Frugal innovation definition
What is frugal innovation's definition?
Firstly, frugal innovation definition is an approach that uses ingenuity to innovate in the simplest and most effective way possible. Then, using a minimum of resources. In other words, aiming for simplicity allows for reducing the overall cost of the product and reaching new markets, especially in developing countries (referred to as the “Bottom of the Pyramid”).
Moreover, frugal innovation definition and low tech share many common features. Indeed, frugal innovation is driven by business logic, while low tech approaches focus on a more systemic approach to innovation. Even though it raises doubts about the usefulness and existence of a product.
In this sense, frugal innovation approaches are more commonly used by large companies. So, taking on a frugal innovation approach is the initial step towards transitioning to low-tech solutions.
Finally, this approach creates opportunities internally.
New innovation practices.
To inspire the creativity and courage of R&D teams.
Design products in-house.
To innovate as closely as possible to the (real) needs of consumers.
Accustom the company and its employees to social and environmental issues.
Attract new talent.
It is our responsibility to design in a way that uses fewer resources. It also improves the attractiveness of the employer brand for new generations seeking purpose in their professional endeavors.
Example of a frugal innovation definition
Since 2016, Decathlon has had a project team dedicated to frugal innovation definition. However, the Group had already developed this approach much earlier. Indeed, their mission is to make sport accessible to as many people as possible by offering simple and effective products. To this end, they produce products with low environmental impact and high value for money. In this way, they can adjust to the purchasing power of the local population.
Decathlon tested this approach in 2014. The company produced a backpack priced at €5 to €3. This was followed by a sleeping bag with the same concept. At the same time, this team is spreading the approach across the company. In fact, its aim is to permeate all the processes and products developed (across all sports). In this way, it helps product design teams and communicates the approach to engage and motivate employees.
As a result, the frugal innovation definition adopted by Decathlon is based on three levers:
- Simplify production. Such as using fewer materials. Rethinking assembly. And reduce handling.
- Think in a different way when it comes to design. Like drawing inspiration from emerging countries and their mindset. By prioritizing the functionality of the product.
- Use local resources. To identify inexpensive and abundant resources. Make the most of the expertise and manufacturing capabilities available locally. Finally, using existing inject molds, products and materials.
Ultimately, our vision is for the frugal innovation method to become a fundamental design approach.
Note:
[1] Navi Radjou & Jaideep Prabhu, Frugale Innovation, How to make better with less? , Diateino, 2015
Others definitions
