Are your digital channels the most effective ones?
While digitization, overall, is a no-regrets play, some channels resonate more in certain industries. When we compared two retail brands, we found that social media converted consideration into purchases twice as effectively as other digital channels did. For two Italian banks we studied, online searches were found to be five times more effective than other digital channels in converting consumers. The key is to know your customer, figure out the correct digital channel, and use these insights while building your ecosystem.
The digital revolution cuts two ways for companies as customers with a wider range of options become more difficult to reel in. However, brands that have moved swiftly to master digital channels—gaining a deep understanding of customer preferences, crafting digital experiences, and improving offerings via social feedback—are establishing a competitive advantage that may be difficult to beat.
I strongly believe, that companies have no choice to go digital, if they want to survive. Is it easy? No! You need to know your customers and you constantly need to evaluate and re-evaluate your channels.