The Internet may well be the most important technological innovation in my lifetime, the engine that’s been pulling the economy and society from the industrial age of the past 200 years to our 21st century digital age. But, it’s important to remember that in addition to their many benefits, technological revolutions are also highly disruptive.
The Internet’s transformative impact is being felt in industry after industry and company after company. Despite high profits and stock valuations, many companies are feeling the stress of our fast changing business environment. Advances in technology and new competitors are constantly threatening their market shares and business models. Adapting to the ongoing digitization of the economy is the most challenging transformation every business is facing. And arguably, no transformation has been more challenging than meeting the service expectations of digitally empowered customers.
Digital technologies enable companies to better engage with their customers and offer them a superior experience at affordable costs. But, providing such an experience to increasingly savvy, - and fickle, - customers, is getting harder. New offerings are hitting the market faster than ever, brand loyalty keeps decreasing, and the increased competition is continuing to shift power from institutions to individuals. Consumers have more choices than ever in virtually every category of products and services as well as in the channels used to acquire them. Customers are taking advantage of all the information at their disposal to search for the best possible values.