4 Reasons To Digitalize Your Business

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Digitization is the process of changing business processes with the advent of new technologies to appeal to new markets and create more value to their customers. 

Why should you digitalize your business?

The speed at which the world has adopted digital practices is a testimony to their effectiveness and business who fail to adapt are at risk of being left behind. One of the main reasons that businesses choose to digitalize their processes is to increase their profits, with companies who have adopted digital-ready networks growing revenue and profits up to three times more quickly than those who remain on legacy networks. But increased profitability is just one of the reasons why digitalisation is sweeping through the business world and the benefits can be seen across the board. 

  1. It helps companies to stay relevant
    Digitalization can be seen across all aspects of our daily lives, from the way we socialize online through social media, to the way we shop, the way we communicate via WhatsApp and email and the way we relax using games and virtual reality. To stay relevant, and appeal to their target customers, it’s important that companies digitalize too by maintaining a presence across their customers most used social media platforms and communicating through the channels their customers use most. Companies who fail to stay relevant can alienate their target markets, seeming outdated and not in keeping with the times. 
  2. It allows for personalization
    Social media, data and analytics have enabled companies to make use of personalization like never before. They can now create personalized offers and rewards based on their customer’s purchase history and they can predict what they may buy next helping them to maintain consistent sales during down periods and retain customers in a highly competitive market. In addition to offers and rewards, companies can speak to their customers on a personal level by making them feel as though they are heard and understood.
  3. It has enabled targeted marketing
    In the same way that social media, data and analytics has enabled companies to offer a new level of personalization to their customers it has also enabled them to be more accurate with their targeted marketing. Companies can now focus their budgets on highly specific targeted advertisements and place them in locations specific to their target market such as at the start of videos they may watch or on the side of website they may use. Whereas once an advertisement may have been placed in a magazine, now it can be placed on a social media site and shown specifically to a person of a certain age, and gender who has shown previous interest in competitors products or has made a similar purchase in the past.
  4. It helps companies to predict the future
    The tracking and analysis of customer data can help companies to predict future trends and market opportunities and branch out        into new areas in order to cater to their customer’s future needs. Amazon and Apple’s move into the healthcare sector is one example  of this.

 

What Your Business Should Know Before Digitizing

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It’s easier than ever to run a successful business thanks to technology. With the right equipment, a startup can open up to new markets and expand way past the barriers of the local community. However, there is a catch – digitization is essential to broadening the horizons of your company. Why? It’s because it helps you serve the needs of a global economy.

Integrating new technologies and getting the most out of them is tricky, and it isn’t as simple as clicking your fingers. To do it, you need to understand the basics first, and this post has you covered. Here are four things to keep in mind before you digitize.

How Would You Start Now?

The main question to answer is how you would kick off your business in the 21st-century. With the tech available, it’s evident that you’d invest in the best systems and use Big Data to analyze trends and make informed decisions. Still, if you’ve already started and older systems are in place, it’s difficult to take the plunge. Your company’s phone system is a good example. The old one works and is effective enough, but it isn’t as efficient or cost-effective as the Cloud PBX version. The same goes for accounting software and bookkeeping practices. Although it’s a lot of effort, it’s worth the upheaval.

Don’t Write Off Tech

Technology has a massive part to play in your success. However, it’s not only the things you adopt that are important; it’s the stuff you dismiss. Think of how different the world would be if Apple weren’t allowed to design and target a niche within the electrical industry. By ignoring tech releases and how they can impact you or your competitors, you can miss out on opportunities. Even worse, you can leave the door open for others to absorb your market share.

Be Analytical

Understanding how digital tools are essential to your company is the key, and the best way to do it is to look to the competition for guidance. How are they using tech? What are they doing differently? Answering these questions will help you to understand your strengths and weaknesses and how you can improve. Mainly focus on the flaws because they are holding the company back and preventing it from growing. Of course, it’s vital to be able to read the stats and find the answers. They’re in the KPIs as long as you speak the language.

Integrate I.T

The internet is the single, biggest tool at your disposal, which is why it shouldn’t be segregated from the rest of the company. Using I.T as a problem-solving device when things go wrong is narrow-minded. Instead, integrate it throughout the whole of the business, from accounting to marketing and web hosting to get the greatest results. If everything is compartmentalized, the room for growth is bound to be less as there will be restrictions. And, they’re unnecessary.

If you are in doubt, there are professionals that will offer their services.