In today’s hyper-digitalized era, digital transformation is an absolute necessity for trading enterprises to remain relevant in a steeply competitive market.
Digitization has brought about core transformations for enterprises in their relationships with customers, partners, as well as, competitors. Continuous improvement and innovation in emerging tech like AI, IoT, and Big Data, is drastically altering the business environment, creating novel solutions for strategic functions.
Strategies for the digital transformation of companies
Strategies for digital transformation include approaches to remodel businesses and integrate digital technologies, wherever needed, to acquire higher efficiency, productivity, business growth, enhanced customer experience, and optimized costs. So, when we talk about strategic planning for digital transformation, we should bear in mind that it will comprehensively influence nearly all internal and external factors of the business environment.
Digital transformation strategies should ideally include approaches to –
- Improve how data is collected, processed, and analyzed, including competitor information
This primarily involves implementing data analytical systems, especially to analyze heterogeneous data. Technologies like Big Data and AI are being increasingly implemented for processing data, to improve the efficiency of businesses. This, in turn, will help them choose the appropriate channels to interact with customers and generate hyper-personalized offers, products, and services. It will also empower businesses with essential competitor information for threat detection and prevention of negative impacts.
- Improve and organize customer interactions online for an enriched customer experience
Enhancing online customer interactions is mainly based on incorporating market research and data processing with customer relationship management (CRM) systems. Digital technologies are also needed to identify changes in market demands and behavior through customer interactions and digital channels. Technologies like AI and ML are helping develop super-personalized messages for advertising, thereby creating an environment of marketing interaction around individual users, integrating all available channels of communication.
- Boost ROI on digital transformation using metrics and flexible strategies
Implementing metrics to evaluate ROI can be vague, but using the objectives and key results approach can be substantially helpful in measuring ROI outcomes. Adopting an agile approach to digital transformation is of prime significance because it allows quick pivoting strategies, thus positioning businesses to respond better and adapt to uncertainty and change.
- Digitize trade finance for regulation and cost-optimization in cross-border trade
Though businesses have undergone extensive digital transformation, business financing options have remained largely traditional, especially in the realm of international commerce. However, the past few years have witnessed a rise in the digitization of trade finance. Trading enterprises need to implement technologies that help in the effective management and regulation of digitized trade finance and reduce costs involved in international trade.
According to experts, digital trade finance has major potential to support innovative services and unlock more functions of traditional currency. Digital financing options can provide significant breakthroughs in B2B international commerce and redefine the interaction between payments and user data.
As digital trade financing gains traction worldwide, it contributes to the growth of B2B e-commerce platforms. B2B e-commerce is estimated to evolve at a CAGR of 18.7 percent from 2021 to 2028, as per studies.
Riding the wave of digital transformation, B2B e-commerce marketplaces are now offering a global platform to small and new companies to network, trade, and expand business using digital trade finance. B2B marketplaces such as BBX India also offer instant credit facilities in the form of Digital Trade Credits to members, empowering small businesses with immediate funding support.
Without a solid digital transformation strategy, companies are bound to be more susceptible to rising competition and unprecedented changes. Digital transformation for trading enterprises is much more than implementing new technological infrastructure. It involves a seismic shift in the existing culture, workflows, and processes of enterprises, with customers at the core focus at all times.