“Digital disruption is a mindset that ultimately leads to a way of behaving; it bypasses traditional analog barriers eliminating the gaps and boundaries that prevent people and companies from giving customers what they want in the moment that they want it.” – James McQuivey, Digital Disruption: Unleashing the Next Wave of Innovation
The phrase “digital disruption” has become something of a fad term in recent years and is often misused to describe any product involving digital technology or the use of digitization to better compete in the marketplace. On the other hand, some use the term disruptive technology to describe a new technology that displaces an established technology.
What’s causing Digital Disruption?
The race is underway to make customers’ lives more convenient, easy and engaging, and companies are becoming better and better at creating a differentiated customer experience that exceed customer expectations. Plus, humans are consuming technology at rates that are anything but slowly. That in it of itself is causing changes everywhere – specifically in your business and in your competitors’ businesses as a result of your customers’ evolving behavior.
Given the pervasiveness of digital technology and demand for more satisfying customer experiences and engagements, businesses are responding by using technology to empower their customers while still differentiating themselves among their competition.
Even as new digital technologies push business into innovative, perhaps unfamiliar territory, other external forces – globalization, regulations, compliance requirements – continue to surface. Market disrupters are making it harder to differentiate, compete, and win. Either way, empathizing with customers is essential to growth and retention. Businesses that effectively use new technologies to develop better social selling processes and — more importantly — enhanced customer experiences are finding greater success.
Is Digital Disruption a threat or an opportunity?
Change often happens at a pace and scale that impacts existing business practices in disruptive ways, threatening and invalidating existing business models. Digital disruption can be intimidating as it will inevitably transform many areas within a company, its departments or at the service or product level. It’s how you turn these challenges into opportunities that will drive your success.
Digital technologies offer opportunities for the creation of innovative business models. The opportunity will then depend on how businesses use social, mobile, cloud technologies and data which help businesses discover new ways to offer new services to customers that will eventually lead to an improved brand affinity.
The Digital Reality
Digital disruption is indeed invading every company in every industry – and it’s not what anyone thinks it is. Instead, it’s much bigger, much more powerful, and much more accessible than anyone realizes.
From new entrepreneurs to established businesses across a wide range of industries, business leaders must seek innovative solutions that leverage emerging digital technologies and trends – and they must realize that their companies must continuously reinvent themselves or ultimately face value defeat at the hands of their competitors.
Here at LiquidHub we know that digital transformation (especially as it relates to customer engagement) is a real game-changer. When a company can develop and execute a digital strategy and focus on how they are going to provide a seamless customer experience across any channel and across the entire lifecycle, they will see greater returns.
Whether good or bad, people are consuming technology at faster rates every day, leaving brands and business alike no choice but to jump onto the digital wave. Unfortunately, some digital innovations disrupt our understanding of the concepts of value, communication and other more traditional ways of working. But, the technology itself doesn’t need to feel overwhelming or intimidating – we can find a happy balance between technology and human interaction that is both satisfying and efficient.