COVID-19 has accelerated the speed of digital transformation (DT). These digital transformation drivers will convince you that DT is a must for success.
DT has changed how customers interact with brands. Moreover, it pushed even more retail customers online. This has forced retailers to make deep operational changes. Some examples of such changes are:
- supply chains,
- customer relationship patterns
- inventory management.
To satisfy customers, companies must analyze data to project the customers’ demands – and react to those demands. Moreover, customers want their products to be shipped promptly and efficiently.
Before we dive into the key digital transformation drivers, let’s talk first about the meaning of digital transformation.
What Is Digital Transformation?
Digital transformation is the integration of digital technologies and data-driven solutions. That is in all aspects of an organization. Its primary goals are to improve business processes. And also deliver better value to customers. As mentioned, DT enables businesses to better understand their customers. That is by leveraging data and technology.
Moreover, customers demand a modern, personalized, and efficient technology-driven service. The only way to achieve this is to leverage technology to evolve and transform.
Digital Transformation Drivers
Perhaps the main driver is the COVID-19 pandemic. DT makes your business recover faster from the pandemic. Moreover, it will make your business future-proof. Still reluctant to implement DT? These key digital transformation drivers will convince you.
Better User Experiences
DT enables more companies to eliminate friction points in the customer journey. Customers are more empowered more than ever. That is due to the emergence of new digital technologies. Some examples are artificial intelligence (AI) and augmented and virtual reality. These technologies allow customers to get what they want almost at the very moment they need it.
Thus, this has caused a shift in consumer expectations. Modern customers are constantly connected. Furthermore, they are fully aware of what they can do with technology.
Implementing DT results in better user experiences. Meanwhile, better user experiences result in more revenue and better prospects.
Faster, Better Decisions
Modern businesses now have access to greater volumes of data than ever. Leveraging the right analytics tools transforms those data into actionable insights. Afterward, businesses can use that data to make faster, well-informed decisions.
The more we use technology, the more we’re exposed to cyber threats. Cybersecurity is a crucial part of DT. It keeps your company’s data safe from threat actors. Moreover, it enables you to predict and defend against threats before they hit.
Customers Demand a Personalized Experience
As mentioned, customers expect brands to deliver a personalized experience. A recent survey revealed that 72% of consumers said that they now only engage with personalized marketing messages.
Every interaction with the customer must be immediately relevant. DT gives you the opportunity to achieve that. Moreover, this will result in customer acquisition and retention.
More Agility and Innovation
Digital transformation keeps businesses to stay alert. The evolution of digital innovation leaves companies with no time to rest. Leading businesses must stay adaptive. Furthermore, they must keep improving their business innovation. That is to stay ahead of the competition.