Is it Disruptive?


It’s hard to hear a pitch, listen to a speech, or read blogs without hearing/seeing a claim that some cool new thing is distruptive. Most innovations are sustaining innovations. Here’s a good checklist for whether something is a disruptive innovation (via this post in HBR):

  • Does the product either target overserved customers (by offering lower performance at a lower price) or create a new market (by targeting customers who couldn’t use or afford the existing product)?
  • Does it create “asymmetric motivation,” meaning that while the disrupter is motivated to enter higher performance segments over time, existing players aren’t motivated to fight it?
  • Can it improve performance fast enough to keep pace with customers’ expectations while retaining its low cost structure?
  • Does it create new value networks, including sales channels?
  • Does it disrupt all incumbents, or can an existing player exploit the opportunity?
  • Does it disrupt all incumbents, or can an existing player exploit the opportunity?