In the future, more people will work for themselves, creating a huge market for bizarre products.
Scott Adams, ‘Dilbert’ creator
Monetize is all about how to make money – turning lemons into killer lemonade on a 105 degree day or even better on a 32 degree day. The challenge is that product and service innovation is part art and part technology. What worked before may not work in the future. Product extensions, brand extensions, and new features or functionality may not cut it. In addition, all companies are trying to do the same thing.
Designing a reliable and aesthetically pleasing product is difficult because of reduced product lifecycles. A 10-year product lifecycle may now be compressed into 2 years or even 1 year. There’s little time to adapt or modify the product. The right product must be delivered to the customer at the right time. If it’s not, the customer will shop around until he/she is satisfied.
Examples of rapid product innovation can be found all over. Hewlett-Packard wants 80% of its revenues to come from products that are less than 3 years old. Fashion designs change quarterly. Software is enhanced yearly. Twice as fast computer chips are introduced every two years. Even in the automotive industry, General Motors wants to halve product development time from the current 40 months to 24 months.
Consumers are also getting smarter. They’ll shop for the best buy, will pay for only what they really want, and will switch products or services in a heartbeat. What does this mean for companies, you, and me? Companies start thinking about just-in-time employment. People are hired for specific projects and when the project ends, people are placed in a new project pool.
Life Lesson Earned: Do you know how to monetize products or services? Think of the new competitive landscape as an opportunity to distinguish yourself from the competition.