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Digital Businesses Need To Make Strategic Investments In 2023 To Survive Economic Turbulence

Digital businesses will need to make strategic investments in 2023 to survive the looming potential economic storm. Do not lose the momentum that fueled your digital initiatives during the pandemic! Committing to digital maturity as a goal and making the right digital investments could help businesses not only endure but thrive despite the challenges that 2023 will bring.

If you’re looking to see growth rather than stagnation (or worse, shrinking fortunes), you’ll need to target the sorts of investments that hit the sweet spot of near-term demand. An example: Many brands should consider a dedicated SaaS-based order management system to provide inventory availability and order routing logic, in real time, to demanding customers. The potential benefits of such savvy investments are large: 35% of digitally mature brands expect 15% growth year on year, in comparison to a mere 9% of digitally immature brands.

Innovate judiciously. Although it’s important to experiment, prioritize investments that will enable you to build new experiences that meet your customers’ immediate needs or iterate upon your existing offerings. Don’t get overly distracted by the hype surrounding trends such as NFTs and the metaverse.

How exactly does a brand achieve digital maturity aside from investing in the right digital initiatives? By implementing these investments quickly and iterating upon them often. One brand that has demonstrated the success of this approach is Bank of America. Having ramped up investments in digital before the pandemic, the bank was ready to put them into overdrive once Covid-19 destabilized the world’s economy and changed the world as we knew it. Now, 71% of its customers actively use its digital platforms, and the bank sells more through its digital channels than it does in person. Follow Bank of America’s lead and stay ahead of your competitors by prioritizing your customers’ immediate digital needs.

To better prepare your business for planning season, read more about the Planning Guides here.

This post was written by VP, Research Director Ian Jacobs and it originally appeared here.

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