Have you ever heard of Frugal Innovation? It is key for the future to solve global challenges.
Technology and innovation are made affordable and transferred to lower-income markets to solve social problems such as housing and infrastructure. At the same time the solutions are qualitative, sustainable and economical. How can this be achieved? By reducing functionality to what is really necessary.
What is Frugal Innovation?
When companies want to offer products for segments with lower income and lower purchasing power, they simply downgrade quality to lower costs and prices. But that is exactly what consumers do not want. Lower quality means poor functionality and durability.
Frugal innovation is the opposite of this unsustainable approach. Target groups are mainly low-income markets, e.g. emerging and developing countries, but developed countries also have a need.
“Frugal” means that the product is reduced to those core functions that are really needed and important. No over-engineering.
These functions and features are of high quality, robust and durable.
It is designed so that it is easy and simple to use and requires minimal maintenance.
In summary, the products are environmentally friendly and sustainable due to design and quality.
Frugal innovation is ecologically, economically and socially sustainable.
There are huge problems to solve in the developing countries: housing, education, drinking water, sanitary, traffic ... The trouble is that the solutions are available in the world but there are many reasons why they are not able to transfer them. Big issues are costs and affordability.
The approach of Frugal Innovation is addressing exactly these issues. Innovate for the world!
Frugal innovation is
Ecological due to high quality and long lifetime.
Social due its ability to solve important social challenges.
Economical because it is affordable for the lower income markets which have a hugh potential.