I recently read the Marketing Gurus by Chris Murray (highly recommended), and a topic that really stuck out to me was the concept of renovating a business, product, idea, solution, etc., instead of innovating a completely new one. The latter route seems to be the more popular of the two. The book review that this concept came from is a few years old (2004), and was written by Sergio Zyman titled Renovate Before You Innovate.

Here are some reasons I gathered from the book (and from my own experience and education) that help to reiterate this point:

- Companies often times look at only innovating a new product. What they do in turn is ignore (or forget) that innovation means revamping and creating anew to benefit customers, consumers, and the business. “When it comes to identifying organic growth opportunities, an amazingly large percentage of companies are one-trick ponies, focusing only on coming up with new products, excluding anything else. What’s worse, the emphasis is often on quantity over quality.”

- Customers are the only thing that matter. No matter what you tell them, what you sell, or what you do, nothing matters but what they think. As such, it is important to take into account the following benefits that your product offers your customers: (you may remember this from your marketing or consumer behavior classes)

1. Emotional benefits – how your product or service made them feel.
2. Functional benefits – what makes your brand superior over your competitors, in their minds.
3. Attributes – the things that benefit the above benefits.

- Horizontal growth is less productive and beneficial to a company than vertical growth. Spreading your resources thin can make it hard to do business. “Trying to grow a business through innovation means spreading resources horizontally, developing new brands, new customers, and new directions. It’s a tremendously risky and expensive path to take.” (pg. 270)

Overall, there are many reasons to renovate something you have to make it better instead of spreading yourself, your brand, and your company so thinly. Instead, build your brand and products vertically, ever improving their quality. While the concept of “new” can generate you some buzz, longer lasting buzz will be generated when you show buyers that you are dedicated to creating a better product from what they’ve already fallen in love with. Lastly, create effective measurements so you can see where your renovations have been successful and not.