Telcos' innovation strategies have been shown up in a new report, which laments a continued protection of their core business activities. The report from management consultants Arthur D. Little, Match-Maker Ventures and The Telecom Council of Silicon Valley, noted that realising value from innovation remained "elusive". Over two-thirds (67 percent) of telco respondents said that innovation is among their top three strategic priorities, but only 34 said they were satisfied with their innovation activities. The report noted that their approaches were often "shallow" and "scratching the surface". "Observing and mimicking often is the key, instead of true innovative thinking," it said. A desire to protect the status quo and shareholder pressure were two reasons for this, according to the report.
In this article, Arthur D. Little Partner Wilhelm Lerner and Principal Lars Riegel are interviewed regarding the consumer goods market in Germany. They point out new trends and strategies for fast moving consumer goods. Both experts see problems ahead for German businesses: compared to other countries Germany has a very low margin especially for groceries. These low margins make it difficult to invest in modern IT technologies. In addition, German retailers are not yet renowned for their expertise with new media and special services. Nevertheless, new IT technologies and improving services are going to have an increasing influence on shoppers globally and brands should therefore create an emotional brand experience to attach people to their brands.
This leading technology publication reviews Arthur D. Little and Volvo’s joint white paper on the need for board executives to see IT as a competitive weapon and recognise the importance of making the right IT investment choices. The piece includes an image of the white paper and a download button to access the full report from Arthur D. Little’s website.