Reinventing the Product

Q: What is *Reinventing the Product* by Eric Schaeffer about?

*Reinventing the Product* explores how businesses can leverage AI, IoT, blockchain, and cloud computing to transform traditional products into smart, connected solutions. The book outlines strategies for adapting innovation processes and company culture to thrive in the digital age, emphasizing six core competencies for industrial digitization.

How to Transform Your Business and Create Value in the Digital Age

Eric Schaeffer and David Sovie

4 (2 Reviews)

Overview of Reinventing the Product

In "Reinventing the Product," Accenture's elite strategists reveal how companies like Haier design new products in just 30 days. What digital transformation secret do Tesla, Samsung, and Google share that's reshaping entire industries? Patrick Koller, Faurecia CEO, calls it "essential reading."

Start Learning

Intro

Summary of Reinventing the Product

1
The Digital Revolution Reshaping Everything We Touch
00:00
00:00
Imagine a world where your refrigerator not only keeps food cold but suggests recipes based on its contents and automatically orders groceries when supplies run low. Picture your car learning your driving habits, adapting its performance accordingly, and transforming into a mobile office during your commute. This isn't science fiction - it's the near future described in "Reinventing the Product." For over two centuries, industrial products followed a predictable pattern: companies designed and manufactured items, sold them through distribution channels, and considered their job complete once the sale was finalized. That linear value chain is experiencing what's called a "tectonic tilt" toward a circular model where digitally intelligent products maintain constant communication with manufacturers, users, and other products throughout their lifespan. The economic implications are staggering. Today's typical product derives about 40% of its value from software, 30% from electronics, 20% from mechanical components, and 10% from digital elements. By 2030, this distribution will flip dramatically - digital components will represent 70% of product value, software will account for 20%, while electronics and mechanical parts will shrink to just 5% each. This value migration explains why seven of the world's ten most valuable companies are now platform businesses rather than traditional manufacturers. As one Google executive put it: "Within the next decade, every product will use AI in some form. The question isn't whether to implement it, but how."
2
The Product Reinvention Grid: Mapping Your Transformation Journey
The Product Reinvention Grid measures two critical dimensions: a product's Intelligence Quotient (IQ)-its smartness and cognitive independence-and its Experience Quotient (EQ)-the quality of experience it delivers. Traditional products start with limited intelligence and transactional relationships. As products evolve on the EQ axis, they progress from basic services to outcome-focused as-a-service models. Along the IQ axis, products advance from basic connectivity to embedded AI and potential autonomy. The most valuable position-"living products"-combines high intelligence with rich experiences. These products are adaptive (learning from usage), collaborative (working with users and other devices), proactive (anticipating needs), and responsible (maintaining security and privacy). Tesla vehicles exemplify this category, continuously learning from driving data, automatically updating features, and integrating with broader ecosystems. Not all products need to reach the grid's upper-right corner-markets require different IQ/EQ combinations. A household appliance might need only basic smart features, while a medical device might require sophisticated intelligence with a straightforward interface. However, virtually every product will require some reinvention soon, with companies that delay risking disruption from competitors or entirely different sectors.
3
From Features to Experiences: Winning Hearts, Not Specs
The first major transformation shifts from delivering functional features to creating meaningful experiences. Unlike standardized features, experiences are personal, adaptive, and subjectively assessed. Smart products now compete on their ability to anticipate user needs and adapt to individual contexts rather than merely offering better specifications. In industrial settings, this transformation creates profitable markets while boosting efficiency. Airbus uses smart glasses for aircraft assembly, reducing error rates by 40% while increasing productivity through real-time guidance and remote expert assistance. B2C companies that exceed customer expectations achieve better ROI (+14%), cost savings (+6%), and customer loyalty (+17%). This shift demands interdisciplinary collaboration across hardware, software, and service design teams - unlike traditional features engineered by specialists working separately. Tesla exemplifies this approach with vehicles receiving regular software updates that add features and improve existing ones. Creating truly connected products requires engineering the complete user experience from the beginning.
Chapter 4
From Hardware to Platforms: Building Digital Ecosystems
The traditional model of selling physical products is evolving toward offering outcomes as services. This shift, pioneered by the software industry, has seen SaaS companies grow at 27% annually compared to just 5% for traditional software companies. After transitioning to subscription models, Adobe's service sales grew from 19% to 83% between 2011-2016, with their market value increasing tenfold to $122 billion. This approach is now spreading across industrial sectors. HP's Device-as-a-Service (DaaS) emerged from customer demand for comprehensive device management, offering both hardware and lifecycle services for a monthly fee - creating predictable revenue for HP while giving customers flexibility and reducing capital expenses. Products are increasingly becoming platforms that anchor ecosystems. By 2018, seven of the world's top ten companies by market capitalization were platform businesses. Unlike traditional products that leverage "supply-side economies of scale" focused on manufacturing efficiency, platforms create "demand-side economies of scale" where value increases with user numbers. Apple exemplifies this transition with successful platforms like the App Store, which has created an ecosystem of over 20 million developers who have generated $38 billion for Apple.
Chapter 5
From Mechanical to Artificial Intelligence: Products That Think and Learn
Products are evolving from mechanical devices to AI-powered systems that sense, comprehend, act, and learn with minimal human intervention - a quantum leap similar to the transition from steam to electrical power. Voice assistants exemplify this revolution, with smart speakers reaching 56 million global shipments in 2018 and 94% consumer satisfaction. Nest doorbells use facial recognition to identify visitors, while autonomous vehicles combine multiple AI technologies for self-driving. Nearly 70% of manufacturers view AI as key to innovation, with 73% believing it will transform industrial products. Most expect 30% of their portfolio to be AI-enabled within three years, and 98% have already begun integration. The greatest value comes from combining AI with mobile computing and big data analytics to improve efficiency and customer experiences. Industry leaders demonstrate this potential: 3M's AI healthcare documentation system increased hospital revenues by 19%, while Caterpillar's CatConnect exemplifies smart equipment innovation.
Chapter 6
From Linear to Agile Engineering: Continuous Evolution
Product development is transforming dramatically. Traditional engineering required expensive physical prototypes, limited user insights, and features with multi-year lifecycles. Today, software dominates manufacturing, enabling instant device variants at minimal cost. Products evolve through remote updates while continuous data from deployed devices provides engineers with insights for immediate improvements. Internet companies like Amazon and Google pioneered the agile approach-launching "minimum viable products" quickly and iterating based on market performance. Amazon's recommendation engine, generating about 35% of platform sales, emerged through experimentation rather than detailed planning. Smart connected products now require "evergreen design"-continuous improvement throughout a product's lifecycle instead of discrete versions. Tesla exemplifies this approach, using AI to learn from human drivers and deploying autonomous driving improvements remotely.
Chapter 7
The Future Is Already Here: Are You Ready?
By 2030, reinvented products will dominate our lives. Wyoming farmers will manage operations using drone fleets and AI analysis, optimizing irrigation for individual plants. Urban professionals will rely on AI assistants acting as personal advocates. Physical ownership will largely give way to "lifecycle fulfillment packages" delivering goods when needed. These technologies exist today at varying maturity levels. By 2030, they'll evolve from prototypes to mass-market realities, transforming our roles as workers, consumers, and businesses. Smart product adoption could reduce household energy use by 25% and increase personal productivity by up to 2 hours daily. For product companies, the imperative is clear: embrace transformation or face irrelevance in a smart, connected landscape. Those failing to adapt could lose up to 50% of market share to innovative competitors within five years. The question isn't whether your products will be reinvented - it's whether you'll be doing the reinventing.

Key Themes in Reinventing the Product

smart connected products
digital value migration
product as a service
industrial digital transformation
living product ecosystems

Quotes from Reinventing the Product

The question isn't whether to implement it, but how.
Experiences are distinctly personal, adaptive, and subjectively assessed.

Characters in Reinventing the Product

Eric SchaefferAuthor and Senior Managing Director at Accenture
David SovieAuthor and Senior Managing Director at Accenture
Rajen ShethGoogle Cloud AI executive and case study expert

About the Author

Eric Schaeffer and David Sovie are the co-authors of Reinventing the Product: How to Transform Your Business and Create Value in the Digital Age. Both are Senior Managing Directors at Accenture and globally recognized experts in digital transformation and smart product innovation.

Schaeffer leads Accenture’s Product Industry X.0 practice, guiding automotive and industrial companies in adopting agile engineering and AI-driven solutions. Sovie oversees High-Tech Industry strategies, specializing in IoT and platform-based business models. Their book explores themes like transitioning from hardware to "as-a-service" models and leveraging AI for adaptive products, establishing itself as a cornerstone in business and technology literature.

With decades of experience advising Fortune 500 companies, Schaeffer (Harvard MBA) and Sovie (electrical engineering background) combine technical rigor with strategic insights. Their work is cited in industry reports and featured in platforms like Irish Tech News, addressing the challenges legacy businesses face in adopting digital-first approaches. Reinventing the Product has been embraced by executives for its actionable roadmap to creating smart, connected offerings, solidifying its status as a critical resource for navigating Industry 4.0.

Download Summary of Reinventing the Product

Get the Reinventing the Product summary as a free PDF or EPUB. Print it or read offline anytime.

Users also liked

Rewired

Eric Lamarre & Kate Smaje & Rodney Zemmel

Reinvent Your Business Model

Mark W. Johnson

The Road to Reinvention

Josh Linkner

Reinvent yourself

James Altucher

Inspired

Marty Cagan

Reinventing Organizations

Frederic Laloux

Rework

Jason Fried

Change by Design

Tim Brown

FAQs About This Book

Reinventing the Product explores how businesses can leverage AI, IoT, blockchain, and cloud computing to transform traditional products into smart, connected solutions. The book outlines strategies for adapting innovation processes and company culture to thrive in the digital age, emphasizing six core competencies for industrial digitization.

This book is essential for CEOs, product managers, and innovation leaders in industrial sectors like manufacturing, automotive, and infrastructure. It’s also valuable for digitally focused professionals seeking insights into AI-driven product ecosystems and next-gen engineering practices.

Yes—the book combines actionable frameworks with real-world case studies (e.g., Haier, Tesla) to guide companies through digital transformation. Its focus on practical applications of Industry X.0 principles makes it a strategic resource for staying competitive.

Eric Schaeffer is a Senior Managing Director at Accenture, leading its global Industrial Practice and Product Industry X.0 initiatives. With decades of experience, he specializes in helping companies digitize manufacturing, product development, and operational processes.

Key technologies include IoT sensors for real-time data, AI for predictive analytics, blockchain for supply-chain transparency, and edge/cloud computing for scalable infrastructure. These tools enable autonomous, personalized products and services.

The book frames digital disruption as both a threat and opportunity, urging companies to adopt smart connected products and ecosystems. It provides steps to avoid disintermediation by rethinking product lifecycles and customer engagement.

Examples include Faurecia’s AI-driven manufacturing, Signify’s smart lighting ecosystems, and Haier’s customer-centric product innovation. Interviews with Amazon, Google, and Tesla leaders supplement these insights.

Industry X.0 represents the convergence of digital and physical systems in industrial sectors, enabling mass customization, predictive maintenance, and agile production. It builds on Industry 4.0 by integrating AI and ecosystem-driven growth.

Schaeffer advocates for a shift toward "living products"—continuously evolving offerings supported by data and customer feedback. This requires fostering cross-functional collaboration and embedding digital literacy across teams.

The book introduces frameworks for smart product design, ecosystem partnerships, and value-chain optimization. It emphasizes iterative innovation, leveraging digital twins and customer co-creation to refine products.

With AI and IoT accelerating, the book’s guidance on autonomous systems and edge computing remains critical. Its strategies help companies adapt to rising demands for hyper-personalization and sustainability in industrial markets.

Part of a Learning Plan

LEARNING PLAN

Mfg 5.0, IE & GenAI: Boosting Productivity

5 h 50 m•4 Episodes

Discover more

LEARNING PLAN

Innovate Like the Top 1%

In an era of rapid change, the ability to innovate systematically is the only sustainable competitive advantage. This program is designed for ambitious leaders and entrepreneurs who want to move beyond luck and master the repeatable frameworks used by the world's most successful disruptors.

5 h 21 m•4 Sections

LEARNING PLAN

The 2026 Product Playbook

As the product landscape shifts toward AI-native development, traditional feature-led roadmaps are becoming obsolete. This plan is designed for product leaders and managers who need to master high-velocity execution and outcome-based strategy in a rapidly evolving tech ecosystem.

2 h 24 m•4 Sections

LEARNING PLAN

Learn about product design

Product design is the cornerstone of creating solutions that truly resonate with users while achieving business objectives. This learning plan equips professionals with the essential skills to create intuitive, innovative products through user-centered methodologies and strategic thinking.

4 h 48 m•4 Sections

LEARNING PLAN

design in ai age

As AI tools rapidly transform creative industries, designers must evolve from being tool operators to strategic thinkers who guide technology toward human-centered outcomes. This learning plan is essential for designers, product managers, and creative professionals who want to remain competitive and relevant by understanding how to leverage AI as a collaborator rather than viewing it as a threat or replacement.

4 h 33 m•4 Sections

LEARNING PLAN

design！

This comprehensive design learning path is essential for anyone looking to build or elevate their design career in today's innovation-driven landscape. It's ideal for aspiring designers seeking structured skill development, product managers wanting to think more like designers, entrepreneurs needing to create user-centered solutions, and experienced designers aiming to reach strategic leadership levels. The curriculum bridges foundational knowledge with cutting-edge practice, ensuring you're prepared for both current design challenges and future AI-integrated workflows.

4 h 29 m•4 Sections

LEARNING PLAN

Capital, Distribution, and the Global Startup Reset

As the venture landscape shifts, founders and investors must move beyond simple product innovation toward strategic capital allocation and distribution moats. This plan is essential for entrepreneurs and growth leaders looking to navigate the 2025 market reset and dominate their respective categories.

1 h 12 m•3 Sections

LEARNING PLAN

Bridge the Business-Tech Gap

In modern software development, technical excellence is only valuable if it drives business success. This plan is designed for engineers and product leaders who want to stop being 'order takers' and start becoming strategic partners by aligning their architecture with organizational goals.

1 h 12 m•3 Sections

LEARNING PLAN

AI Startup Founder's Product Playbook

This playbook is essential for aspiring entrepreneurs and product leaders transitioning into the AI space. It bridges the gap between technical AI potential and commercial viability, providing the strategic roadmap needed to build and fund a scalable startup.

1 h 12 m•3 Sections

Explore Your Way of Learning

Reinventing the Product isn't just a book — it's a masterclass in Business. To help you absorb its lessons in the way that works best for you, we offer five unique learning modes. Whether you're a deep thinker, a fast learner, or a story lover, there's a mode designed to fit your style.

Quick Summary Mode

Read or listen to Reinventing the Product Summary in 9 Minutes

Break down key ideas from Reinventing the Product into bite-sized takeaways to understand how innovative teams create, collaborate, and grow.

00:00

Fun Mode

Reinventing the Product Lessons Told Through 25-Min Stories

Experience Reinventing the Product through vivid storytelling that turns innovation lessons into moments you'll remember and apply.

00:00

Personalize Mode

Experience Reinventing the Product in your own learning style

Ask anything, choose your learning style, and co-create insights that truly resonate with you.

From Columbia University alumni built in San Francisco

BeFreed Brings Together A Global Community Of 1,000,000 Curious Minds

See more on how BeFreed is discussed across the web

"Instead of endless scrolling, I just hit play on BeFreed. It saves me so much time."

@Moemenn

"I never knew where to start with nonfiction—BeFreed’s book lists turned into podcasts gave me a clear path."

@Chloe, Solo founder, LA

117

"Perfect balance between learning and entertainment. Finished ‘Thinking, Fast and Slow’ on my commute this week."

@Raaaaaachelw

"Crazy how much I learned while walking the dog. BeFreed = small habits → big gains."

@Matt, YC alum

108

"Reading used to feel like a chore. Now it’s just part of my lifestyle."

@Erin, Investment Banking Associate , NYC

254

"Feels effortless compared to reading. I’ve finished 6 books this month already."

@djmikemoore

"BeFreed turned my guilty doomscrolling into something that feels productive and inspiring."

@Pitiful

4.5K

"BeFreed turned my commute into learning time. 20-min podcasts are perfect for finishing books I never had time for."

@SofiaP

"BeFreed replaced my podcast queue. Imagine Spotify for books — that’s it. 🙌"

@Jaded_Falcon

201

"It is great for me to learn something from the book without reading it."

@OojasSalunke

"The themed book list podcasts help me connect ideas across authors—like a guided audio journey."

@Leo, Law Student, UPenn

483

"Makes me feel smarter every time before going to work"

@Cashflowbubu

From Columbia University alumni built in San Francisco

BeFreed Brings Together A Global Community Of 1,000,000 Curious Minds

See more on how BeFreed is discussed across the web

"Instead of endless scrolling, I just hit play on BeFreed. It saves me so much time."

@Moemenn

"I never knew where to start with nonfiction—BeFreed’s book lists turned into podcasts gave me a clear path."

@Chloe, Solo founder, LA

117

"Perfect balance between learning and entertainment. Finished ‘Thinking, Fast and Slow’ on my commute this week."

@Raaaaaachelw

"Crazy how much I learned while walking the dog. BeFreed = small habits → big gains."

@Matt, YC alum

108

"Reading used to feel like a chore. Now it’s just part of my lifestyle."

@Erin, Investment Banking Associate , NYC

254

"Feels effortless compared to reading. I’ve finished 6 books this month already."

@djmikemoore

"BeFreed turned my guilty doomscrolling into something that feels productive and inspiring."

@Pitiful

4.5K

"BeFreed turned my commute into learning time. 20-min podcasts are perfect for finishing books I never had time for."

@SofiaP

"BeFreed replaced my podcast queue. Imagine Spotify for books — that’s it. 🙌"

@Jaded_Falcon

201

"It is great for me to learn something from the book without reading it."

@OojasSalunke

"The themed book list podcasts help me connect ideas across authors—like a guided audio journey."

@Leo, Law Student, UPenn

483

"Makes me feel smarter every time before going to work"

@Cashflowbubu

"Instead of endless scrolling, I just hit play on BeFreed. It saves me so much time."

@Moemenn

"I never knew where to start with nonfiction—BeFreed’s book lists turned into podcasts gave me a clear path."

@Chloe, Solo founder, LA

117

"Perfect balance between learning and entertainment. Finished ‘Thinking, Fast and Slow’ on my commute this week."

@Raaaaaachelw

"Crazy how much I learned while walking the dog. BeFreed = small habits → big gains."

@Matt, YC alum

108

"Reading used to feel like a chore. Now it’s just part of my lifestyle."

@Erin, Investment Banking Associate , NYC

254

"Feels effortless compared to reading. I’ve finished 6 books this month already."

@djmikemoore

"BeFreed turned my guilty doomscrolling into something that feels productive and inspiring."

@Pitiful

4.5K

"BeFreed turned my commute into learning time. 20-min podcasts are perfect for finishing books I never had time for."

@SofiaP

"BeFreed replaced my podcast queue. Imagine Spotify for books — that’s it. 🙌"

@Jaded_Falcon

201

"It is great for me to learn something from the book without reading it."

@OojasSalunke

"The themed book list podcasts help me connect ideas across authors—like a guided audio journey."

@Leo, Law Student, UPenn

483

"Makes me feel smarter every time before going to work"

@Cashflowbubu

"Instead of endless scrolling, I just hit play on BeFreed. It saves me so much time."

@Moemenn

"I never knew where to start with nonfiction—BeFreed’s book lists turned into podcasts gave me a clear path."

@Chloe, Solo founder, LA

117

"Perfect balance between learning and entertainment. Finished ‘Thinking, Fast and Slow’ on my commute this week."

@Raaaaaachelw

"Crazy how much I learned while walking the dog. BeFreed = small habits → big gains."

@Matt, YC alum

108

"Reading used to feel like a chore. Now it’s just part of my lifestyle."

@Erin, Investment Banking Associate , NYC

254

"Feels effortless compared to reading. I’ve finished 6 books this month already."

@djmikemoore

"BeFreed turned my guilty doomscrolling into something that feels productive and inspiring."

@Pitiful

4.5K

"BeFreed turned my commute into learning time. 20-min podcasts are perfect for finishing books I never had time for."

@SofiaP

"BeFreed replaced my podcast queue. Imagine Spotify for books — that’s it. 🙌"

@Jaded_Falcon

201

"It is great for me to learn something from the book without reading it."

@OojasSalunke

"The themed book list podcasts help me connect ideas across authors—like a guided audio journey."

@Leo, Law Student, UPenn

483

"Makes me feel smarter every time before going to work"

@Cashflowbubu

See More Stories?

How people are talking about BeFreed across the web

1.5K Ratings4.7

Start your learning journey, now

Reinventing the Product

Overview of Reinventing the Product

Summary of Reinventing the Product

The Digital Revolution Reshaping Everything We Touch

The Product Reinvention Grid: Mapping Your Transformation Journey

From Features to Experiences: Winning Hearts, Not Specs

From Hardware to Platforms: Building Digital Ecosystems

From Mechanical to Artificial Intelligence: Products That Think and Learn

From Linear to Agile Engineering: Continuous Evolution

The Future Is Already Here: Are You Ready?

Key Themes in Reinventing the Product

Quotes from Reinventing the Product

Characters in Reinventing the Product

About the Author

Download Summary of Reinventing the Product

Users also liked

FAQs About This Book

What is Reinventing the Product by Eric Schaeffer about?

Who should read Reinventing the Product?

Is Reinventing the Product worth reading?

Who is Eric Schaeffer, the author of Reinventing the Product?

What technologies drive product reinvention according to the book?

How does Reinventing the Product address digital disruption?

What case studies are featured in Reinventing the Product?

What is Industry X.0 as described in the book?

How does the book recommend transforming company culture?

What frameworks are presented in Reinventing the Product?

Why is Reinventing the Product relevant for industrial businesses in 2025?

Part of a Learning Plan

Discover more

Explore Your Way of Learning

Quick Summary Mode

Read or listen to Reinventing the Product Summary in 9 Minutes

Fun Mode

Reinventing the Product Lessons Told Through 25-Min Stories

Personalize Mode

Experience Reinventing the Product in your own learning style

See More Stories?

Summary of Reinventing the Product

The Digital Revolution Reshaping Everything We Touch

The Product Reinvention Grid: Mapping Your Transformation Journey

From Features to Experiences: Winning Hearts, Not Specs

From Hardware to Platforms: Building Digital Ecosystems

From Mechanical to Artificial Intelligence: Products That Think and Learn

From Linear to Agile Engineering: Continuous Evolution

The Future Is Already Here: Are You Ready?

Users also liked

Part of a Learning Plan

Discover more