Helen Steel is the Managing Director at Streamlion Consulting. The Berkshire-based business helps SMEs apply for start-up financing and grant applications, while providing scale-up advice and a pathway to success. Helen discusses the need for companies to be disruptive in their industries, or face being disrupted themselves.
In today’s rapidly evolving business landscape, the mantra is clear: disrupt or be disrupted. From the rise of digital banking revolutionaries like Monzo and Revolut to the fall of high street giants like Woolworths and BHS, the UK market has witnessed firsthand the power of disruption and the risks of stagnation.
But what exactly is disruption, and why is it so crucial for businesses and entrepreneurs?
Disruption goes beyond mere innovation. While innovation improves existing products or processes, disruption fundamentally alters how an industry operates. In simpler terms, it is the difference between adding new features to a phone and creating a brand-new device.
Deliveroo is a great example of a company which disrupted the food industry. Founded in 2013, this British startup did not just improve food delivery; it revolutionised it by bringing together high-end restaurants and traditional takeaways. By doing this, Deliveroo created a new market of consumers and changed the everyday household’s expectations about food delivery, demonstrating the power of effective branding and marketing.
On the flip side, the cautionary tale of Blockbuster UK serves as a stark reminder of what happens when businesses fail to adapt. Once a familiar sight on British high streets, Blockbuster crumbled in the face of streaming services. Whether they were unable to or unwilling to evolve, Netflix and Amazon Prime appeared to stamp Blockbuster out of existence.
So why does every business need some disruption? The answer lies in survival and growth
In today’s work, the market is so fast-paced, with AI tools only becoming mainstream in 2022, but now being implemented in thousands of workplaces. Small Businesses cannot afford to remain stagnant, especially when consumer preferences can change quickly. Competitors can arise in the most unexpected places, so remaining agile and open to change can keep a business relevant and competitive.
This does not mean reinventing the company, but instead creating a culture that embraces change and calculated risk-taking. BrewDog, for example, disrupted the UK beer industry not through technology, but by challenging the dominance of large breweries with craft beers and unconventional marketing.
However, balancing disruptive initiatives with maintaining core business operations is crucial. Companies like Google achieve this through their ‘20% time’ policy, allowing employees to spend a portion of their work time on innovative projects outside their core responsibilities. This helps them keep ahead with a constant stream of new ideas and groundbreaking developments.
The risks of ignoring disruptive trends can be severe, as evidenced by the collapse of Thomas Cook in 2019. After 178 years in business, the world’s oldest travel company failed to adapt to the rise of online booking platforms and changing travel habits.
Meanwhile, for those who successfully navigate disruption, the rewards can be immense. Ocado, founded in 2000 as one of the UK’s first online-only supermarkets, has now expanded into providing its technology to other retailers globally.
As we look to the future, emerging technologies like AI and blockchain promise new waves of disruption across multiple sectors. The message is clear: UK businesses must embrace it, not as a threat, but as an opportunity to innovate, grow, and lead in their industries.
In the words of Charles Darwin, “It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is most adaptable to change.” In the business world of today and tomorrow, these words have never rung truer.
