Service innovation is crucial for economies, but B2B service innovation is not well understood compared to product innovation. A study of 372 B2B firms found that those focusing on services are less advanced in their innovation practices, preferring incremental changes and spending less time on radical projects. However, these firms still achieve similar innovation outcomes as product-focused firms. Most B2B firms offer both products and services, with those having a mix of 75% products and 25% services being most committed to innovation. This suggests that firms should develop both new products and related services to effectively innovate.