The term digital disruption has become something of a cliché in recent years and is often misused to describe any product involving digital technology or the use of digitization to better compete against marketplace peers. It is often confused with the term disruptive technology, which simply describes a new technology that displaces an established technology.
Digital disruption is just a disruption caused by technological evolution affecting certain business types. E.g Netflix, Uber and AirBnB while disruptive technology is a complete revolutionary technology that changes the way people work – forever. E.g the invention of computers and mobile phones.
The digital disruption we are witnessing started with the emergence of Social, Mobile and Cloud Computing Technologies, leading to new business and economic models with a strong focus on the customer experience. “Digital disruption is using technology to transform everything about the way businesses are run and the way they interact with customers” Reduction in costs, measurement, optimization and access to large numbers of people are the major reasons driving the establishment of more internet solutions and the shift from physical to online.
Companies that wish to capture value amid shifting consumer preferences and business model disruptions must focus on an;
- Increasingly prominent source of competitive advantage; The User Experience
- Harness technology and data to attract, retain and engage users–and convert them into devoted fans
The first wave of digital disruption is long gone and we are well into the second phase, where Robotics, Automation, Virtual & Augmented Reality have already significantly shifted reality as we knew it. Let’s take a deeper dive into what these trends are;
- Mobile Commerce
When people shop, their smartphone is now their go-to advisor and assistant. The line between online and offline shopping is increasingly blurred. Brands have to shift from a traditional, quarterly campaign strategy to an always-on conversational approach, where brands become virtual friends that can be reached by customers for product information or recommendations on demand.
- Messaging Apps
Messaging is the holy grail to reach a new generation of text-hungry customers who are spending most of their time these apps. Spend more time where your customers are. Messaging is a new sales and communication channel. Those who fail to capture it will end up losing the mobile commerce battlefield to competitors who have made messaging a cornerstone of their communication strategy.
- Consumer Data
The more we communicate together via messaging apps or with digital assistants living inside our phones and smart speakers, the more data we create as a society as a result. With the rise of data and AI, hyper-personalization at scale is now a possibility, which will redefine how we design the entire customer experience. Brands need to leverage these insights in order to market effectively and more accurately than their competitors in order to stay in the game.
- Conversation AI (Chat-Bot)
Conversational AI — better known as Chatbots are quickly becoming the cornerstone of every brand’s marketing and communication strategy. The end goal for marketers should be to foster meaningful and enduring customer relationships through marketing strategies with these five trends in mind. That’s how brands will win in the evolving e-commerce world.
- Block Chain Technologies
Technology has allowed marketers to track where their ads are placed and ensure that real consumers, rather than automated bots, are clicking on their ads. There are a few game-changing services that can help marketers effectively track marketing efforts through block chain. Some existing ones include;
- Double Verify
making sure that every penny is being put where it’s supposed to go.
- Influencer Marketing
People tend to gravitate toward experiences that are authentic and real, and potential customers are more likely to believe a real person over an advertisement about how good a certain product or brand is. To get the most out of a business’s marketing budget, marketers should choose their influencers carefully and make sure the ambassadors they use cater to and reach the right consumers.
- Augmented and Virtual Reality
It’s a way to bring static or unreal environments into a more realistic experience, something that would integrate the “offer” with the “reality” of the buyer. This trend which is not new, is one of the most highlighted trends for 2019. Although still in its gamification phase in Nigeria will soon start to become a thing, however might not be accessible to MSME’s due to the cost of implementation.
Opportunities for Growth
- The digital economy is developing rapidly worldwide. It is the single most important driver of innovation, competitiveness and growth, and it holds huge potential for Nigerian entrepreneurs and enterprises.
- Nigeria is the largest mobile market in Africa and present huge opportunities for businesses that take advantage of new technologies such as Social, Mobility, Analytics and Cloud, popularly called SMAC.
We are living in an age of the empowered consumer – who demands:
- Hyper Relevance – “Know Me”
- Personalized Relationships at Scale – “Show Me You Know Me”
- Seamless Customer Experience – “Delight Me”
- Inherently Mobile – “Enable Me”.
To succeed, professionals should have fore sight on what’s hot and what’s not