Digital Strategy-The Evolving Business Strategy

As we can see, digital strategy is used as an extended-term nowadays. In fact, in business executives' minds, digital strategy becomes more and more a priority besides other business strategies. It started to become the most discussed topic in the news recently

What is digital strategy?

Now we know that a question slowly evolves in most people's heads: what is digital strategy? Right! So, to put it generally, digital strategy is nothing but a plan of action mainly designed to achieve business goals via digital initiatives.

Digital strategy companies

Any business demands a competitive and sustainable content marketing strategy to reach and convert more customers based on the power of online content while joining the different digital marketing channels with traditional media.

Many strategically experienced teams of digital marketing companies love challenges and work on projects across industries.

 

 They help clients and companies grow their digital goals by brand Creation, brand recall, sales, and visibility with their customized integrated digital solutions, digital road maps, and research-based approach. However, we should not mention their names

Digital vs digital marketing strategy

If we look for digital strategy we can find many different definitions, mostly marketing oriented but a digital strategy is not a marketing strategy, in fact, a digital strategy will usually contain a marketing strategy.

A digital marketing strategy will generally be outward-oriented, will focus on bringing value to our customers, giving us visibility, increasing our reputation, brand value, etc..

 

Types of digital strategies

Platform play

One third of firms have engaged to some degree in platform strategies, in an attempt to redefine their industry’s value chain so customers and suppliers can interact more directly and benefit from network effects. Platforms have the power to radically alter the way value is distributed in a value chain. Accor, which is opening its online booking platform to independent hotels offers a good case.

Digitally-enabled products and services:

Other companies, some 55%, were using digital technology to create new products or services with digital features, typically to serve new demand. One example is P&G’s Oral-B toothbrush with Bluetooth-enabled digital guidance.

Digital distribution channels

Many firms – almost 60% – invest in digital distribution channels, in an attempt to make it easier for customers to access their products or services.

New marginal supply

A smaller fraction of incumbent firms (13%) were using digital technology to tap into previously inaccessible sources of supply at a marginal cost, often, but not always, in combination with a platform play. Examples include the Swedish retailers H&M and Ikea, both of which are offering a online reseller options for their own customers, allowing them to sell used, branded products to one another.

Rebundling and customizing

Another 60% of companies are using digital technology to rebundle their products or services to better serve their existing customers. The paywall for news content erected by the New York Times where people can personalize reading lists and organize the content they read is a good example.

Cost efficiency

Almost half of companies we looked at were using digital to improve their cost efficiency, typically through automation or cost scaling. In an age where operational excellence is the norm, this strategy looks like it’s aimed at survival rather than creating a source of comparative advantage.