From the executive summary: ‘The key to avoid commoditization is to review the company one is serving. Gaining the understanding of customers allows companies to prevent a “downward migration” in spending habits that can lead to products being perceived as commodities and to customer defections. As a result of the commoditization, many companies have changed the definition of the customers, while others have reinvented the products.’ The paper outlines the methods of innovation that help in avoiding the commoditization of the organizations’ products and services.