3 ways to disrupt an industry

I’ve been observing companies disrupting industries for years. In this time I’ve noticed 3 things that set companies apart  that win when disrupting, versus just being a minor annoyance to incumbents.

 

1. They enter as a new player, they were not in the industry before. Most importantly, they do not hire from within the industry. Recruiting from within the industry they want to disrupt only brings DNA from the past to their disrupting company. If they are going to win they can not use an industry veteran mind set.

2. They find 2 or 3 major pain points of the customer and put all their energy and resources behind removing those pain points. They do not do anything else but focus on removing these pain points.

3. Although a major part of their strategy is technology, they ensure part of their disruption is NOT technology. It could be their supply chain, I’ve seen a complete change in a sales model and even something as simple as the fact they answer the phone when you call. But, whatever it is, it’s usually a very simple, previously overlooked, low cost change.