When speaking of innovation, the impact on the end customer is what is important. By trying to look past the superficial observations and understand the problem at a deeper level, you can identify opportunities. The solution can then in turn be innovative. Yet in a lot of cases, the problem and the solution become one and the same. The key to finding a solution is to start with a clear view of the problem.
Out of a thousand ideas, only one will typically survive in three years' time.