How to Kill a Unicorn

What if you could turn your pie-in-the-sky ideas into practical, profitable innovations while leaving behind the imaginary land of unicorns?

1. Build Diverse Teams for Innovation

Diverse teams spark creativity and solutions that work. Author Mark Payne stresses that a mix of different skills and perspectives is crucial for innovation. He suggests organizing teams into what he calls "Money & Magic" groups. While "Money" focuses on commercial and strategic expertise, "Magic" embodies creative and consumer-focused visionaries.

One successful approach stems from Fahrenheit 212’s work with Samsung. When Samsung developed a translucent LCD screen, Fahrenheit 212 formed a team with financial experts and creatives such as designers and writers. This collaboration wove usability and cost-effectiveness into an exciting and market-ready product.

Fahrenheit 212 particularly values debate. Research, such as the 2003 UC Berkeley study, has shown that challenging ideas stimulates creativity. When faced with a problem like traffic congestion, debate teams outperformed brainstorming ones, generating far more inventive solutions.

Examples

• Samsung’s translucent LCD screen team of analysts and designers.
• Financial experts collaborating with architects at Fahrenheit 212.
• Berkeley study where debate outshined brainstorming.

2. Understand Both Consumer and Business Needs

To innovate effectively, you need to examine problems from both the customer’s perspective and the business side. When a bank in Dubai wanted customers to invest more in its products, Fahrenheit 212 first explored customer motivations and discovered a lack of trust. They paired this with an assessment of internal business inefficiencies.

The bank’s siloed workflow turned out to be a barrier. Fahrenheit 212 recommended an integrated IT system, called Mosaic, which encouraged customers to use multiple products together by offering incentives.

This approach bridged customer hesitations and internal inefficiencies, leading to a tool that fostered trust and showcased financial rewards for loyal behavior, transforming the bank’s offerings into a seamless experience for users.

Examples

• Dubai bank adopting Mosaic to link its various services.
• Customers expressing distrust due to disjoint services.
• Mosaic offering visible benefits like better interest rates for bundling services.

3. Balance the "Wow" with the "How"

The thrill of a groundbreaking idea can be exciting, but passion alone doesn't deliver results. Payne emphasizes the importance of asking practical questions—like costs and feasibility—before moving forward with an idea. Innovation requires bridging the visionary "wow" factor with the logistical "how."

Fahrenheit 212 applied this principle to the Dubai bank by starting with operational questions. They asked, “How can we integrate departments effectively?” and “How do we streamline software systems?” These fundamental questions provided the groundwork for their eventual consumer-facing solutions.

You have to ask the hard "how" questions to transform lofty ideas into tangible outcomes that can truly shine in the market.

Examples

• Dubai bank’s integrated product system that started with “how” questions.
• Streamlined organizational approaches leading to smoother consumer experiences.
• Viewing logistics as a springboard for creativity at Fahrenheit 212.

4. Learn from Start-Up Strategies

Big businesses can learn a lot from start-up entrepreneurs, who view their radical ideas as totally natural while outsiders see them as groundbreaking. Start-ups prioritize solving unique problems and finding smart, efficient solutions.

Tuthilltown Spirits, a small whiskey company, used smaller barrels and honeycomb-patterned holes to rapidly age their whiskey. This method was a natural response to competing against older distillers. They also innovated by opting for smaller bottles, which inadvertently grabbed more attention in stores when placed in prominent locations to prevent theft.

Understanding the organic yet innovative ways start-ups tackle problems allows larger companies to adapt fresh, practical strategies.

Examples

• Tuthilltown Spirits aging whiskey using smaller barrels.
• Embracing local farmers’ grains to create unique whiskey varieties.
• Using small bottles that gained retail visibility due to theft concerns.

5. Solve Real Problems, Not Just Symptoms

Focusing on underlying causes instead of surface solutions is key. One luxury hotel chain discovered declining customer loyalty and initially proposed superficial perks, like special treats. But Fahrenheit 212 looked deeper and found that customers stopped visiting once they achieved the highest reward tier.

To address this, the loyalty program was restructured for longevity. Customers retained their status indefinitely once they reached it, building a deeper sense of connection and trust. Tackling core issues prevents competitors from simply duplicating surface-level solutions.

Examples

• Loyalty program reform at a luxury hotel chain.
• Customers revealing dissatisfaction in traditional incentive models.
• Offering lifetime membership guarantees to boost retention.

6. Use Effective Communication Between Departments

Disjointed communication often hinders innovation. Fahrenheit 212 discovered this in multiple projects where internal silos and lack of collaboration between departments stifled progress. Connecting workflows prevents wasted effort and encourages a unified vision.

The bank in Dubai overcame departmental separation by using Mosaic to unify its services. This seamless integration opened more opportunities for coherent growth, reducing internal inefficiencies and improving customer experience.

Aligned teams lay the groundwork for successful innovation.

Examples

• Mosaic unifying disjointed bank services.
• Improved customer trust by showing integrated benefits.
• Departments collaborating instead of working in isolation.

7. Debating Over Brainstorming

Many assume brainstorming is the best way to generate ideas, but structured debates prove more productive. By critically examining proposals, teams develop stronger solutions and create space for less conventional ideas to emerge.

The 2003 UC Berkeley study demonstrated the power of critique. In one experiment, debate groups came up with substantially more creative traffic solutions than brainstorming groups, underscoring the effectiveness of rigorous discussion.

Push-back and critical challenges strengthen ingenuity.

Examples

• Research showing debate yields better results than brainstorming.
• Successful traffic problem solutions emerging from debate groups.
• Fahrenheit 212 encouraging criticism to refine ideas.

8. Adapt Quickly to Changing Needs

Speed and flexibility are key to staying ahead. Start-ups quickly evolve by adjusting to market demands, whether it's experimenting with new products or rethinking existing practices. Larger companies must adopt a similar mindset to maintain relevance.

Tuthilltown Spirits rapidly adjusted their operations to prioritize efficiency, from quicker aging processes to eye-catching packaging. Recognizing changing needs and embracing new methods helps businesses stay fresh and competitive.

Examples

• Tuthilltown’s quick adoption of smaller barrels for faster whiskey aging.
• Smaller bottles doubling as a marketing advantage.
• Adjusting strategies based on local farmers’ grain availability.

9. Innovation is a Shared Responsibility

No single individual owns innovation. It results from collaboration, shared vision, and interdisciplinary teamwork. Whether it’s debating ideas or merging financial insights with creative spark, innovation thrives when everyone contributes equally.

Fahrenheit 212’s Money & Magic teams thrive because they value every member's expertise. Teams that work together on equal footing produce ideas that satisfy both creativity and practicality.

Shared ownership encourages team engagement and well-rounded ideas.

Examples

• Money & Magic teams at Fahrenheit 212.
• Teams combining creative and financial strategies.
• Collaboration driving cohesive, sustainable solutions.

Takeaways

1. Form diverse teams that blend creative and operational strengths, ensuring every perspective gets a voice.
2. Challenge ideas with constructive debate instead of relying solely on brainstorming sessions.
3. Start innovation by asking meaningful "how" questions to turn big ideas into actionable, lasting solutions.