How much does Digital DISRUPTION mean for your business? If it can the destiny of every business what can we do to prepare for this? Let’s dive in and find out!
Drive for digital has already took place! New Driveway Installations
According to an outlook by Accenture, in just 5 years, Australia’s digital economy is going to experience a 26. 1% growth from 2015 to 2020.
Business around the world are spending $174 billion on cloud technologies alone. Many firms now have chief digital officers or have developed separate units that are in charge of driving digital strategy.
While the stats look promising, many business are still fighting their efficiency structures to facilitate the change towards digital alteration also to face the digital disruption challenges head on!
Innovation is transforming every business!
The phenomenon of digital disruption is not a new one! However the opportunities and hazards it presents change after some time and those who make the first move, background remembers them as pioneers!
Ever wondered how ipod touch replaced CDs, how Amazon . com defeated Barns and Noble, why didn’t Marriot think of AirBnb, why taxi drivers couldn’t come up with a brilliant idea that Uber did and how Netflix became the number one choice of Blockbuster’s long-time customers!
Businesses that are bold enough to innovate, serve as the poison pill for those that are still following the rules of the last century!
Rate of change remains critical!
When I say only the agile survive, it means that not do businesses need to pioneer and change their business models, they need to do it at the velocity of digital dysfunction, as a way to survive!
Via the rise of digital, to beginning of websites time, to social media and now mobile, technology, every couple of years, digital appears to be disrupting every aspect of our lives and that too at an unprecedented pace.
Rather than embracing and expanding the new digital wave, Kodak, Polaroid and many others spent their time and energies on defending the status quo. By the time, they realised digital photography is here to stay, it had recently been too late!
Rethinking value creation
One thing gowns common of most these innovators (Netflix, Uber, AirBnB and many others) is their ability to pin number point a gap in existing products and services and filling it by rethinking a solution that creates greater value for the users! Above all the core of their investment is focused on the customer and supplier value proposition not product or services they serve!
Perform you really think Marriot knows what a hotel industry is all about? Without having to own property, hire and teach housekeeping staff or be on call 24/7, AirBnB was able to any simpler and more successful business design that was profitable to all or any parties (i. at the. customers and suppliers) included!
AirBnB’s impact on the hotel industry is yet another example! “Digital disrupters know how to think again about value creation and create a new market space that did not can be found before!
Businesses can deliver value to customers using the five steps in the interaction curve: Shopping for, using, transferring, co-creating and integrating products and services! Business that can offer greater value in conditions of novelty or efficiency on any of these customer touch points.
Understanding the magnitude of change
The magnitude of dysfunction can often potentially clean out major businesses and often entire industries.
Understanding the magnitude and the size at which a brand new business model will affect your remains critical. Consider how YouTube’s “How to” videos is impacting formal education and how online scheduling for travel has almost eliminated the traditional role of travel agencies.