Why Every Industry Needs Digital Transformation
Digital transformation has brought about a lot of opportunities for innovation across all industries. From retail to life sciences, from pharmaceuticals to banking, we see a complete reinvention of products, services, and experiences that are delivered to the market.
In today’s world, businesses need to realize that they must use digital channels to engage with their key stakeholders. It is necessary to maintain relevance and drive the conversation. In their latest Digital Transformation report, The World Economic Forum said that “to succeed in the digital era, (companies) will need to become digital enterprises, rethinking every aspect of their businesses.”
A lot of companies have already started doing that. They are trying to automate and streamline their business processes. They have begun to understand the utility of artificial intelligence and machine learning and are ready to invest in them to adapt them for their business needs. They have also realized the power of digital marketing and have started to leverage the reach it provides, to target their potential customers.
According to this recent survey of 15 industries around the globe, 47% of CEOs have been asked by their board of directors to move towards digital business. 56% said that when they made digital improvements, their profits saw an increase. It shows that almost every industry is trying to have a digital transformation. The only question that remains is whether your company adapts to the change or lags behind the competitors.
Importance of Digital Transformation For Business
1. Rapidly changing pace of digital technology
Technology is changing fast. Every business has to cope up with this changing business environment and adapt to these innovations. The processes and strategies that worked before are, most likely, not going to work today.
If any company wants to survive in this digital age, it requires an alignment of all six layers: process, platform, people, product, marketing, and customer experience. If any of these are not aligned with the digital revolution, then the business is bound to suffer.
2. Evolving Customer Expectations
Customer expectations are growing, and every business is trying hard to keep up with them. Today it is far easier than ever before for consumers to explore alternatives to meet their needs. That is why each company has to make extra efforts to ensure that their customers stay with them. It will be possible only if the company digitally transforms itself to cater to its customer expectations.
3. Staying ahead of the Competition
Businesses are able to lead, thanks to a shift in technology and capability that was not there even five years ago. If they do not align with this shift, they are definitely going to lag behind their competitors. If a business does not adopt the digital transformations, someone else will.
4. Long Term Returns
Digital Transformation might take a lot of investment in terms of money, training of the workforce and revamping existing organizational procedures but once all that is done, the returns will be long term.
According to recent studies, it is estimated that worldwide spending on the technologies that enable digital transformation is going to reach almost $2 trillion by 2022. Businesses will allocate 10% of their revenue to plan and implement their digital strategies. It shows that digital transformation is being recognized as a long-term investment.
If your company wants to reap long term benefits that come with the adoption of digital technologies, then a digital transformation is a must. A new kind of customer requires a new way of doing business. Most companies today are moving ahead with digital transformation initiatives, and so should you.