Transformation is a key concept these days, especially in light of the current global pandemic. All businesses will have to transform one way or another if they are to stay afloat in the present landscape. As people around the world stay at home, work at home, and rely heavily on deliveries and online stores, you might need to consider your digital channels and e-commerce tools. These online tools might be what stands between a surviving business and financial ruin.
Bringing or introducing new products to the market is a daunting task; a data-driven go-to-market strategy can help you determine how to deliver the appropriate product to the right customers at just the right time. In this pandemic-driven landscape, the reinvention of your business must be rooted in digital transformation. Markets will probably never be the same—and going digital and leveraging big data is the name of the game.
COVID Digital Transformation and the Customer
The COVID-19 age is the new era of retail, and it’s an era that’s all about the customer. All businesses will enter into a transformation phase due to the crisis, but you have to ensure that your business stands out. Besides focusing on the product or the service you offer, companies should also improve their overall customer experience. Here is where big data and artificial intelligence helps by providing essential insights and transforming these insights into competitive intelligence.
The drastic changes driven by the pandemic have caused unpredictable changes in consumer behavior. Without the necessary data, businesses may find it hard to find ways to address consumers’ ever-changing changing needs. Nowadays, the commonly shared experience for most consumers worldwide is the need to comply with government-mandated restrictions and safety precautions, which has led to more demand for online shopping alternatives.
Your online channels might be the only practical channel in light of the circumstances, but there are a few things to remember in your shift from brick-and-mortar to digital.
Choose the right products to offer.
Focus on essential goods and limit purchasing to regulate demand and provide goods to more consumers. Remove impractical product offerings from your online catalog.
Get creative when it comes to costs.
There are scenarios wherein online order fulfillment is more expensive than offline, so this is the primary consideration. Find ways to minimize cost across the board to avoid financial pain in the future.
Expect production delays and inventory shortages.
Delays in production and shipping are inevitable; the best way to address them is to get prepared in advance. Monitor stock regularly and order early to ensure that you meet consumer demand.
Digital is Here to Stay
Retailers need to manage their expectations about how businesses will continue during and after COVID-19. The first thing to remember is that the demand for digital isn’t a temporary trend. Retailers should refocus their budget on online channels or take the omnichannel approach.
Long-term planning means slashing budgets, but this doesn’t mean you shouldn’t invest in tools or channels that could help set up a foundation for future profitability. Take a good, hard look at your current initiatives and what you have planned for the coming months and determine which will work and which won’t, in light of the current business landscape. Retailers now face a tough decision in choosing the marketing activities and costs needed for survival in the short term while also thinking of success in the long run.