Wolters Kluwer and the Challenge of Validating Market Innovation
Wolters Kluwer recently presented its annual report for 2025, highlighting a 7% growth in revenue at constant currencies and a 15% increase in profits from cloud software. However, behind these impressive numbers lies a crucial question: is Wolters Kluwer effectively validating its innovations in the market?
Bets on Cloud and AI
The company has heavily invested in artificial intelligence-driven solutions, with 70% of its digital revenue coming from these products. The strategy appears clear: combine reliable content with modular platforms and AI solutions validated by experts. However, the question remains whether these innovations are being genuinely validated by users prior to their launch.
The 15% growth in cloud software revenue is promising, but the key is whether this growth is based on empirical validation with customers or if it results from a well-orchestrated yet untested market strategy. The company must ensure that its AI solutions are not merely lab products trying to find a market fit post-development.
Validation and Customer Engagement
A critical aspect for Wolters Kluwer is to demonstrate that its AI-driven solutions are genuinely solving real problems for its customers. The company cites strategic partnerships and accelerated go-to-market capabilities, but true success hinges on its ability to co-create with users and validate their willingness to pay.
The risk of falling into the trap of "corporate ego" is significant. Building solutions without early validation can lead to products that fail to address real customer problems. Wolters Kluwer must diligently leave the building and test its innovations in the real world.
Challenges and Opportunities
Wolters Kluwer's ability to adapt and validate its innovations will determine its future success. The company has already demonstrated a focus on sustainability and efficiency, reducing greenhouse gas emissions by 60% and emphasizing talent retention. However, these achievements must be accompanied by constant validation of its technological offerings.
Increasing spending on product development to 12-13% of revenue in 2026 is a bold move. However, this expenditure must align with a solid validation strategy that ensures every euro invested yields tangible returns based on actual customer acceptance.
Final Thoughts
Real business growth for Wolters Kluwer will not be achieved simply by increasing investment in cutting-edge technology. The key lies in abandoning the illusion of the perfect plan and embracing constant validation with actual customers. Only then can the company ensure that its innovations are not just appealing on paper, but also deliver tangible and sustainable value in the marketplace.
