INNOCENTIVE CASE STUDY
The New Strategic Business Model that combines Incentive and Innovation
• Type of business: E-Business
Online community of 160,000+ global researchers in more
than 175 countries
• Founded in: 2001 / Owned by: Alpheus Bingham
Innocentive offers expertise knowledge and creativity from
talented outsources candidates to companies that need to
solve Research & Development problems in Engineering,
Math, Physical Science, Computer Science, Business,
Chemistry and Life Sciences
Online posting problems offers that need research,
development, and innovation assistance
Seekers (companies who post challenges): Corporate and
Solvers (people who solve challenges): Researchers, scientists,
engineers, and mathematicians from around the world
• Philoptima, llc.™
Founded in: 2007
Located at: New Orleans, USA
• Philoptima is a business internet company that offers private
solutions searches for foundations, donors and other grant
makers posing challenges with cash prizes.
Founded in: 2000
Located at: Cleveland, USA
• NineSigma offers a marketplace for seekers and solvers of
solutions and connects clients with opportunities to make
workable connections to solve their business and technology
CAN THE INNOCENTIVE MODEL APPLY OFFLINE AS WELL
OR IT IS A UNIQUE TO THE WEB?
• First of all, I note that the Innocentive’s concept was
first applied offline through traditional annual
Research & Development Challenges and regional or
• But nowaday, it is indisputable that it is easier and
more strategic for companies to post challenges online
because thanks to Internet challenges are visible and
accessible at any time all around the world.
• Consequently, thanks to the Innocentive’s business
model, companies can save time, multiply their
resources and increase the number of solutions with
lower costs compared to the traditional offline way.
• To conclude, because the Innocentive’s model is
effective and economic, I note that more and more
websites (Netflix, Glodcorp, FellowForce,
IdeaCrossing…) offer cash awards for innovative
solutions to problems by applying a business model
based on Crowdsourcing and Open innovation.
IS THE INNOCENTIVE MODEL SCALEABLE,
• Because Innovation is today one of the most important
requirement for growth and profitability, companies spend
high Research and Development budget in order to
increase their competitiveness on the market.
• But for companies, it is becoming financially more and
more difficult to improve continuously their business
technologies and find innovations.
• Consequently, large corporations are now looking for
external resources to solve their internal problems and
reduce their Research & Development budget.
• For this main reasons, I can say that the Innocentive model
is scaleable and sustainable because all types of companies
and business will be always concerned and confronted to:
Competitiveness and innovative solution with effective
Human Resources and High profit with low cost.
• And I can also conclude that the Innocentive ‘s business
model will always be helpful for companies all around the
world because it makes them competitive at a lower price.
HOW WOULD I CAN INCREASE
THE INNOCENTIVE BUSINESS MODEL?