There is something about human nature that restlessly seeks to improve things. But instead of asking “Can we?” innovate to improve what exists and create what doesn’t, companies need to ask “Should we?”
There comes a point in the evolution of any product or service where incremental improvements no longer matter to a given group of customers. The term for this in the disruptive literature is “overshooting.”
Customers will almost always accept improved products or services, but when overshooting sets in, they won’t pay for improvements that used to be valuable to them.
Scott Anthony, President, Innosight. Via Harvard Business.