6 Digital Transformation Benefits for Small Businesses
Technological advancements have played a crucial role in transforming the way we do business, not only in aiding companies to deliver improved products and services but also in revolutionizing their business models. A business cultural change delivers value to customers and improves the efficiency of the organization.
In today’s world, businesses are being accelerated by another product of technological improvements – Digital Transformation.
There is no doubt that Digital Transformation has taken the world by storm, due to its sheer magnitude, but what exactly does it mean and why does it matter? What are the benefits of going digital for small businesses? All these questions will be acknowledged and answered in today’s blog. Keep reading to find out all about digitalization and how to go about it.
What is Digital Transformation?
In the business world, the term ‘Digital Transformation’ refers to the creation of newer business models or evolving the current ones to make the most of out of technological facilities available. The integration of digital tools into different sectors of a business creates an incredible opportunity to alter the way a company operates. It primarily focuses on replacing manual processes with automatic, digital ones, to improve the functionality of a team. This organizational change can often have a huge impact and has prompted millions of business owners to reach out to digital transformation providers such as Appedology a one-stop digital transformations provider and a fast-growing app development company, for their projects and digital needs.
An online presence promotes business growth and expansion, irrespective of whether it is in the form of websites and mobile apps as it improves brand image and company recognition. Digital transformation has created new standards that will only spread further over time until every business either adapts to it or refuses to do so and falls behind.
Why Is Digital Transformation So Important?
Digital transformation implements a system of intelligence that optimizes your business operations to achieve the best possible outcome. It promotes faster service and improved quality of products, raising the standard of your business in the market.
The importance of going digital can be seen from IDG’s research that showed 89% of around the world have either incorporated digital systems or plan to do so. This includes Artificial Intelligence, Cloud Computing, paperless operations, and smartphone options such as app development.
Adopting a digital model for your business not only introduces additional revenue streams but also reduces development and production costs. There are plenty of additional reasons to go digital. Here are some more statistics to help you understand the significance of taking this next step.
51% of digital campaigns result in business growth and development.
Senior executives in established firms reported that digital transformation enhanced their operational efficiency by 40%.
Over one-third of business owners expect to benefit from their digital initiatives within 5 years.
More than $2 trillion was spent by major enterprises on their digital campaigns.
64% business owners claimed that they will be able to adapt to digital transformation while 37% of them reported an increase in jobs created by this disruption.
How Will Digital Transformation Benefit Your Small Business?
As you might have expected already, the implementation of digital plans can also bring sweet rewards. Here are some of the top benefits of digital transformation for your small business.
Efficient and Productive Workforce
Having proper technological devices that work together can help you streamline workflow and project efficiency. By digitalizing various manual operations and implementing automated options, you can save time and increase the productivity of your team. Integrating digital systems can also empower your employees and improve work efficiency. Employees are a key to success, and adding digitalization to your future plans and making the work easier for them can do wonders in raising team morale too. Implementing digital transformation means maintaining a broad mindset that helps you encourage your team to work with the best tools and technologies available.
Manual operations such as data entry, project management, and organization can be a hassle for any business. Such non-automated processes often create delays and can prevent your workforce from working at its full potential. By adding value to the working environment, digital solutions can encourage your employees to do their best. Successful businesses leverage digital elements and utilize them for the productivity of their workforce which in turn helps the business function in an improved manner.
Better Decision Making Through Data-Driven Insights
Decision making plays a crucial role in the long term success or failure of a business. It is always better to make informed decisions when it comes to your company’s future. So! How do you do that?
For many small scale businesses, having a dedicated team of consultants is not possible. In such cases, the major decisions always fall on the shoulders of business owners. It is essential for these business owners to get an in-depth analysis of how their business is going. Here digital transformation can step in to offer the perfect solution. Digital systems allow a business to collect useful information and utilize it to make important decisions for the future.
Digitalized information and automatic data collection enable business owners to get crucial insights about their work. Raw data can also be processed automatically to give a clear understanding, through statistics, of various business operations which greatly facilitates CEOs to make the right decisions for their business’s future.
Enhanced Customer Experience
The core of digital transformation focuses primarily on improving a business to suit customers: enhancing user experience by adjusting products and services at your customer’s preference brings in the big bucks.
Due to the dynamic change in customers’ age group and increasing usage of smartphones, implementing digital mobile options is essential. Consequently, app development is on the rise as mobile apps are a creative way to engage with customers. Statistics show that 2020 was a promising year for app development companies as there were almost 600 million app downloads every day. Wait, it gets better! By 2022, the total number of mobile app downloads are expected to touch 250 Billion. This is due to the friendly application that customers find easy to use.
Customer satisfaction does not depend solely on mobile options: digital transformation also improves the quality of your products and services, thus increasing customer satisfaction. As a result, this develops loyalty and encourages customers to use a business’s services over a long time.
More Revenue Generated
A business can be revolutionized through digital transformation in many different ways, hence an increase in revenue is a fair expectation. SAP Center reported these statistics to highlight the impact of digital transformation on a business’s income.
85% leaders claim that digital transformation increased their company’s market share.
80% organizations that have implemented digital models in their business have reported an increase in profits.
These statistics not only inform us about a company’s increasing income, through digitalization but also showcase the huge impact on a business’s long term success.
Digital transformation is a gateway to additional income. Websites and mobile apps can earn additional money for a business through advertisements and paid features. Moreover, eCommerce stores can also increase online sales and profits.
Reduced Human Error
To improve your business structure, improve work practices to reduce errors and mistakes. Using digital tools to automate day-to-day business processes such as data collection minimizes human error. Through digital transformation, you can manage your team’s tasks and track progress and ensure work meets deadlines. This improves the organizational level of your enterprise and increases team productivity.
Digital transformation also prevents many mishaps in an office environment by boosting the accuracy of your internal business affairs. Problems such as memory lapses, action slips, and general errors can be reduced through automatic processes such as reminders, progress tracking, and online guides. Since this results in better time-management and work-efficiency you have more time saved, adding to your profits.
A Digital Culture Creates Improved Collaboration
Last but not the least, integrating digital models in your business creates an incredible culture and environmental change within your organization. Internal costs can be reduced and more work-force transparency maintained.
In the past, collaborating within an organization or with external groups was a demanding task. With digital transformation, that is no longer a problem. Digital tools such as online meeting and project sharing apps offer the opportunity to work remotely and collaborate with your colleagues in real-time, without compromising the quality of your work. This enables a small business to get past infrastructure costs and geographical barriers to function in the best way possible.
What to Consider Before You Get Started?
The first step towards setting up a digital strategy for your business is planning. It is important to understand what type of digital transformation your business needs. This creates an effective plan and deciding if you want to implement digital strategies in business processes, products or management determines your approach.
It is also recommended to figure out the type of technological changes your business needs. If your business needs to work on operational processes, cloud computing and data analysis are your answer. Similarly, mobile technology can be used to improve brand image and recognition, while eCommerce increases sales and grows your business.
Once you have a clear idea of your digital strategy based on business needs, the next step is the kickoff: i.e. implemented plans becoming reality. Make sure to run pilot tests to understand how to prepare for changes in your business culture. It is also important to continuously monitor and analyze the impact of your transformations.
To Sum It Up
Technological advances revolutionized work through digital transformation: and this can make or break a business today. With changing times, small businesses or large, must adopt this change and make the cultural jump. If you’re looking to integrate digital options into your business, you can reach out to us. Appedology is one of the leading digital transformation providers in the world and we will cater to all your business automation needs. By making sure your business utilizes digital solutions to improve growth, you can achieve all your goals. So if you have an idea of how to take your business forward digitally or just simply wish to do so, our expert team is available to help you see it through. Make the right call.