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Incremental innovation occurs when the arrival point and the starting point of the innovation process are related in utility and/or technology. Most innovations in the market are incremental innovations. Incremental innovation is a type of innovation that is based on gradually improving existing products, services or processes, rather than creating something completely new and disruptive.

This form of innovation focuses on optimising and making small changes to gain an advantage over the competition or improve the user experience. It tends to be more affordable and less risky than the disruptive innovation (+), but it can also be more difficult to notice or measure.

Incremental innovation refers to gradual and systematic improvements to existing products or services, which aim to optimise their performance, increase their efficiency and improve their quality. In a startup, incremental innovation can be a useful strategy to establish and strengthen its position in the market, offering products or services with constant improvements and differentiating itself from its competitors.

However, it is important to bear in mind that incremental innovation does not necessarily generate profound changes in industry or in society at large.

Some practical tips for an entrepreneur to apply incremental innovation in his or her new venture include

  1. Identify opportunities for improvement in their current business model (+).
  2. Analyse your competition (+) to identify areas in which they can innovate.
  3. Listening to your customers and understanding their needs (+).
  4. Using technology effectively to automate processes and improve efficiency (+).
  5. Allocate resources and teams dedicated to innovation.
  6. Implement small changes on a regular basis to ensure continued progress.
  7. Continuously evaluate the results of innovation and adapt if necessary.

Incremental innovation is an approach of gradual and systematic improvement in existing products, services or processes. Unlike disruptive innovation that seeks radical changes, incremental innovation focuses on making small improvements to gradually optimise and evolve.

This form of innovation is common in many organisations and can be an effective strategy for staying competitive and responding to changing market demands. In a startup, incremental innovation, can play an important role in establishing and strengthening the company's position. By making constant improvements to its products or services, the startup can differentiate itself from the competition and generate additional value for its customers.

Here are some practical tips for entrepreneurs to apply incremental innovation in their new venture:

  1. Identify opportunities for improvement: Analyse the current business model and look for areas that could benefit from improvement. This may include optimising processes, improving product quality or implementing new features.
  2. Analyse the competition: Observe the competition to identify areas where you can innovate and stand out. This may involve offering something unique or improving on what already exists in the market.
  3. Listening to customers: Understanding customers' needs and wants is critical. Conducting surveys, interviews and feedback analysis can help identify areas where incremental improvements can be made to better meet customer needs.
  4. Using technology effectively: Leverage technology to automate processes, improve efficiency and deliver an enhanced customer experience. This may include the use of digital tools, data analytics and mobile apps.
  5. Allocate dedicated resources and equipment: Establish teams and allocate specific resources to drive incremental innovation. These teams can be tasked with generating ideas, developing improvements and testing to ensure successful implementation of improvements.
  6. Implement changes on a regular basis: Make small, steady changes rather than drastic changes. This allows for continuous progress and avoids significant disruptions to business operations.
  7. Assess and adapt: Regularly evaluate the results of improvements and adapt as necessary. This involves monitoring performance, collecting feedback from customers and making adjustments based on feedback and analysis of results.

By applying incremental innovation, entrepreneurs can constantly improve their business and stay ahead in a competitive market. The key is to identify opportunities for improvement, listen to customers, use technology effectively and take a gradual and steady approach to innovation.


  1. Apple: has been known for its focus on incremental innovation over the years. Rather than launching entirely new products, they have introduced incremental improvements to their existing products, such as the iPhone and iPad. Through regular updates, they have improved the performance, quality and features of their devices, allowing them to stay at the forefront of the technology industry and gain a competitive edge.
  2. Toyota: is an outstanding example of how incremental innovation can generate a competitive advantage in the automotive industry. They have continuously improved the efficiency of their vehicles, optimising fuel consumption, enhancing safety and offering new technological features. This constant incremental innovation has contributed to their reputation for quality and reliability, helping them to maintain a dominant position in the market.
  3. Amazon: is known for its focus on continuous improvement and incremental innovation. They have implemented user experience improvements, such as faster and more convenient shipping options, as well as improvements to their e-commerce platform. These improvements have enabled Amazon to offer superior service and a more convenient shopping experience, which has helped them become a leader in the e-commerce market.
  4. Google: is an example of how incremental innovation can be applied in the field of online services. Over the years, they have launched numerous updates and improvements to their search services, online advertising, applications and tools. These improvements have enhanced the accuracy of search results, the efficiency of online advertising and the usability of their services, leading Google to dominate the search engine and online services market.
  5. Coca-Colais a classic example of how incremental innovation can help a company maintain its leadership position in a highly competitive market. Over the years, they have introduced new product varieties, such as Diet Coke, Coke Zero and different flavours. They have also developed more convenient and environmentally friendly packaging. These incremental improvements have enabled Coca-Cola to stay relevant and meet changing consumer preferences and demands.

These examples demonstrate how incremental innovation can help companies maintain a competitive advantage through gradual and constant improvements in products, services and processes. By focusing on optimising and meeting changing customer needs, these companies have managed to stay at the top of their respective industries.




Company: TechGrowth Solutions

Context: TechGrowth Solutions is a software development company that specialises in business management solutions for small and medium-sized businesses. Although they have been growing steadily, they want to accelerate their expansion and gain a competitive edge in the market.

Challenge: The enterprise software market is highly competitive and constantly evolving. To accelerate its growth, TechGrowth Solutions decided to apply incremental innovation in its business approach.

  1. Improvements in the usability of the software: The company is focused on making improvements to the user interface and user experience of its software solutions. This includes simplifying workflows, improving navigation and adding intuitive features that make the software easier to adopt and use.
  2. Regular software updates: TechGrowth Solutions implements a regular cycle of software updates to keep up with market demands and customer needs. These updates include functionality enhancements, bug fixes and the addition of new features requested by users.
  3. Integration with other platforms and systems: The company ensures that its software solutions are compatible and integrable with other popular platforms and systems used by businesses. This allows customers to make the most of their existing software and eases the transition to TechGrowth Solutions' solutions.
  4. Customisation of solutions: TechGrowth Solutions offers customisation options to tailor its software solutions to the specific needs of each client. This allows them to address unique requirements and offer a more personalised experience.
  5. Improved customer service: The company focuses on improving its customer service by providing faster and more effective support. They implement a support ticket system, live chat and an online knowledge base for customers to find quick answers to their questions and solutions to their problems.
  1. Attracting new customers: Improvements in software usability and functionality attract new customers looking for intuitive and efficient business solutions.
  2. Customer retention: Regular software updates and a focus on improved customer service help retain existing customers and foster long-term relationships.
  3. Market differentiation: Customisation of solutions and integration with other platforms allows TechGrowth Solutions to stand out from the competition and meet specific customer needs.
  4. Greater internal efficiency: Incremental innovation is also applied internally, with improvements in software development processes and optimisation of internal operations. This enables the company to be more efficient and agile in delivering solutions to customers.
  5. Accelerated growth: The combination of a growing customer base, improved retention and market differentiation translates into accelerated growth for TechGrowth Solutions, allowing them to expand.




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