Innovation and IP
Innovation can be the implementation of a new or significantly improved product (good or service), process, organisational method, technology marketing method, or business model. Innovation generally refers to the process of idea conception through to launching a new product or process in the market place. Intellectual property rights can be an effective way to assist in successful innovation of your idea. An innovative idea should be treated as a secret until you have formally registered or secured ownership of the innovation.
Testing an innovative idea
The Department of Industry, Innovation and Science has developed the Eight tests of an innovative idea below to assess your innovative idea before moving to the commercialization stage.
- Valuable benefits - Does the innovation provide benefits that are clearly superior to existing alternatives? Can you articulate the 'value proposition' of what is new and innovative to your customers?
- Scale up the innovation - Can the innovation be mass produced with consistent quality to satisfy the market need?
- Marketing research and strategic market planning - Have you assessed demand and do you have a channel to the consumer? This includes design, branding, pricing, distribution, sales, and other factors. Have you updated and included your Marketing Plan? Read our Market Research topic to get started.
- Leadership team - Do the key people involved in this innovation have the knowledge, skills, experience and courage to take it through to commercialisation? Our Innovation topic includes further information on commercialization and how to get your idea to market.
- Intellectual property - Do you have control over the intellectual property (IP) for the innovation? Have you registered your IP rights or secured them through licence arrangement?
- Return on investment - Will the innovation generate enough profit to make it worthwhile? You need to consider risk and the time the innovation will take to implement.
- Corporate social responsibility - Will the innovation have financial, environmental and social benefits?
- Strategic fit - Is the innovation consistent and aligned with your business's overall business strategy? Our Innovation case studies are useful to find out read about how small ideas have lead to big successes for other small businesses.