are various ways in which customers can be delighted by the use of incremental
innovation. The first thing while deciding on an incremental innovation is to focus on a
tangible customer pain point. A real estate company while doing property marking should
first find out the issues that the customers are facing. For a company or an organization
nothing is more important than the needs and wants of the customers, if a company is able
to keep the needs of the customers aligned with the innovations than the customers and the
organization both succeed. Incremental innovation can start with simple services such as by
providing the customer with well-designed customer service (Chesbrough, 2010)
The second way is to begin the testing of products with the customers immediately. This is
one of the most difficult part for any company as it is difficult to analyse if the needs and
wants of the customers are being satisfied or not and if the customer issues are solved by
the innovation. In case of real estate and property marketing the issues that customers face
are customer service issues and financial problems (Ramadani, and Gerguri, 2011) The next
step is to using the existing products and services in order to build relations with the

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customers. Once product has been identified and built it is then time to bring it to the market
for example building a new app for property search online. This helps in knowing the
updates for the incremental innovation.
The last step is to measure all the results and repeat the procedure. Once all the steps are
followed and the innovation is brought to the market and the organization it is important for
the company and the organization to know how much productivity and growth it has
achieved after the incremental innovation. Every company has different ways in order to
measure this. Incremental innovation is one of the best ways to handle the customers and
the partners on a daily basis without tackling everything in one go.
Some example of incremental innovation from real estate industries are the 3D walkthrough
innovation. This is one of those innovations that have taken the estate industry to a different
level (Ritala, and Hurmelinna‐Laukkanen, 2013) This innovation allows the property agents
to develop and design high quality of walkthroughs on the online portals to show the
customers the topographical aspects of the property on the devices. The industry mostly
uses the drone footage. This innovation is used in construction as well (Mahajan, 2010).
Another innovation is the home automation; this innovation n is being used in both
commercial and residential areas. These things works with internet. This innovation helps
the customers to regulate the home electrical and appliances through click of a button which
also ensures safety. Companies like Apple, Samsung and Nest have demonstrated many
commercials related to such devices which change lifestyle of the customers.
Incremental innovation is a key to success. Incremental innovation is involves small steps
and series that helps a business to be ahead of its competitors or peers. In various firms
innovation is practice of routine in command to be more effective and efficient and for the
other companies it is to attract the customers and add value to the business (Inauen, and
Schenker-Wicki, 2012). The pace of increment innovation is very high today and the
competition in the market is increasing day by day and that is the reason that innovators,
leaders and experts focus on building and creating breakthrough innovations in order to
create new market and technologies products and services. All these things help a company
to build competitive edge in the market (Kline, and Rosenberg, 2010)
Incremental innovation is breakthrough innovations that change the lives permanently and in
various cases in catapult the consumers and the users of business with the new rules and
benchmarks. Numerous incremental innovations have been a significant part of life.
Incremental innovations usually start with a normal platform and then lead to improvements.

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Once the ideas are improved the incremental improvements hold the key to mass adoption
(Norman and Verganti, 2014)
Real estate cannot have a radical innovation as the real estate as it cannot bring new
products in the market; it is not possible for the radical innovation to enter the real estate
(Mahajan, 2010).
There are few solutions for real estate are that they should know how to deal with multiple
projects at the same time, they should operate online and mange easily, iut should know
ways to manage the inventory, it should communicate quickly, should remember daily tasks
and should improve the efficiency of the business (Un, 2010).
Through this essay it can be concluded that incremental innovation is important as
Incremental innovation is a arrangement of minor enhancements or promotions that a
company makes to current services and products. The changes usually done by the
incremental innovation are those which increase the development and efficiency of the
already existing products in order to bring competitive benefit in the market. Incremental
innovation helps in economic growth and success of a company. Incremental innovation is
also one of the best ways to handle the customers and the partners on a daily basis without
tackling everything in one go. Apart from this incremental innovation helps real estate
industries as well few examples of real state industries are 3D walkthrough innovation and
home automation. Real estate agencies also depend on the incremental digital innovations
like ZILLOW and TRUILA in order to manage relationship with the customers.

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