Digital Transformation Of Brands
- What is being digital?
- Map brand goals to the digital consumer
- What drives the digital transformation of brands?
- Digital acceleration – Strategize business goals using technology
- About Konnect Insights
IntroductionThe term digital transformation refers to resourcefully adopting digital systems to create a more efficient business model that thrives with technology. In the present digital age, a smartphone-centric consumer is a digital-first customer. As workplaces become more efficient with digital tools, brands seeking consumer-centricity require a foundational digital authority. When you are available to customers where they are, your brand achieves a sizeable share of the market. The question for many brands is, “How do we stay competitive in a truly digital landscape?” The answer is via digital transformation – aimed at harnessing relevant market insights to embark on your branding journey. Retail giants like Amazon and Walmart champion how businesses thrive by being digital. If your brand is to stay in the digital revolution, it can only be achieved by digitalizing branding activities. A digital-first approach sets your brand on a competitive edge with market leaders by being present on all channels where your ideal customers are. By mapping your business objectives with technology-driven transformation, you are one step closer to creating fulfilling experiences for your workers and your prized customers. Using a digital presence to scale your operations globally, is a consistent and measurable transformation effort that entails industry-specific best practices. Especially when taking your brand into a digital ecosystem, being the digital consumer’s best friend requires urgency to streamline business-critical operations. To quote Bill Gates, “The internet is becoming the town square for the global village of tomorrow.” Constantly finding resourceful means to execute digital branding, modern brands must embody the phrase “being digital.”
What is being digital?Being digital does not have any fixed definition. You can interpret the phase in numerous ways. Hence, it is vital to define the parameters that your brand wants to embody digitally. For starters, divide your business into two key areas:
- The customer model – customer-facing activities like products and services, customer personas, and relationships built with them.
- The operating model – refers to the operational activities and processes involved in every business function
Being digital intends to disrupt conventional market models, accelerate growth opportunities using data, and refactor your operating models for business agility.When going digital, there are four primary stages of digital maturity.
|Exploring||Using traditional tech to automate current business activities, merely scratching the surface of digital transformation with the minimal change expected.|
|Doing||Using digital tools to enhance capabilities, primarily revolving around existing operating and customer models.|
|Becoming||Using digital technology to synchronize multiple business activities leads to progressive changes in the current business, working, and customer models.|
|Being||Optimizing business, operating, and customer models by introducing digital capabilities that transform your brand’s activities.|
Map brand goals to the digital consumerIn a world where almost everybody is online, your brand must facilitate human-centric experiences. Most of today’s consumers want convenience by using service availabilities at the click of a button. Considering that most people research products on Google before buying, an effective digital strategy is vital to matching and, in many cases, exceeding their expectations. Using technology as a medium to nurture relationships with customers, brands can deliver excellence while ensuring agile business performance. Considering that the modern corporate employee also relies on technology to produce practical work, the needs of your people are prioritized by your digital transformation efforts. When process efficiencies are improved at an organizational level, reaching your customers with personalized services becomes that much easier. As a brand, you stand to derive insights into consumer behavior and adapt your service offerings to suit market demand using this same data.
|Research Bubble! Currently, the global digital transformation market is projected to grow from $469.8 billion in 2020 to $1,009.8 billion by 2025.|
What causes the digital transformation of brands?As per a report by Deloitte, “The implementation of digital technologies can accelerate progress towards enterprise goals such as financial returns, workforce diversity, and environmental targets by 22%.” Owing to the massive awareness and adoption of digital technologies and media, the digital transformation of brands is primarily driven by five key areas, as mentioned hereafter.
- Customer Experience
- Culture and Leadership
- Operational Agility
- Workforce Enablement
- Technology integrations
Digital acceleration – Strategize business goals using technologyThe five components of digital transformation mentioned in the earlier section are all complex when explored in depth. However, they are all related to the digital transformation of brands. Modern brands require a 360-degree view of the customer, their employees, necessities for business growth, and potential risks.
|Imperatives of Digital Acceleration|
|Technology integrations – Accessing all customer records from a single location|
|Customer experience – Identifying championing ideas to meet customer touchpoints and understand their sentiments|
|Leadership and culture – Facilitating a refined understanding of business necessities and objectives to govern all assets|
|Workforce empowerment – Empowering agents with the necessary technology and resources to enhance customer experiences and operational output|
|Operational agility – Creating more intelligent workflows and processes to reap digital agility and business growth|
|Risk mitigation – Analyze data to predict demands, mitigate risks, and gather valuable business insights|
Fostering human-centric experiences, digital transformation pivots around the necessity for agile processes, predictive maintenance, and an expansive, credible business presence.
|Research Bubble! 70% of customer engagements will be driven by Intelligent systems by 2022, according to Gartner. There is an expectation that 65% of the global GDP will be digitalized by 2022, according to IDC. It is estimated to drive more than 6.8 trillion dollars of direct digital transformation investments from 2020 to 2023.|
Branding prowess – A digital-first approachWhether you’re a startup or an industry giant, a holistic digital transformation can be the differentiator you need. Stating the obvious, a digital-first strategy is essential to modernizing your brand’s approach and operational model. Merging a comprehensive market study with clearly defined rules of engagement aligned with your business objectives, being digital reinvents human-technology experiences. Leveraging data to govern end-to-end business activities, your brand can stand the test of time with a few modifications to existing systems or even a direct changeover to build the digital entity of the future. On the contrary, ignoring digitalization will cost you in many ways. As legacy systems are transformed and being digital becomes a top priority, three main factors influence the success of digital initiatives for brands:
- Availability of capital
- A fresh start
- Time is money
|“Clearly, the thing that’s transforming is not the technology – It’s the technology that is transforming you.” Jeanne W. Ross, MIT Sloan’s Center for Information Systems Research|