It seems to have become fashionable to use the term 'innovation' for everything that a few years ago would have been called 'new product development'. However, NPD is only one aspect of innovation activity. 'Innovation process' is often incorrectly used interchangeably with 'new product development process'.
The process of systematically researching, testing and producing new products and product variations.
Promotes new products and services to the market, creates new products to further penetrate the market, identifies new product opportunities for existing customers and expanding customer base.