Feb 21 – 5 Key Stories From The Digital World

By February 21, 2019 Insight

1.  Digital Transformation Was Already Important, But Now It’s Also Urgent

  • IDC recently updated its forecasting of worldwide digital transformation spend, predicting that it will reach an eye-watering $1.97 trillion in 2022.
  • At the current rate of change, about half of the S&P 500 companies will be replaced in the next 10 years.
  • If you look at data published in MarketWatch, it shows that China had 9 of the world’s 20 biggest tech companies in mid-2018, compared to none in 2000. Staying where you are is not an option.

2. VCs Nearly Doubled Their Investment In AI

  • VC funding into US artificial intelligence startups grew 72% year-over-year, hitting over $9.3B.
  • One potential driver behind this jump is a significant increase in expansion-stage deals. From Q1’18 to Q4’18, expansion-stage activity increased as a percentage of all AI fundraising from 19% to 32%.
  • The vast majority of AI deal activity took place in California, which saw 53 deals totaling $1.9B. In second place was Massachusetts, with 13 deals worth $247M.

3. 5 Emerging Technologies That Can Help Increase Sales Conversions

  • The business landscape is making a gradual shift toward becoming a voice-first market, and optimizing your business website to appear in voice search results is a paradigm shift from traditional lead generation.
  • predictive models consider several factors while mapping historical data like the current sales pipeline, average deal size, past rep performance, and time in stage, which helps in unearthing the “buy” signals in customer behavior.
  • AI-powered assistants can also help a sales team make data-backed decisions and improve its business predictions. AI consultants could also play a role in building products for upselling and cross-selling by providing the sales team with relevant product recommendations.

4. Key Initiatives To Transform Data Into Exceptional Customer Experience

  • Largely a consequence of poor data collection capabilities, today’s brands and retailers struggle to deliver tangible personalization, despite its 38% influence on all digital revenue.
  • Retailers at the forefront are adopting a 360-degree view of their entire supply chains—from raw material acquisition to production to last-mile delivery, by adopting intelligent, data-driven processes to not only predict inventory and aptly respond to consumer expectations, but also synchronize information-sharing amongst all members of the supply chain.
  • By unifying data systems and understanding strengths and weaknesses, companies will be better poised to capture emerging opportunities in the end-to-end retail experience.

5. 3 Digital strategies for companies that have fallen behind

  • For the best in breed, digital reinvention more often than not focuses on core market diversification and beyond as well as the use of digital M&A.
  • Those companies add a full point of extra revenue and EBITDA growth per year more than “generic” digital re-inventors.
  • In aggregate, for the companies that were not first-movers, we find that a company can rebuild a profitable growth path by blending the three postures of agility, digital M&A, and cooperation with digital platforms.