The world as we know it is being changed at an unprecedented rate. The Internet of Things (IoT) and digital products have revolutionised the way that we work, relax, manage our homes and finances in ways that would have seemed inconceivable just 10 years ago.
Any company today that wishes to succeed in this bright new digital economy of ours must transform themselves. This is not necessarily an easy task either, since business models, strategies and processes must be reinvented.
The digital economy was borne of the billions of connections, everyday encounters, between people, services, businesses, personal and public data. These connections are happening every second of everyday, right around the globe. Knowing this, companies must learn how to analyse this mass of data and extract value from it.
– Dinesh Sharma, Vice President of Portfolio Marketing, SAP
Disruptive measures, services, products
The word ‘disruption’ gets thrown around alot these days when talking about digital economies and start up ventures. Taxi companies have found great success when dealing with the emerging digital revolution. Realising that we live in a connected world, a world brought and held together by the ever present smartphone, one company in particular rocked their slice of the industry.
Uber was, and still is in some areas, a controversial setup. Highly disruptive, they tapped into an area that very few cab firms had even thought of. More than that, they made full use of the technology people already had and they did so brilliantly.
Today, there are a growing number of similar services and not just in the private cab arena. Delivery companies are now also opening up new areas of business and creating a lot of jobs in the process. Deliveroo is just one such example. By taking a previously neglected area of the service industry and making use of digital connections, Deliveroo disrupted an otherwise sedate market. Self employed couriers work their own areas, with their own transport methods and use digital devices to receive work, payment, directions etc.
Self driven success
Of course, we cannot say ‘disruption’ and mention cars without touching on autonomous vehicles. These are just going into the mainstream and they are set to take over highways and high streets before we know it. Massive advancements in battery technology, led in no small way by Tesla, and of course the navigation and detection software have meant that these vehicles are becoming more and more cost effective.
Self driving freight trucks are able to go on through the night, constantly updating HQ with their location and status. Incredibly efficient, when compared to traditional haulage methods, autonomous vehicle technology has the capacity to completely change the face of the industry.
Autonomous homes, also, are becoming more widespread. Latest devices and advancements from the likes of Google, Amazon and Apple are transforming our personal spaces. Shopping from any room in your home, with just your voice? A few years ago you would be been called insane. Today, Alexa from Amazon makes that possible… And a whole lot more.
Lighting, heating, music, security and even restocking your fridge, can all be done from a smartphone and you don’t even need to be home to do it.
Massive financial gains for the future
The global digital economy was worth a little over $19 billion in 2015. If this doesn’t sound too impressive (non-digital was worth $66 billion) consider this: By 2020, the global digital economy is expected to grow to $25 billion.
A growth of $6 billion in just 5 years is an incredible shoot up the charts! As more and more companies, and startups, begin to realise the potential of the digital age and the devices that power it, the more valuable it will become. This is value that business needs to be tapping into.
Many companies are still not fully embracing the digital world, but they really should be if they wish to be able to compete in the future. Smaller, local companies like corner shops may not feel the need but if they wish to expand, grow and reach new areas and markets then they may not have too much choice.
Where does your business stand with the technological revolution, are you embracing it fully, testing the water or keeping clear as much as you can get away with?