Innovation as the Starting Point for Your Business Model
Changing environmental factors demand innovation. It means that your traditional approach, product, or proposition no longer aligns with your target audience. According to Nick Sherrard, there are three ways to inspire you to take a new direction:
Imagination: What things that were previously impossible are now possible due to the emergence of this new digital technology?
Ingenuity: How can you use what you already have in a different way?
Invention: What (further) developments are possible? This is the technical side of innovation.
Why Innovate Now?
The traditional audience is aging, and new generations are less loyal. The audience of the future doesn't just want to watch and listen; they want to participate. This shift in the relationship between audience and creator, and audience and organization, demands a different approach. It's time for the cultural sector to adapt to the audience.
The good news is that innovation is becoming increasingly accessible due to the arrival of digital technologies. It is becoming easier to experiment with new ideas using online AI tools and user-friendly technology. This allows you to visualize, develop, and present ideas before making large investments. You can use this to engage partners and realize digital transformation together.
BUCK has fully embraced the digital world. Read how they deal with digital tools and opportunities
5 Questions: From Innovation to Business Model
A business model shows why you exist. It builds on things you can do, what you get funding for, and what you can practically achieve. These five questions help you strengthen your business model:
What does the world need from us?
If you know this, you can make a big impact. It also ensures that you get many people on board with your concept.
What do our people care about?
Think about your entire community. Why does your audience come? Why do your employees work for you? Why do your volunteers choose you?
What are we good at?
And especially, what are you uniquely good at? This unique value or talent mobilizes partners to work with you. This enables you to create more impact.
What can we get funding for?
You know what the world needs, what people care about, and what you're good at. How can you turn this into revenue streams? Come up with a few ideas and test their potential with your target groups.
What can we answer to these questions now that we couldn’t last year?
Here lie your opportunities for innovation. Have you attracted new audiences over the past year? Have you developed or acquired new skills in your organization?
To bring innovation into your organization, a critical perspective is crucial. Yes, you have a business model, and it works reasonably well. But what can be improved? To determine where to start, you first need to look at the foundation of the model and what you want to be as an organization. Then you can make choices based on experimentation. Try things out, test them with your audience, and continue with what interests them. This way, you create a future-proof business model with room for innovation.
Looking for more inspiration?
Listen to Cultuurshift, DEN's podcast on digital transformation for culture professionals. In it, experts share their digital approaches and you'll hear inspiring forms of digital culture. From online museums, digital music shows, to on-demand performances.
Nick Sherrard is an expert in innovation, business modeling, and startup creation. During the DEN Conference, he shared his knowledge. The tips and advice are compiled in this article.
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