What the people expect is rather a magic new product. The watch is merely a gadget. The iPod was a revolution. The Macbooks still are unreproduced on the market. The iPhone changed humanity (or at least it was the first to do so). Each wasn't an incremental improvement but a complete new line of products. Each didn't eclipse the previous line (the iPad didn't replace the Macbooks) but multiplied Apple's publicity.
At the level of Apple, innovation could be a VR tool that encompasses our life, a car, a teaching tool, or they might go to services and launch a global platform for press, privacy, work or start-ups. But the only reason I watch each keynote is that I don't want to miss the next time they innovate.