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INNOVATION IN
E-COMMERCE
Insights from an upcoming and growing home &
living online store
07.11.18Boye 18 Conference 1
Aarhus, Boye 18, 7th November 2018
Twitter: @kris_lohmann
powered by
ABOUT ME
07.11.18Boye 18 Conference 2
About Kris Lohmann
• Manager yourhome.de, started @ OTTO as
Product Manager e-Commerce
• Worked as UX Designer & UX-Lead
• Academic background: Human-computer
interaction
08.11.18Boye 18 Conference 3
Boye 18 Conference 4
ABOUT YOURHOME.DE
07.11.18
Boye 18 Conference 9
ABOUT INNOVATION
07.11.18
07.11.18Boye 18 Conference 10
07.11.18Boye 18 Conference 11
08.11.18Boye 18 Conference 13
“Innovation is the target of
investment.
And investment creates
growth“
Clayton Christensen
Incremental Innovation*
07.11.18Boye 18 Conference 14
*Clayton Christensen calls this type of innovation sustaining innovation
Source:
https://en.wikipedia.org/wiki/Ford_Model_T#/media/File:1925_Fo
rd_Model_T_touring.jpg by ModelTMitch licenced by CC BY-SA 4.0
Source:
https://en.wikipedia.org/wiki/Toyota_Prius#/media/File:2016_Toy
ota_Prius_(ZVW50R)_Hybrid_liftback_(2016-04-02)_01.jpg by
Kārlis Dambrāns licenced by CC BY 2.0
Disruptive Innovation
07.11.18Boye 18 Conference 15
SEWilco - Own work
Source:
https://en.wikipedia.org/wiki/Encyclop%C3%A6dia_Britannica#/me
dia/File:Encyclopaedia_Britannica_15_with_2002.jpg by SEWilco
licenced by CC BY-SA 3.0
Innovation From a Product Perspective
07.11.18Boye 18 Conference 16
The Product Life-Cycle
Development
Introduction
Growth
Maturity
Decline
Benefits
Time
End of
Life
How to Decide Which Bets to make?
08.11.18Boye 18 Conference 17
The Dimensions of Evaluation of Bets for Incremental Innovation
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
Trigger Questions for the Evaluation of
Potential Benefits
• Potential Benefits
• Does it solve a customer or user
problem? Directly or indirectly?
• Is it unique in the marketplace and,
thus, a competitive advantage?
• Is it inline with your product
strategy?
07.11.18Boye 18 Conference 18
Potential Benefits
Trigger Questions for the Evaluation of
Effort, Complexity and Risk
• How much effort will it be?
• How long will it keep your
organization occupied?
• How costly will it be?
• Will it have follow-up cost?
07.11.18Boye 18 Conference 19
Effort
Trigger Questions for the Evaluation of
Effort, Complexity and Risk
• Does it add complexity to your
technical system?
• ... in future prosesses?
07.11.18Boye 18 Conference 20
Complexity
Trigger Questions for the Evaluation of
Effort, Complexity and Risk
• How much do you know about it?
• Is the necessary skill available in your
organization and/or ecosystem?
• Is the (technological) ecosystem
available and widespread?
07.11.18Boye 18 Conference 21
Risk
How to Decide Which Bets to make?
07.11.18Boye 18 Conference 22
The Dimensions of Evaluation of Bets for Incremental Innovation
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
Big Bets
Small
Bets
How to Decide Which Bets to make?
07.11.18Boye 18 Conference 23
The Dimensions of Evaluation of Bets for Incremental Innovation
Big Bets
Small
Bets
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
Don‘t bet
here!
How to Decide Which Bets to make?
07.11.18Boye 18 Conference 24
The Dimensions of Evaluation of Bets for Incremental Innovation
Big Bets
Small
Bets
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
Don‘t bet
here!
Breakdown
possible?
Big Bets vs. Small Bets
07.11.18Boye 18 Conference 25
Big Bet
Small Bet
Reference: HBR, „The Essentials“, Kanter: 117
Big Bet
Small Bet
Distribute Your Bets
07.11.18Boye 18 Conference 26
Big Bets vs. Small Bets
Boye 18 Conference 27
EXAMPLES FROM
YOURHOME.DE
07.11.18
Boye 18 Conference 28
USER GENERATED
CONTENT
07.11.18
08.11.18Boye 18 Conference 29
08.11.18Boye 18 Conference 30
07.11.18Boye 18 Conference 39
#fail
Boye 18 Conference 42
GLOBAL ACTION
BANNER
07.11.18
08.11.18Boye 18 Conference 43
Anpassen mit YH-
Screenshots
07.11.18Boye 18 Conference 47
Boye 18 Conference 48
AUGMENTED REALITY
07.11.18
Augmented Reality: Initial Evaluation
07.11.18Boye 18 Conference 49
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
How to Decide Which Bets to make?
07.11.18Boye 18 Conference 50
The Dimensions of Evaluation of Bets for Incremental Innovation
Big Bets
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
Breakdown
possible?
Boye 18 Conference 51
AUGMENTED REALITY:
TECHNOLOGY
EVALUATION
07.11.18
Möbel in AR
Imagine there is no border between the virtual and
the real.
And that is just the beginning…
08.11.18Boye 18 Conference 54
With theAR app, users can
experience,
• howproductslookathome,
• iftheyfittheroom,
• andsubsequentlyeasilyorderonline
withoutopeningthefrontdoor.
Featuring in the
Apple App Store in the
category „New Apps“
Mentioned in the
offizial Google Blog
Auf der Google.IO 2018
bedankt sich Google für
die gute Zusammenarbeit
Augmented Reality: Initial Evaluation After
Technical Evaluation
07.11.18Boye 18 Conference 58
PotentialBenefit
Effort / Complexity / Risk
highlow
low high
Boye 18 Conference 63
WHAT TO REMEMBER?
07.11.18
07.11.18Boye 18 Conference 64
07.11.18Boye 18 Conference 65
07.11.18Boye 18 Conference 66
THANKS!

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Innovation in e-Commerce: Insights From an Upcoming and Growing Home & Living Online Store (Public Version)

  • 1. INNOVATION IN E-COMMERCE Insights from an upcoming and growing home & living online store 07.11.18Boye 18 Conference 1 Aarhus, Boye 18, 7th November 2018 Twitter: @kris_lohmann powered by
  • 3. About Kris Lohmann • Manager yourhome.de, started @ OTTO as Product Manager e-Commerce • Worked as UX Designer & UX-Lead • Academic background: Human-computer interaction 08.11.18Boye 18 Conference 3
  • 4. Boye 18 Conference 4 ABOUT YOURHOME.DE 07.11.18
  • 5.
  • 6. Boye 18 Conference 9 ABOUT INNOVATION 07.11.18
  • 9. 08.11.18Boye 18 Conference 13 “Innovation is the target of investment. And investment creates growth“ Clayton Christensen
  • 10. Incremental Innovation* 07.11.18Boye 18 Conference 14 *Clayton Christensen calls this type of innovation sustaining innovation Source: https://en.wikipedia.org/wiki/Ford_Model_T#/media/File:1925_Fo rd_Model_T_touring.jpg by ModelTMitch licenced by CC BY-SA 4.0 Source: https://en.wikipedia.org/wiki/Toyota_Prius#/media/File:2016_Toy ota_Prius_(ZVW50R)_Hybrid_liftback_(2016-04-02)_01.jpg by Kārlis Dambrāns licenced by CC BY 2.0
  • 11. Disruptive Innovation 07.11.18Boye 18 Conference 15 SEWilco - Own work Source: https://en.wikipedia.org/wiki/Encyclop%C3%A6dia_Britannica#/me dia/File:Encyclopaedia_Britannica_15_with_2002.jpg by SEWilco licenced by CC BY-SA 3.0
  • 12. Innovation From a Product Perspective 07.11.18Boye 18 Conference 16 The Product Life-Cycle Development Introduction Growth Maturity Decline Benefits Time End of Life
  • 13. How to Decide Which Bets to make? 08.11.18Boye 18 Conference 17 The Dimensions of Evaluation of Bets for Incremental Innovation PotentialBenefit Effort / Complexity / Risk highlow low high
  • 14. Trigger Questions for the Evaluation of Potential Benefits • Potential Benefits • Does it solve a customer or user problem? Directly or indirectly? • Is it unique in the marketplace and, thus, a competitive advantage? • Is it inline with your product strategy? 07.11.18Boye 18 Conference 18 Potential Benefits
  • 15. Trigger Questions for the Evaluation of Effort, Complexity and Risk • How much effort will it be? • How long will it keep your organization occupied? • How costly will it be? • Will it have follow-up cost? 07.11.18Boye 18 Conference 19 Effort
  • 16. Trigger Questions for the Evaluation of Effort, Complexity and Risk • Does it add complexity to your technical system? • ... in future prosesses? 07.11.18Boye 18 Conference 20 Complexity
  • 17. Trigger Questions for the Evaluation of Effort, Complexity and Risk • How much do you know about it? • Is the necessary skill available in your organization and/or ecosystem? • Is the (technological) ecosystem available and widespread? 07.11.18Boye 18 Conference 21 Risk
  • 18. How to Decide Which Bets to make? 07.11.18Boye 18 Conference 22 The Dimensions of Evaluation of Bets for Incremental Innovation PotentialBenefit Effort / Complexity / Risk highlow low high Big Bets Small Bets
  • 19. How to Decide Which Bets to make? 07.11.18Boye 18 Conference 23 The Dimensions of Evaluation of Bets for Incremental Innovation Big Bets Small Bets PotentialBenefit Effort / Complexity / Risk highlow low high Don‘t bet here!
  • 20. How to Decide Which Bets to make? 07.11.18Boye 18 Conference 24 The Dimensions of Evaluation of Bets for Incremental Innovation Big Bets Small Bets PotentialBenefit Effort / Complexity / Risk highlow low high Don‘t bet here! Breakdown possible?
  • 21. Big Bets vs. Small Bets 07.11.18Boye 18 Conference 25 Big Bet Small Bet Reference: HBR, „The Essentials“, Kanter: 117
  • 22. Big Bet Small Bet Distribute Your Bets 07.11.18Boye 18 Conference 26 Big Bets vs. Small Bets
  • 23. Boye 18 Conference 27 EXAMPLES FROM YOURHOME.DE 07.11.18
  • 24. Boye 18 Conference 28 USER GENERATED CONTENT 07.11.18
  • 28. Boye 18 Conference 42 GLOBAL ACTION BANNER 07.11.18
  • 29. 08.11.18Boye 18 Conference 43 Anpassen mit YH- Screenshots
  • 31. Boye 18 Conference 48 AUGMENTED REALITY 07.11.18
  • 32. Augmented Reality: Initial Evaluation 07.11.18Boye 18 Conference 49 PotentialBenefit Effort / Complexity / Risk highlow low high
  • 33. How to Decide Which Bets to make? 07.11.18Boye 18 Conference 50 The Dimensions of Evaluation of Bets for Incremental Innovation Big Bets PotentialBenefit Effort / Complexity / Risk highlow low high Breakdown possible?
  • 34. Boye 18 Conference 51 AUGMENTED REALITY: TECHNOLOGY EVALUATION 07.11.18
  • 36. Imagine there is no border between the virtual and the real. And that is just the beginning…
  • 38. With theAR app, users can experience, • howproductslookathome, • iftheyfittheroom, • andsubsequentlyeasilyorderonline withoutopeningthefrontdoor.
  • 39. Featuring in the Apple App Store in the category „New Apps“ Mentioned in the offizial Google Blog
  • 40. Auf der Google.IO 2018 bedankt sich Google für die gute Zusammenarbeit
  • 41. Augmented Reality: Initial Evaluation After Technical Evaluation 07.11.18Boye 18 Conference 58 PotentialBenefit Effort / Complexity / Risk highlow low high
  • 42. Boye 18 Conference 63 WHAT TO REMEMBER? 07.11.18