Before you start spending on digital transformation, you need to work out how to make the journey as efficiently as possible. This article spells out how we can help you cut the demands of your digital transformation, without cutting corners.
“CIOs spend 18% of their budgets in support of digitalisation, and analysts expect budgets for digital transformation to increase to 28% in the next two years.” – Gartner
An overwhelming majority of brands are now on a digital transformation journey, with many clearly prepared to devote vast resources to the task.
Businesses are doing the right thing in setting some budget aside – there’s no doubt that a respectable level of investment is needed to make digital transformation happen. However, in our view, many businesses are spending more than the required amount of time and money. Worse still, because of their inefficiency, they are delaying the business benefits of digitalisation.
The importance of transforming efficiently
The benefits of digital transformation tend to build as the journey progresses. This is not just our assertion – it’s an intrinsic fact of the process.
As more customers move over to a digital channel (i.e. an app), the brand can start gathering more user data. This could be info like personal details entered by the user in-app, or it could be behavioural data such as the times of day when the user is likeliest to perform certain actions, or which content they engaged with.
All this data can be used to deliver improvements in customer experience and automated marketing – both of which yield better results for the business. This benefit magnifies over time, because the more customers there are on the digital channel, the better their data can be used collectively to enhance user experience in every conceivable way.
The beginning of the digital transformation process is infamously painful. Thank goodness, then, that the digitised destination is rewarding – increasingly so with every new login and user action.
This is why it pays to digitally transform efficiently: you’re getting to the profitable part fast.
Plug-in-and-play solutions to improve app engagement
Is all this talk of transforming fast setting off alarm bells? Brands can be years – or even lifetimes – in the making. It’s only natural to want to tread cautiously when there’s so much at stake.
And be in no doubt: there are plenty of household names whose digital transformations have gone badly. Even HMRC, the British tax authority got it wrong, by cutting too many support staff before digital upgrades were fully realised.
There’s clearly a balance to strike here: between transforming fast, and managing the risk to your brand. We’ve come up with a solution that satisfies both sides of the equation.
How Magpie expedites digital transformation – whilst taking care of your brand
Magpie’s approach to digital transformation is built on the premise that if you can create more reasons for customers to use your digital channel regularly, you’re going to get more buy-in for your digital transformation.
Our strategy is to build new value-added services into your app, to complement your core offering. For instance, we might add a travel planner into a ticket-booking app; or a warranty organiser into an insurance app. There are over 30 plug-in-and-play services like these ready to add into your app in our services catalogue.
These services work on two key levels to aid your digital transformation:
- They encourage customers to use the app regularly;
- They are a means of gathering user data that can be used to improve the service you provide.
From confirmation to rollout, Magpie can fit your app out with these value-creating solutions in as little as 24 hours.
Here’s how it works:
We start with your existing app OR a ready-made container that can be customised with your branding. This app provides your core digitised service, e.g. bank account management or insurance purchase.
We add in selected value-added services from Magpie’s catalogue, or from a third party of your choosing. Value-added services give customers a reason to use your app regularly, which helps progress your digital transformation.
The app is updated and made available to customers within as little as 24 hours, with no need for an update in the app store.
The new app iteration produced will use your own branding and choice of services, allowing complete differentiation from your competitors.
This approach creates efficiencies on several fronts. Most importantly:
- There’s no build time or build cost, because you’re buying software that already exists;
- We’ve already gone through all the trial-and-error needed to ensure the service works;
- You don’t need to spend time and effort thinking of the best solutions to your customers’ problems – because we’re working with developers who’ve already imagined them.
And if you do encounter any hiccups, we’ll be there to provide support around the clock.
Digital transformation progress is an upward curve
We think it’s important to conclude this article by emphasising the point that digital transformation does not progress in a linear fashion: it’s an upward curve that gets steeper with every click and every download.
Whenever a customer engages with your digital platform, you get more data. This data provides insights to support your business and its digital transformation, including:
- Ways to improve the digital platform
- Individual customer intelligence that facilitates service improvements and targeted marketing
- Services that become more valuable to the customer the more they are used.
To say that digital transformation yields benefits after a certain point would be to undersell it. In fact, it provides exponentially increasing benefits throughout its progression.
This is why we’re passionate about the journey from analogue, through digital transformation, to data insights – it grows more rewarding by the moment.