It appears the end is nigh for patio heaters. The European Parliament has backed an outright ban of the gas-guzzling devices described as “ecological evil” by Friends of the Earth. Leading garden centres, such as B&Q and Wyevale, will stop selling the heaters in the face of the environmental backlash.

The demise of the patio heater makes a compelling, cautionary tale. It demonstrates the danger of new product development in a social and environmental vacuum.

The social and environmental impact of a product can now act to curtail its market growth. Any realistic assessment of the product's potential, therefore, needs to include an analysis of these impacts and the market's sensitivity to them and weigh these against the other benefits it offers. The net effect needs to swing positive.

The best way to do this is to bring a social or environmental dimension into the innovation process in the first place. Think enlightened product development (En-PD) rather than standard New Product Development (NPD).

This means trading the consumer research that kicks off most NPD processes for research with a wide range of stakeholders, including those who may have strong views against the company and its products. The insights generated will bring relevant ethical issues into play from the start. This means that the manufacturer will be able to make a holistic assessment of the market potential and likely life cycle of the product.

However, it also opens the door for it to develop products that actively help to address the relevant impacts and issues. This kind of thinking will help companies to identify truly progressive market opportunities: products that help secure the future (and are therefore far more likely to endure into it). A food company delivering added health benefits to those who need it most, perhaps, or a financial product that rewards sound financial management. As for that garden heater, how about one that is fuelled by garden waste?

Giles Gibbons is the managing director of Good Business
www.goodbusiness.co.uk