Beause of its predominantly conceptual nature and highly interactive or shared process character.

Service innovations are in the first place intangible new ideas or combinations of existing ideas (sometimes in combination with physical objects) that together constitute a new value proposition to a client. Conceptualising, designing, prototyping or testing these more fuzzy types of innovations is a specific capability that is therefore expected to be less tangible and codified.

The ability to smartly combine new and existing service elements into an integrated service configuration that is experienced as new to the market. Besides detailing and visualizing the service offering it may also include deciding how the service offering relates to the firms strategy, target audience, customer iteration, delivery systems, partners, pricing and revenue model etc.