Digitalize or die - this is the trend that accompanies modern business. In the modern world, the absence of a company in the network leads to losses, loss of influence and inevitable collapse. Why it happens? Because it is important for any business to be as close as possible to the client, to understand his needs and to respond to market movements faster than others. How can business digitalization help with this? More on this later in the article, but first, let's figure out what “digitalization” is.
What is Business Digitalization?
Digitalization is the transformation of business with the help of IT. The introduction of new, modern and efficient tools and technologies that help automate and modernize many of the company's processes. Digitalization increases the presence of the company in the network, improves the quality of work with clients and expands the geography of the company's influence.
How does it work in practice? For example, remember you had a local taxi service in your city? And then Uber came along and displaced the private cab companies, which weren't as convenient as the Uber app. Calling a taxi has become as easy as sending a message to someone in the messenger, besides, the cost of the trip is calculated right in the application and in some similar applications you can even choose a car class! As a result, what advantages did the application for calling a taxi give?
- Reduced total costs, increased profits
- Improving the efficiency and quality of service delivery
- The distance between the company and the client is reduced
- Easier to retain a client
Thus, mobile app development has become the main condition for the survival of the taxi business, since against the backdrop of Uber, Uklon, etc. they simply will not have the slightest chance for equal competition in the market. This is just one of the few examples of digitalization, because today, from clinics and pharmacies to pizza and coffee delivery service, the whole business is striving for it.
Why do You Really Need to Digitize Your Business?
If the example about Uber did not convince you that your business needs digitalization, in this paragraph we will try to convince you. To begin with, let's understand what other tasks digitalization can solve. If you do not think for a long time, several theses come to mind at once, which I will list below.
Goals of business digitalization:
- Providing convenient and profitable interaction between the client and the company
- Improving the quality of service, prompt resolution of customer issues
- Increase in sales
- Modernization and automation of internal processes of the company, improvement of communication within the company
- Product quality improvement
- Modernization of sales tools, delivery services, payment
Digitalization takes the company to a new level, increases customer loyalty and reduces marketing costs. This allows you to spend less resources and earn more. Also, now it will be much easier to introduce new tools and innovations and the level of competitiveness will increase.
Today, the “fast” win over the “big”, so the role of mobile app development & web development cannot be overestimated. Companies large and small around the world are adopting digital tools and pursuing new trends. However, it is important to keep in mind that the choice of IT solutions and tools must be approached comprehensively.
Digitization Examples and Real Cases
In 2017, Coca-Cola set out to overhaul many of the company's internal processes. They have implemented IoT (Internet of Things) in their enterprises, which has improved and streamlined many work processes. For example, in order to perform diagnostics, a specialist did not even need to appear at the enterprise; diagnostics can be carried out remotely. This reduced the costs of businesses. Sales data in different regions allowed Coca-Cola to adjust product prices, and artificial intelligence in vending machines helps to accept mobile payments, adapt to the client, and instantly report problems.
They also began to use new digital marketing methods and personalization. For example, with the help of augmented reality, people in China could simply point their smartphone at the landmark depicted on the bottle and it would come to life. Another example is the “Happiness Machines”, which gave out extra cans of cola, gifts, asked them to hug them for a free can of cola, and even joked on various topics. People's reactions were recorded on camera and later uploaded to YouTube, garnering tons of views and positive feedback.
Thanks to biomechanical and biometric technologies, the company is unmistakably able to select shoes for its customers based on many parameters. Among them are weight, age, height, load on the foot, lifestyle and many other factors. This is how individual offers are formed, taking into account the needs and expectations of customers. As a result, the 21Sportsgroup online store significantly increased sales and was able to scale.
The medical company SAP HANA has developed special glucometers that can transmit information to a smartphone. This made the product very valuable and important not only for consumers, but also for their families. After all, data on the level of sugar, indicators of pressure, physical activity, are transmitted to the user's phone. Relatives can know when a loved one needs help, patients themselves can easily monitor their health status and track changes.
More general examples include insurance companies, restaurants, banks, etc. Mobile app development & web development solve the problem of digitalization for all kinds of businesses. Public transport, utility bills, documents, government services - it's all digitized today, because now you only need your Internet banking or Google/Apple Pay to pay for public transport or pay utility bills.
Who Needs Digitalization?
The changing financial world leads to the fact that every company will use digital technologies. Otherwise, it simply will not be able to exist on the market. The sooner a business passes this way, the cheaper and more efficient it will be. While others are just starting to enter the digital space, your company will take its place and develop successfully. As a result, every area of business needs changes in favor of modern technologies.
Ready to digitize your business and looking for a solution for mobile app development or web development? Owlab will help you find the right solution that will increase the efficiency of your business and allow you to become better for yourself and your customers!