Following Industry Trends is Killing Your Product Innovation

Product validation is no longer a luxury. We're looking to secure their next round of funding for any Series A or B2B SaaS founders. However, too many product leaders fall into the trap of mimicking what's trending in the industry, mistaking it for innovation. While it might seem like a safe bet, following industry trends can stunt your product's growth and kill true innovation.

The Illusion of Safety in Trends

It's easy to see why industry trends attract attention. They offer a semblance of security, a tested path, and often boast metrics that show short-term success. The truth, however, is that relying heavily on trends can lock your product into a cycle of mediocrity. By focusing too much on what's hot, you ignore the unique value propositions that could set your product apart from the competition.

Example Case Study: Slack and Microsoft Teams

Consider Slack, which revolutionized team communications by offering a user-friendly interface and integrations across numerous platforms. When Microsoft Teams entered the scene, it mimicked many of Slack's features but added Microsoft's enterprise muscle.

While Microsoft Teams has gained significant traction, Slack continues to innovate by focusing on unique value propositions such as customizable workspaces and extensive third-party integrations, which remain appealing to its core users. Slack didn't follow trends; it set new standards.

The Imagination Deficit

Innovation demands imagination, yet adhering to industry trends engenders a conservative mindset focused on imitation rather than creation. If your product strategy revolves solely around trends, you lose sight of the customer's unique and evolving needs. Real innovation aligns with solving specific problems rather than chasing popular features.

Jobs-To-Be-Done Framework

This framework helps you understand your customers' needs at a deeper level. The idea is to discover what "job" your product is being hired to do. Customers don't just buy products; they seek solutions to specific problems or goals they have in mind.

By focusing on these "jobs-to-be-done," you can uncover unmet needs and innovate accordingly. This approach requires thorough research and an empathetic understanding of your customers, but it leads to more robust and differentiated products.

Actionable Steps for Ignoring Trends and Prioritizing Innovation

1. Conduct In-Depth User Research

• Move beyond surface-level data. Use qualitative methods like interviews and focus groups to understand your customers' pain points and unique needs comprehensively.
• Use tools like the Outcome-Driven Innovation (ODI) process to segment your market around unmet outcomes, thereby creating products that directly address these needs.

1. Create Customer Personas with Depth

• Build your personas based on the jobs-to-be-done framework rather than traditional demographics. This should reflect the various tasks that users hope to accomplish with your product.

1. Iterative Product Development

• Employ a feedback loop that integrates continuous user feedback into the development cycle. Quick testing and iterations can help ensure that the product evolves in line with user needs rather than industry trends.

1. Prioritize Features Wisely

• Avoid the trap of feature creep resulting from trend-chasing. Instead, prioritize features that enhance your core value propositions. Focus on what solves your users' primary problems effectively.

1. Use Data, But Don't Drown in It

• Leverage analytics to track feature usage and user satisfaction, but don't let metrics solely dictate your roadmap. The aim is to use data to validate your hypotheses, not to discover them.

Example Case Study: Airbnb

When Airbnb started, it didn't follow the standard practice of hotel industry trends. Instead, it focused on a unique user need—the opportunity for travelers to stay in homes and experience local culture firsthand. By leveraging user-generated content and focusing on this unmet need, Airbnb differentiated itself significantly from traditional hospitality providers.

Real-World Execution: Implementing Jobs-to-be-Done

Putting the jobs-to-be-done framework into action:

1. Interview your Customers

• Ask your customers why they use your product. What jobs or tasks are they hiring your product to do? This helps in understanding their specific needs.

1. Map Out the Job Steps

• Break down the job into steps—preliminary, main, and follow-up tasks. Determine where your product excels and where it lags in helping customers complete their jobs.

1. Identify Unmet Needs

• Isolate steps in the job where customers experience pain or frustration. These pain points represent opportunities for innovation.

1. Develop Solutions

• Ideate solutions to uncovered pain points. Use a targeted approach where innovations are aligned with solving these pain points effectively.

1. Test and Iterate

• Develop prototypes based on these solutions and gather user feedback continuously to iterate until you find the optimal solution.

Create a Culture of Innovation

Leadership must nurture a culture that prioritizes creativity over conformity. Encourage your team to challenge assumptions and think outside the box. Hiring diverse talent with varied perspectives can foster a rich environment for ideation and innovation.

Example Case Study: Google X

Google X, the moonshot factory, is renowned for fostering an innovative culture. Projects like the self-driving car and Google Glass originated from an environment where failure is considered a step towards success, not a setback. Their focus is on solving significant problems rather than following industry trends.

Balancing Act: Trends vs. Innovation

It's not about completely disregarding trends. Sometimes, industry trends highlight shifting market expectations that you can't afford to ignore. The key is not to let trends overshadow your core objectives and the unique value your product brings to the market.

1. Understand the Trend's Origin

• Determine why the trend is popular. Does it solve a specific user problem that you have overlooked? If so, you may want to adapt to certain aspects but still retain your product's unique proposition.

1. Integrate, Don't Imitate

• If you choose to adopt elements of a trend, make sure they integrate well with your overall product strategy and enhance your unique value propositions.

1. Foster Internal Creativity

• Create think tanks and innovation labs within your organization where teams are encouraged to experiment without fear of failure.

Conclusion

As a founder and CEO of the Series A and B2B SaaS realm, your focus should be on understanding your users' unique needs and delivering exceptional value through innovative solutions. Relying on industry trends can provide short-term gains, but true innovation lies in addressing unmet needs in your market through a deep understanding of the job your product is hired to do. By creating a culture of continuous evaluation and iteration, and leveraging frameworks such as jobs-to-be-done, you can develop a product that not only meets but exceeds user expectations—putting you miles ahead of the competition. Following industry trends might feel like a safe bet, but breaking away from the herd is where real, sustained success resides.

Ignoring the allure of temporary trends, your product can thrive by staying true to its core mission: solving the unique problems of your users in innovative ways. Thus, making space for breakthroughs that genuinely transform markets and generate enduring value.