…and increase customer reach, engagement, and revenues
Once you start on a programme of digitization, it’s not a destination, it becomes a new way of looking at the business, and it changes the strategy behind the business.
Listen to the podcast of Pavlo’s discussion about digitisation from The Money Show on 702 & CapeTalk:
What drives change?
- Opportunity drives change: Black Friday
Over R6 billion was spent on the Black Friday weekend last year, over R70 million online, and the biggest single amount was R10 067 400 from an overseas buyer who spent it on a service – an incentive package trip for his team. I
So it has moved beyond TVs, fridges and phones to services already.
- Crises drive change: COVID
During the Covid hard lockdown we were forced to go online for all intents and purposes. This has supported progress to the 4th Industrial Revolution.
More people than ever before have moved to online shopping. It may have taken a couple of attempts to get used to it, but Pavlo’s guess is that most of us don’t want to go back to the hassle of going in store, standing in queues, finding parking etc.
Even Business to Business brands needed to engage digitally out of necessity. Screens have become meaningful interfaces to now demo products and describe services. Explainer videos to articulate services have exploded.
The edge of competition is moving fast towards a place and space where you can have anything you want, the way you want it, where you want it, how you want it.
- Competition drives change: Shampoo
The edge of competition is centered on thinking about how any service can be delivered in this manner.
You have to do things differently to remain relevant.
Pavlo works with a business in the USA, that has created a new way of selling shampoo. They believe everyone has different hair, and that your hair changes as you go through different life stages. They were up against massive cosmetic brands on the shelves, so they created an app. You take a photo of your hair, tell them a few things about yourself and your lifestyle, and the app then diagnoses and recommends the right product, and lets you buy it immediately for delivery.
And what happens if you do not respond to it?
- A Kodak moment – A global brand that went from employing 16 000 people, to 300 because they missed the writing on the wall.
- Irrelevance – when you don’t meet your customers’ needs.
- Loss of talent – no one wants to be in a sinking ship
- Loss of customers
- Fall prey to competitors – they will take away your assets, staff and customers.
Lead it rather than be a victim of it and to get that right, here is your mantra for today’s show and the rest of time too!
DIGITISED, CUSTOMISED, SERVICE CONFIGURATION, BUILT, BOUGHT ONLINE, DELIVERED ONLINE/OFFLINE
Mass customization is a marketing and manufacturing technique that combines the flexibility and personalization of custom-made products with the low unit costs associated with mass production. Other names for mass customization include made-to-order or built-to-order.
Getting it right puts you on the front foot of where global economies are going.