t's a competitive world, everything counts in large amounts. In other words, we live in a competitive world and everything we do counts. That's what Depeche Mode sang back in 1983, but those words are more true today than ever.
Competition in the business world has never been so fierce. However, the abundance of products and brands is no longer the only problem. In today's era, the biggest challenge is to build a strong online presence.
Thanks to the rise of online shopping, physical stores have fallen into the background, and the survival of the fittest in the field of business and commerce now means the survival of the most digitally fit.
Digital transformation as the key to survival
And why has digital business transformation taken off? 70% of companies taking this step say they are doing so to gain a competitive advantage.
Providing quality products and adequate customer support is no longer enough. Consumers now expect to receive products and services in the fastest and easiest way possible. In addition, companies must ensure a seamless customer experience and be available to customers across all communication channels. And, given the inevitable advancements in technology, expectations can only continue to rise.
COVID-19 and accelerated digitalization
Digital transformation certainly did not start because of the COVID-19 pandemic. Many companies recognized the importance of digitizing business processes long before the pandemic and began digital transformation. However, the emergence of the coronavirus forced companies to adapt to the new circumstances practically overnight.
The impact of the coronavirus pandemic on retail has been enormous. For example, FMCG brands ( fast moving consumer goods ) have increasingly shifted to a D2C ( Direct-to-Consumer ) business model to stay relevant. Many brick-and-mortar stores have been forced to launch e-commerce platforms at lightning speed due to the lockdown in order to survive. Member organizations have been forced to replace in-person interactions with webinars and similar online events.
Additionally, companies have had to adapt to working with lithuania phone number data fewer employees and find new ways to communicate effectively with customers. Research shows that after the virus outbreak, respondents are three times more likely to say that they conduct at least 80% of their customer communications digitally.
Consumer behavior has also changed dramatically over the past year. A survey in the United Kingdom found that online shopping during the lockdown increased from 43% to 62%. It is also worth noting that 66% of respondents to this survey said that their shopping habits had changed forever.
During the lockdown, consumers have been surrounded by a variety of devices and platforms 24/7. As a result, they are accustomed to constantly receiving content from different sources, and their already high expectations have increased even more under the pressure of the global pandemic.
Almost every aspect of our lives has changed in just one year. We are now heavily dependent on digital tools, whether it's for commerce, education, working from home, or anything else. Ultimately, this makes it even harder for companies to survive, as the expectations they have to meet are now higher than ever.
Benefits of digital transformation for your business
Given the challenges companies have faced over the past year, there is no doubt that digital transformation is the right decision. Digitalization brings numerous long-term benefits, the most significant of which is an improved customer experience (CX).
Digital transformation can improve the customer experience in several ways. First, you can engage customers by providing them with relevant omnichannel content. Second, it will mean a lot to customers if they can pick up your products at their doorstep. Safety is a top concern in these stressful times, so fast and secure delivery is of great importance.
A good digital strategy also includes successful content personalization . Since customers come first, the importance of personalized content should not be overlooked. Digital transformation also helps you prepare for the future. It allows you to keep up with changes in consumer desires and needs, and therefore technological innovations.
The better the customer experience, the stronger your competitive advantage. The numbers certainly prove it. A digital transformation strategy that puts customers first can deliver economic gains of 20-50%, and improve the customer experience by 20-30%.
In addition to improving the customer experience, digital transformation also brings internal benefits such as increased productivity and efficiency of business processes. In addition, 84% of CEOs who gave statements to Harvard Business Review said that digital transformation provides them with new business opportunities. So, if you have been looking for something that will strengthen your business, digitalization is certainly the right solution for that.
It's time for digital transformation
Life can change in the blink of an eye and we never know what the future holds. However, one thing is certain – technology will continue to evolve. Now, digital transformation is a crucial factor for successful business.
The case of Primark shows how risky the lack of a digital presence and e-commerce platform can be. In May 2020, it was announced that the company's sales had dropped to zero . They simply weren't ready for the sudden transition to the digital world.
Let’s look at some more data that shows it’s time to start your digital transformation. First, 90% of companies surveyed by Software AG predict that consumer expectations will increase in 2021. Second, 87% of consumers expect their companies to be better prepared in the event of a lockdown. Finally, if 77% of CIOs have identified digital transformation as a business priority in 2021, why shouldn’t you?