Drivers of digital technology adoption

Technological advancements, such as cloud computing, mobile services, big data analytics and innovation, have been key drivers in the history of e-commerce and digital business.

For example, big data delivers an enormous amount of data from various resources. This data flow is processed by analytics techniques to offer actionable insights or discover the market trends for decision making. Indeed, technologies and innovation reinforce e-commerce and digital businesses by offering benefits.

Digital marketing expert Dave Chaffey (2014) categorises these benefits in two ways: competitiveness drivers and cost/efficiency drivers.

1. Competitiveness drivers

Potential for increased revenue arising from increased reach to a larger customer base and encouraging loyalty and repeat purchases amongst existing customers. This can include responding to customer demand, improving the range and quality of services offered and avoiding losing market share to businesses already using e-commerce.

2. Cost/efficiency drivers

Cost reduction achieved through delivering services electronically. Reductions include staff and operating costs, transport costs and costs of materials such as paper (Chaffey, 2014).

Your task

What are the organisational drivers for e-commerce and digital transformation?

Thinking about organisational culture and training, how might managers accelerate the adaptation process?

Share your thoughts and insights in the comments section below. You may like to read the ‘see also’ articles to guide your discussion.

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References

_{Chaffey, D. (2014). Digital business and e-commerce management: strategy, implementation and practice. Pearson Education. Locate link (Available to fee paying students)}