DigitalDigital Modernization

Digital Modernization – How does it really get done?

Now that we have a clear view of
what digital modernization is and is not, the question is: Who should lead these initiatives, and what should the digital strategy
be?

Most of the time, CIOs or CTOs lead
the agenda, but for digital modernization to deliver results, it is important
to have someone in the team with a customer-facing view and responsibilities. Moreover,
strategic planning should involve investigating new technologies and their
impact on the customer, the company, and the industry. While a dedicated task force
or focus group is the best way to stay focused on this aspect, companies should
ensure that customers are involved through focus group discussions, events, and
experimentation.

After a digital modernization
program is in place, companies must implement effective mechanisms to measure
its impact. Here are some tips that should come handy:

The frictionless omnichannel user experience should be the primary
goal.
To be successful in the Digital Age, customers should have the same
brand experience, access to data, and ease of operability across all channels –
physical stores, online, traditional desktop applications, and mobile apps.

Companies should effectively leverage social media and mobility as an
integrated part of their customer engagement strategy.

  • It’s important to emphasize that this doesn’t require shutting down your existing communication channels. In an effort to cut costs, some organizations have closed their call centers and started fielding customer requests through Twitter only. Unfortunately, many questions and requests go unanswered,
    which is the easiest way to get rid of customers.
    Instead, one should engage customers through any and all channels available, and the cost of implementation should be weighed against the opportunity cost of losing customers.
  • Also, through digital marketing strategy and social media analytics, companies must listen to customer opinions, elicit insights, and act on them proactively.

Companies should use artificial intelligence to create a hyper-personalized
experience and more compelling customer service.

  • This is easier said than done, and it may not be cost-effective for all the organizations to provide a personalized product or service. However, there are always a few touchpoints where creating a personalized experience will pay short-term as well as long-term dividends. Some examples include monitoring the driving habits to provide customized insurance, or offering a “freebie” that a customer is not expecting. An unexpected personalized touch is still the best way to earn customer loyalty, and the good news is that digital technologies provide ways to accomplish this.

While trying to provide an omnichannel
experience through third-party channels, executives and strategists should
always be sensitive to brand dilution when working with external aggregators.
In the world of Alexa and Siri, it is very easy to get behind the curtain and
become a service provider instead of an experience generator.

Here, your branding and partner
management team must stay focused to ensure the organization’s interests are
negotiated well when trying to provide an integrated digital experience through
external ecosystems.

Digital adopters must be
methodical in their approach and keep evolving themselves at every step to
compete with born-digitals.

In the
final part of this blog series, I will touch on the critical pillars of digital
modernization.

Learn about Digital Modernization and its stages in Part
1
and Part
2
of this blog series.