So what - why does it matter if you don't identify and understand disruptive innovation in the 21st century:
Leaders are distracted by all of the calls of "disruption". (Think "Dug" from the move UP, "squirrel!"
Learn to quiet the hype and the distractions.
There is a process to disruptive innovation that can be learned, Pattern of Disruptions.
This process has held up time, industry, and market. It can be tracked over centuries in many cases.
This process can be demonstrated. (1) Identify disruptive innovation, using the Pattern of Disruptions (Here's a link to my article that explains it https://thenextish-com.medium.com/disruptive-innovation-took-a-turn-d4d87d7d094a)
(2) Understand how to act with strategic clarity to create and to expand markets.
(3) Develop foresight to anticipate disruptions.
Instant Digital Issuance: An Overview With Critical First Touch Best Practices
So what? Disruption and the Future of Mobility - Marguerite Johnson, TheNextIsh.com
1. MASTER
CLASS
DETROIT, MI ~ JUNE 6 - 7, 2022
DIGIMARCONGREATLAKES.COM | #DigiMarConGreatLakes
Marguerite Johnson
AUTHOR, SPEAKER, FACILITATOR, PANELIST
THENEXTISH.COM
So what? Disruption
and the Future of Mobility
2. TheNextIsh.com®
Abbreviated Bio
Marguerite Johnson
Principal and Business Consultant | Pronouns:
She/Her/Hers
• Executive Coach
• Board Advisor
• Published Book Author
• Keynote Speaker
• Instructor
• Strategist
• MBA
• Patented Inventor
2
>
3. TheNextIsh.com®
English
About Us
Contact us to develop your NextIsh
We are a team of business growth consultants focused on
digital transformation and disruptive innovation.
Our clients are Global Brands and SMEs in a variety of markets:
Automotive, Consumer Packaged Goods, and Consumer
Electronics.
Services
Collaborate with
Executive Teams and
Boards
Partner on Innovation
Projects, Workshops,
and Strategies
Micro-Consulting
Office Hours: Ask-Me-
Anything (AMA)
We show up for our clients – in BIG ways and Small.
>
Metro-
Detroit,
Michigan
TheNextIsh.com
Schedule AMA +01 (248)
943-8146
Virtual
“Zoom”
4. Objective
TheNextIsh.com®
Part 1 : Consumer Marketing – The Future of Mobility.
Part 3 : Highlights and Conclusions.
Part 2 : Disruptive Innovations – The Future of Mobility.
Part 4 : Q&A. >
To provide you with the right lenses to filter the
Automotive Passenger Vehicle Market in the 21st
Century, giving order to complexity, and making
disruptive innovation simpler.
So What! Disruption and The Future of
Mobility
5. Disruptive Innovation has a
nonlinear pattern.
Disruptive Innovation and Digital
Transformation are complementary.
Disruptive Innovation is driven by
customers’ expectations.
>
So What! Disruption and The Future of
Mobility
Attendees learned:
Key Metrics
7. Audience Participation
Throughout the presentation, I’ll pause
for “BIG so what” moments.
When you see this phrase:
“So what! Now what?”
I want this side to boldly say:
And this side to boldly ask:
Let’s practice
So What! Disruption and The Future of
Mobility
>
8. Part 1 Consumer Marketing –
The Future of Mobility
For decades, companies have been
marketing new products and
innovations to consumers in a one-
way conversation – with brands telling
consumers what they want them to
want.
So What! Disruption and The Future of
Mobility
>
9. “If I had asked people
what they wanted, they
would have said faster
horses.”
– Henry Ford
[did not say this]
https://hbr.org/2011/08/henry-ford-never-said-the-fast
So What! Disruption and The Future of
Mobility 9
>
10. P. 272
On the last page and in the last paragraph of this book:
“We believe that the
concept of innovation is in
transition between a theory
of random trial and error and
perfectly predictable paint-
by-numbers rules. We think
of this transitional period as
the ‘era of pattern
recognition’.”
So What! Disruptions and The Future of
Mobility 10
>
11. What if consumers
have been telling us
what they want for
decades? But we
haven’t been listening.
So What! Disruptions and The Future of
Mobility 11
>
12. Scientific Approach
Diagram Source: Understanding Science. 2021. University
of California Museum of Paleontology. 3 January 2021
Observed-
phenomenon
Historical
Use-Cases
Literature
Review
Peer
Discussion
s
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✔
✔
✔
✔
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2
So What! Disruptions and The Future of
Mobility
>
13. Published (2021)
Available Now:
Online Bookstores:
• Amazon.com (over 19-countries)
• BarnesAndNoble.com
• Target.com
• Walmart.com
Continuous eLearning websites:
• Skillsoft.com
• OreillyMedia
Universities and Public Libraries
13
So What! Disruptions and The Future of
Mobility
>
Publisher: BusinessExpertPress.com
14. Disruption is a nonlinear process of creating new
products, services, business models, and/or
platforms that…
(1) redefines customers’ expectations,
(2) changes consumers’ purchasing behaviors, and
(3) creates new standards for customer value.
(A)
Disruption starts in the low-end of a market,
making products that are more accessible
(simpler features and cheaper performance),
but ultimately improving to compete upmarket
to threaten incumbents.
(B)
Disruption is Digital that enables
technology companies (such as Salesforce,
Intuit, Microsoft, Intel).
(C)
14
So What! Disruptions and The Future of
Mobility
Silent Poll
>
Definitions of “Disruptive
Innovation”
Where the Journey Began
16. Part 2 Disruptive Innovations–
The Future of Mobility
Evidence of disruptive innovation
dates back centuries.
It can be found in some of the world’s
oldest markets.
So What! Disruption and The Future of
Mobility
>
17. Historical Use-Cases
Demonstrates a Pattern of
Disruptions:
•Music – 1877 to now
•Cars – 1886 to now
•Mops – 1893 to now
•News Media – 1900’s to now
•Smartphones – 1973 to now
•Digital Economy – 1997 to now
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7
So What! Disruption and The Future of
Mobility
✔
✔
18. Timeline created by tbgurl225: TimeToast.com
Accessible Dependable Reliable Usable Delightful
“..recording companies
struggled to get beyond
the three and four minute
playing barriers that had
been in place since the
phonograph’s inception.”
“By this point the big record
companies realized that
creating a longer-playing
record would require a
tougher medium that could
hold a smaller groove. They
would also require more
sensitive electromagnetic
pick-ups that would not
rapidly wear down the
records.”
1930
Micro-groove technology and “…the introduction of vinyl resins.
…allowed the discs to be cut with 224 to 226 grooves per inch,
which was a massive improvement over the former 80 to 100
grooves per inch....”
2020 music storage restarts the
pattern, bringing with it all of the
disruptions from the prior cycle.
Apple One offers customers Apple
Music, Apple TV+, Apple Arcade,
iCloud, and more services in one
simple plan. Apple owners can access
more content-using the same device.
April 28, 2001-2003 —Apple® today launched the iTunes® Music
Store, a revolutionary online music store that lets customers quickly
find, purchase and download the music they want for just 99 cents
per song, without subscription fees. (apple.com)
2011 Apple introduced iCloud for music storage, which untethered music from
physical products, dematerializing music storage. iTunes expands access to
music-from single downloads limited by the capacity of the iPod-to unlimited
subscriptions "bulk" sales.
Meaningfulness
Notice the decreasing lifespan of innovations:
94-years (1888-1982) vinyl music was dominated by “dependable”.
27-years (1983-2010) music player systems controlled “reliable”.
9-years (2011-2020) music as a service/platform business model (interoperable within an
ecosystem of devices), dominated both “usable” and “delightful”.
Music *by format*
18
So What! Disruption and The Future of
Mobility
19. 19
Digital has the ability to drive cost to near zero and simultaneously scale.
➢In 1999 CD units and revenue were 80-85%.
➢In 2020 digital business models were 80% of revenue, but units were at an industry low.
We’re going to talk more about why this occurs and when it occurs in a later slide.
Music *by format*: $ vs. Units
So What! Disruption and The Future of
Mobility
20. Accessible
Reliable
Dependable Usable
Delightful
Meaningfulness
• Vehicle communications platforms:
Vehicle to Everything (V2X), Vehicle-
to-Vehicle (V2V)
• Semi-autonomous Advanced Driver
Assistance Systems (ADAS)
• Infrastructure: 5G networks, EV
charging, mobility services (robotaxis,
on-demand parking, …)
• Advancements in cloud computing
enables virtualization machines –
eliminating hardware, increasing
design flexibility, uptime, and faster
speeds by decoupling physical
machines, and so much more!
• Seat belts & wind shield (1924)
• Crash test (1934)
• First head lights (1947)
• Three point seatbelt (1958)
• Front head rest (1959)
• Child booster seat (1978)
• Center break lights (1986)
• Front crash test (1995)
• Anti skid (2009)
• Autonomous braking (2012)
• Ford Model T Assembly line
• One color (mass production)
• Connected traveller across
mobility applications and
modes of transportation.
• Virtual purchases; O2O
(Online-to-Offline)
• Subscription services
(entertainment platforms).
• Next generation servicing.
• Comfort features and
functions expanded beyond
the driver to all occupants.
• Shift from singular drivability
- to passenger destination-
ability. Multi-modal
consumers need both.
• Fully autonomous driving
platforms.
• Marketplace is the vehicle.
Pattern of
Disruptions
Legend: The
smaller colored
dots match the
“product/service”
images with the
disrupters in the
pattern.
20
So What! Disruption and The Future of
Mobility
Cars Products and Services.
>
21. Accessible
Reliable
Dependable Usable
Delightful
Meaningfulness
• e-Commerce (direct to consumer)
• Share Economy (peer-to-peer)
• Subscription (on-demand)
• Service-digital (over-the-air)
• Free-mium (ad supported)
• Open Innovation (e.g. MIT Climate CoLab)
• Networked Innovation Ecosystems
• Just-In-Time, Six Sigma, Lean
• Predictive Analytics AI/ML
• Robotic Process Automation (RPA)
/ Machine Vision
• Land & Physical buildings
• Technology Platform to
increase access
• Exchange platforms (ad supported)
• Marketplace platforms for owner/share/etc.
• Multisided platforms “network effects”
• Technology Platform (architecture)
• Voice Assistance
• Open Source
Legend: The
smaller colored
dots match the
“business model”
images with the
disrupters in the
pattern.
Pattern of
Disruptions
Cars Business Models.
>
21
So What! Disruption and The Future of
Mobility
22. • Using this imaginary scale of a
value equation – starting with
physical products and business
models – and moving up
(transforming) with digital
capabilities:
• Business model innovations
will surpass products and
services.
• Particularly, when they reach
digital platform models’
direct and indirect network
effects.
Products/Serv
ices
Business
Models
>
22
So What! Disruption and The Future of
Mobility
Value Equation Shifting.
Incremental
Value (+)
Exponentia
l Value (X)
24. Part 3
Highlights
There are no secrets to success. It is
the result of preparation, hard work,
and learning from failure.
So What! Disruption and The Future of
Mobility
>
25. Source: Marguerite L. Johnson. 2021. Disruptive Innovation and
Digital Transformation, Business Expert Press.
After customers gain access to a
disruptive innovation (product,
service, or business model), they
move on to create expectations for
value creation and behaviors in the
next disrupters.
Disrupters are impacted by
developments in previous disrupters.
A product, service, or business model
can be disrupted multiple times,
including within the same disrupter -
before customers' expectations
result in changes to consumers
purchasing behavior.
It’s an evolutionary lifecycle that can
be used for all markets, sectors, and
industries.
Accessible:
breaks down
barriers to
ownership/co
nsumption.
Dependable:
quality,
measured by
uptime.
Reliable:
infrastructure
safety (assets) and
digital networks
(data)
Usable: expanded
utility for purposes
not originally
intended enabled by
digital connectivity.
Delightful: intense
focus on user
experience through a
digital platform (or
multisided platform).
Meaningfulness:
targets Megatrends,
e.g. climate change
and sustainability;
urbanization; aging;
disparities and
inequalities.
Pattern of
Disruptions
Categories of
Customers’
Expectations
Principles Pattern of Disruptions.
>
25
So What! Disruption and The Future of
Mobility
26. Six Disrupters Pattern Pioneers
Marguerite Johnson
(Book 2021)
B2B marketers
(MIT article 2018)
Deloitte Univ. Press
(White Paper 2015)
Accessible ✓ ✓ ✓
Dependable ✓ ✓
Reliable ✓ ✓ ✓
Usable ✓ ✓ ✓
Delightful ✓ ✓
Meaningfulness ✓ ✓
Other Innovation lifecycle of changing
consumer purchase behaviors.
“Distribute product development:
mobilizing many to create one.”
26
So What! Disruption and The Future of
Mobility
>
Comparison Patterns.
27. The digital era
demands new lenses to
detect disruption
because digital drives
out costs, it scales, and
it increases value
(sometimes
exponentially).
So What! Disruption and The Future of
Mobility 27
>
28. 5 of 10 World’s Most Valuable Companies
Drive Value thru Platform Business Models.
>
So What! Disruption and The Future of
Mobility 28
30. • The lifetime of any innovation is shrinking.
• Incremental innovations are insufficient to hold off disruptions.
• Continuing to innovate exclusively with products and services
leaves the door open for digital platform businesses to absorb
value.
• Understanding the Pattern of Disruptions –and its nonlinear
principles– will help innovative companies detect, track, and
maneuver to be the Disruptors.
Conclusions
So What! Disruption and The Future of
Mobility 30
>
31. Disruption is a nonlinear process of creating new
products, services, business models, and/or
platforms that…
(1) redefines customers’ expectations,
(2) changes consumers’ purchasing behaviors, and
(3) creates new standards for customer value.
Disruption starts in the low-end of a market,
making products that are more accessible
(simpler features and cheaper performance),
but ultimately improving to compete upmarket
to threaten incumbents.
Disruption is Digital that enables technology
companies (such as Salesforce, Intuit, Microsoft,
Intel).
31
So What! Disruption and The Future of
Mobility
>
Definitions of “Disruptive
Innovation”
Where the Journey Began
Poll Feedback.
(A) 1995 – 2014 | The Beginning
(B) 2015 – 2016 | Digital Awakening
(C) 2017 – Present | Now and Now
33. Key Results
Disruptive Innovation has a
nonlinear pattern.
Disruptive Innovation and Digital
Transformation are complementary.
Disruptive Innovation is driven by
customers’ expectations.
>
So What! Disruption and The Future of
Mobility 33
Attendees learned: