How does Digital Transformation affect Traditional Businesses?

HOW DOES DIGITAL TRANSFORMATION AFFECT TRADITIONAL BUSINESSES

Traditional companies must also reinvent themselves and enter this digital transformation to evolve and develop.

The boundaries between the digital world and the physical world continue to fade, with profound implications for how to run a business.

Every industry and every business feels the effects of this digital transformation, whether on their own initiative or from the pressure of competition. For many companies, digital transformation becomes a subject around which we must not turn anymore … but act.

Digital Transformation

What is digital transformation? It is to some extent a set of advanced technologies available to us that completely reinvent business models.

Of course, companies have always had to adapt to technological advances, but nowadays there is a build-up of physical boundaries that are exploding: the social network on the Internet, the cloud that stores virtually more data, and Internet data analytics (Google Analytics to name just one).

All this radically transforms the operational as well as the customer relationship for example and in the digital transformation of companies , it is obvious that some sectors are more impacted than others, especially on large industries and structures comfortably installed for decades.

the Automobile sector car speed

The Automobile Sector

This radical transformation that is taking place has important implications for business. Some are lagging behind and suffer more changes than they cause. Others find openings on unexpected opportunities they can not miss.

Who else but your mechanic or mechanic would have ordered these parts and had access to this site 10 years ago? This is called “digitization”, digital integration in everyday life.

The automotive sector does not stop at this, however, because it also sees its environment totally reinvent itself by moving rapidly towards the autonomous car and new technologies equipping it.

While this will remain a closed network and all will not be equipped overnight, but in terms of digital transformation the automotive industry is changing rapidly.

Let’s take the example of Google Now. You can access this voice Internet service from your car and ask the system for real-time information on car traffic in that particular street or route.

But what is Google doing with this service? On the one hand, he is expanding his business but, above all, collecting a lot of data on each of his clients.

This allows it to make its business more efficient and offer new features to gain even greater market share.

The Tourism Sector - Girl on boat happy

The Tourism Sector

Another example is tourism. Globally, one billion travelers go on holiday every year, with needs and desires more and more varied. The major players in tourism must constantly adapt their offer according to these changes.

The Airbnb and similar Internet sites group mainly services from individual to private and are transforming the hotel industry and push the existing to reinvent itself.

They bring to the holiday housing market a terrible competition. Up to the point where traditional hotels must redouble their efforts to attract customers, offer more promotions, organize events and have an aggressive presence on the Internet and social networks.

We must constantly improve the offer of products and services, accelerate their design and delivery to demanding customers who suddenly have easy access to a very wide offer.

The customer support lines are open 24 hours a day, the quality of customer service is dramatically better and everything goes very fast.

The dissatisfied customer is manifested on the social networks or on the Internet sites by posting comments of a click, it is necessary to counteract and offer lots of consolation to better sell and to increase loyalty.

Digital Platforms

Digital platforms can create value. In the past, there was no other way of knowing the experience and the return of a customer other than by word of mouth or telephone. Nowadays, customer returns are on the internet, available to all and even put forward to “boost” sales. We use the best customer feedback to describe a flagship product.

Bloggers also have a place to increase sales because customers can more easily identify with them.

In this environment, it’s no longer a question of falling behind because your business could seriously suffer. The digital transformation is there and continues to grow by imposing its rhythm. Is your company ready to adopt these business model changes?

Thousands of organizations are taking the plunge every day and succeed in turning the digital threat into new opportunities to innovate and grow.

Many big companies are going digital and are trying to find digital solutions, launch new websites and flood social networks. But successful digital businesses often have another, more thoughtful and mature journey.

First of all, we must know that training and digital transformation are inseparable in order to evolve towards concrete projects related to innovation.

They put the business model at the heart of their development and do not have to unlearn their traditional ways of working to learn from others. They are flexible and agile from the start, able to adapt quickly to a changing external environment.

In summary, it is important for traditional businesses to realize that new technologies are not a phenomenon that will diminish over time.

Adapting to a model where the customer is at the center and using digital technologies is and will be at the heart of their success.

You Might Also Like

No Comments

Leave a Reply

Solve : *
26 ⁄ 13 =