If Covid-19 has taught businesses anything, it is that they must always be on guard and adapt quickly to the ever-evolving digital landscape. Otherwise, their survival and continued existence are highly doubtful. Over the last three years, many companies have learned the hard way how important it is to stay ahead of potential digital changes. On the other hand, business leaders who were keenly aware of ever-changing digital consumption integrated the knowledge into their business operations quickly enough and saw their profits skyrocket.
The above events brought the term “digital transformation” to the fore and caught the attention of industry experts and reputable digital marketing service providers. In simpler terms, the term refers to the use of digital technologies to change existing processes and culture in order to better offer their services/products. It is clear that a company’s ability to quickly scale digital solutions entitles it to enjoy the benefits of digital transformation.
But the question is: why are some companies able to fully realize the benefits of digital transformation while others lag behind? To answer this question, Google partnered with Boston Consulting Group (BCG) to examine how different companies around the world are approaching digital transformation.
In this blog, we will not only critically evaluate the results of this critical study, but also identify the typical characteristics of successful digital leaders that you must also strive for.
Research methodology and evaluation of results
A company with a strong marketing strategy and employees strives to stay abreast of the latest digital trends and gradually integrate them into its operations. However, a digital leader is a company that remains far-sighted and continually explores the information technology and marketing fields to look for new and more promising ways to deliver its products and services, interact with customers, and keep pace with the ever-changing environment.
The aim of the above study was therefore to distinguish these digital leaders from the laggards by examining the digital competence of two thousand companies worldwide. Surprisingly, the results showed that only about 30% of these companies are getting the most out of digital transformation.
The details of the study showed that companies that are able to scale digital solutions quickly reap significant benefits from digital transformation. This means that a company must be ahead of the pack to reap the benefits. These companies are the digital pioneers of today. Amazingly, these companies achieve three times higher sales and cost savings compared to the other laggards.
You can read the full report Here.
This leads us to the second most important question of the day: What magic spells do these companies have that help them achieve these successes?
To be honest, there is no magic trick or shortcut. A closer look at the same study helps us identify three key characteristics or qualities that the above-mentioned digital leaders possess. If you, as a business leader, can incorporate these three attributes into your business, success in the digital world will not be a far-fetched dream.
The three common characteristics of successful digital leaders
The companies that were able to scale their digital solutions had the following common characteristics:
Top level alignment
The attitude and zeal of the C Suite are ultimately reflected throughout the entire organization. Therefore, digital transformation should not only be viewed as a matter for the chief marketing or IT manager. Instead, the entire management level must come together and work together to develop a suitable roadmap or strategy. Furthermore, they must work together to implement the concept from top to bottom.
The study shows that 72% of digital leaders consider leadership alignment a priority.
Use high-quality first-party data
To properly connect digital solutions to your existing tech stack, you need to take a close look at the first-party data you receive from your customers and the data that already exists in the organization. However, to ensure the delivery of high-quality data, you must ensure appropriate data management and oversight.
The study shows that 90% of digital leaders use APIs and other microservices to collect the data that ultimately scales their digital solutions.
Adaptive Outlook
Finally, the research work mentioned above also shows that digital transformation should definitely not be viewed as a one-time process. You must have an adaptable, always-on mindset and constantly look for new ways to redesign the customer experience and your existing processes.
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