This paper details preliminary findings from a research project supporting the enhancement of innovation capacity in Australian Manufacturing small and medium enterprises (SMEs). Data from five interview cases, suggested a strong orientation towards customer-pull / technology adaptation and incremental innovation. Compared with a science-push / radical innovation orientation towards innovation common in technology-driven start-up firms, there was little interaction with the external R&D community. Findings are compared with those from a number of other larger surveys in relation to the dominant prospector strategy observed. One outcome of the study presented here is an ‘Innovation Opportunity Matrix’ which offers a map of innovation spaces linking customer needs with product, process or organisational innovation. This matrix provides a useful consulting tool for innovation practitioners to map current innovation focus areas, and to help think about strategically important complementary or alternate innovation focus areas