How Buying Into Digital Transformation Will Keep Customers Coming Back

By John Rakowski, Director of Technology Strategy, AppDynamics

Digital transformation—which involves realigning and investing in new technology and business models with a specific focus on the customer experience, according to Accenture—is everywhere we look. Each day, retail’s biggest brands like Macy’s, Sears and Wal-Mart are closing stores and ramping up online presence in an effort to boost profitability and maintain market relevance. But the reality is that digital transformation is affecting every space, not just retail.

In fact, a recent study from Retail Systems Research, titled The Internet of Things in Retail: Great Expectations, reported that 80 percent of respondents believe the Internet of Things (IoT) will drastically change the way companies do business in the next three years.

In today’s increasingly connected environment, the aim of digital transformation is to solve friction points in the provision of a service between companies and customers. For example, connected home appliances – which can notify users when milk is about to run out and even automatically reorder regular items – are great examples of how digital transformation can enable convenience, increase brand loyalty and remove friction between customers and suppliers through IoT.