21+ Business Innovation Statistics Must Know in 2024
Innovation is a hot topic in the modern business world. It can drive a company forward, taking it to new heights of profitability and customer satisfaction.
Executives understand the importance of staying ahead of the game with innovation, as 84% of them consider it to be very or extremely important for their future success. However, Professor Clayton Christensen reports that 95% of product innovations fail.
Let’s talk about 15 cutting-edge business innovation statistics that may shift your perspective on what true business success looks like.
Business Innovation Statistics: Key Numbers
- 84% of executives believed that innovation was critical to their future success.
- 95% of all product innovations fail, according to HBS professor Clayton Christensen.
- One in every five new products fails to meet customer expectations.
- 62% of fast-growing businesses intend to spend money on initiatives that boost innovation.
- Nearly 30% of companies actively include AI in their innovation plans. (Business Consulting Group)
- Compared to 44% of SMEs, 58% of large businesses were actively engaged in innovation.
- 84% of consumers cite innovation as being somewhat or very important in a company’s ability to sell them a product.
- 34% of consumers prefer to own products that make them appear innovative to others. 5
- Every year, an astounding 30,000 new products are introduced.
Source: (Accenture, HBS, Innvolo, PSG, CustomerThink, Nielseniq)
Importance of Innovation In Business
- Very important: 71%
- Somewhat important: 21%
- Not very important: 4%
- Not at all important: 3%
- Don’t know: 1%
Source: Tech Pro Research
Innovation Impact Metrics Used By Companies
- 69% of companies cite sales growth as the most important metric for measuring innovation at their organization.
- 43% of companies consider customer satisfaction ratings among the most important metrics for measuring innovation.
- 40% of companies regard the number of new ideas in the pipeline as a critical metric for innovation.
- 36% of companies list market share as an essential metric for assessing innovation.
- 31% of companies identify the number of products in the pipeline as a key metric for measuring innovation.
- 28% of companies consider the net value of the innovation portfolio as an important metric for innovation.
- 24% of companies highlight time to market as a significant metric for measuring innovation.
Source: PwC’s Innovation Benchmark
Innovation Blockers Statistics
- 42% of companies identify long development times as a common roadblock to innovation success.
- 32% of companies struggle with selecting the right ideas, as a barrier to innovation.
- 31% of companies cite a risk-averse culture as an obstacle to successful innovation.
- 25% of companies experience a lack of coordination as a hindrance to innovation.
- 22% of companies report that not having enough great ideas is a significant blocker to innovation.
- 20% of companies face challenges with marketing innovations as a barrier to their innovation efforts.
Source: Coplex
Key Success Factors for Innovation
- 72% of organizations say innovation is part of their strategic planning.
- 60% of companies are “need seekers” focused on engaging customers and being first to market.
- 11% of “need seekers” have aligned business and innovation strategies.
- 77% of strong innovators support open innovation.
Source: Coplex
Innovation Drives Faster Growth in Value, Revenue, and EBITDA
- Innovative companies experience 30% faster enterprise value growth.
- Innovative companies achieve 11% faster revenue growth.
- Innovative companies see 20% faster EBITDA growth.
Source: Coplex
Who Leads Innovation?
- 37% of innovation projects are led by innovation specialists.
- 14% of innovation projects are led by Chief Innovation Officers.
- 25% of innovation projects are led by executive management or corporate strategy leaders.
Source: Coplex
Leading Causes of Increased Innovation Pace
- 67% of companies cited the exploration of new possibilities as a reason for the increased pace of innovation at their company.
- 61% attributed the increase in innovation to better technology.
- 59% mentioned the development of new products as a key factor.
- 58% reported new ways of doing things as a driver of innovation.
- 56% credited visionary leaders with the increase in their company’s innovation pace.
- 45% noted the development of new markets as a significant reason for innovation.
- 42% highlighted more talent as a contributing factor to the increased pace of innovation.
Source: Tech Pro Research
