digital strategy is a form of strategic management and a business answer or response to a digital question, [1] often best addressed as part of an overall business strategy . A digital strategy is Often caractérisée by the implementation of new technologies to Existing business activity [2] and / or a focus on the enablement of new digital capabilities to Their business [3] (Such As Those created by the Information Age and Often-as-a result of advancements in digital technologies such as computers , data , telecommunications , Internet, etc.). As is the case with its business strategy parent, a digital strategy can be formulated and implemented through a variety of different approaches. [4] Formulation often includes the process of specifying an organization’s vision, goals, opportunities and related activities in order to maximize the benefits of digital initiatives to an organization. Business Intelligence , Collaboration, New Product / Market Exploration, Business and Technology Optimization, Enterprise Technology Architectures and Processes, innovation and governance; to more marketing and customer-focused efforts such as web sites, mobile, eCommerce , social, site and search engine optimization , and advertising.

Overview

There are many approaches to conducting digital strategy, but at their core, all go through four steps: [5]

  1. identifying opportunities and / or challenges in a business where online assets can provide a solution;
  2. identifying the unmet needs and goals of the external stakeholders that most closely align with those key business opportunities and / or challenges; [6]
  3. Developing a vision around how the online assets will Fulfill Those business and external stakeholder needs, goals, Opportunities and Challenges, [7] and
  4. prioritizing a set of online initiatives which can deliver on this vision.

Within each of those courses, a number of techniques and analyzes may be employed.

Identifying the key opportunities and / or challenges in a business

  • Stakeholder interviews

One-on-one interviews, interviews and workshops with a company’s senior management, marketing and sales, operations and service stakeholders with a goal of understanding the business strategy, challenges and opportunities, products, organization, processes, supply chain and vendors, distributors, customers, and competitive landscape, and the role of their online assets.

  • Competitor analysis

Includes evaluations of a company’s main competitors and potential substitutes with the goal of understanding a company’s strengths and weaknesses relative to their competitors and potential substitutes. While this often includes such steps, such as products, prices, etc. Competitor analysis includes two unique items:

  1. Heuristic evaluation : An evaluation by an expert of the usability and user experience of a company’s online assets compared and contrasted to those of competitors and potential substitutes. [8]
  2. Features / functionality: An evaluation of the features and functionality provided by the company’s online assets, compared and contrasted to those of its competitors and potential substitutes.
  • Financial analysis

An analysis of a company’s financial data (which may include everything from public financial statements to private ERP data) with the goal of understanding the financial impact (positive and negative) that certain changes would have on a company.

  • Bridge between business challenges and digital roadmap

ASSIMPLER Blueprinting – The Business Blueprinting of the organization is designed based on the ASSIMPLER framework. ASSIMPLER stands for Availability, Scalability, Security, Interoperability, Maintainability, Performance, Low Cost of Ownership, Extendability and Reliability – Applied to Business Services and Processes. The framework helps the business expectations and challenges to be addressed through the Digital Strategy.

Identifying the unmet needs and goals of external stakeholders (consumers of online assets)

  • External stakeholder interviews [9]

One-on-one interviews and focus groups with a company’s external stakeholders, with a goal of understanding external stakeholders behaviors, needs, goals and perceptions of the company and their business both in the broadest and more specific contexts. In addition to standard marketing strategy methodologies and questions ( quantitative and qualitative ), external stakeholder interviews for digital strategy can include usability testing , an analysis of how to effectively external stakeholders. In digital strategy, it is used to uncover usability that can be prevented.

  • Ethnographic research

An analysis of external stakeholders in their environment, for example: field observations of shoppers in a store. In addition to standard ethnographic research, digital strategy research can include video recording of an external stakeholder using their computers or specific computer applications or web sites. [10]

  • Web analytics [5]

An analysis of the usage patterns of a company’s online assets with the goal of better understanding. These are the most popular pages, what are the most popular paths, where are they coming from, where do they drop off, how long do they stay, and so on.

  • Performance assessment: Review of the effectiveness of current digital technologies.
  • Funnel analysis

A representative methodology for web analytics where the company’s online sales are modeled as a sales funnel, with a visit or impression representing a new lead, a certain page or action in the web site considered a conversion (such as and specific pages in the web site representing specific stages of funnel sales. The goal of the analysis is to provide insight into the overall conversion of the funnel of the funnel (the stages in which the largest percentages of users drop out of the funnel). [11] This may also involve analysis of a company’s search engine optimization and changes in online traffic pathways. [12]

  • Analytical CRM

An analysis of a company’s customer databases and information repositories with the goal of segmenting customers in one or more dimensions of behavior, demographics, value, product or marketing message affinity, etc. In digital strategy this often includes the online customer registration database which is used to provide access to their customer specific, protected areas.

  • Multichannel analysis

An analysis of a customer’s behavior, such as their purchase or service behavior. There are lots of different ways to do this; a representative example would be, a company focuses on the customer’s purchase process (how does it become a product, how does it relate to a product, and how does it actually affect the product)? The analysis would be looking at which channels (for example: phone, catalog, retail store, web site, 3rd party search engine, etc.) a customer uses the stage of the purchase process, attempting to understand each channel is used, each channel’s relative attributionand evaluating the company’s strengths or weaknesses in that particular channel for the particular stage of the process. [13]

  • Statistical surveys

An approach to the collection of external stakeholder feedback in a quantitative manner from a large population. In digital strategy, surveys can be used to validate or invalidate key questions raised in other qualitative exercises. Depending on the size of the population and the degree of variation within the population, the results may be segmented to one or more dimensions of behavior, demographics, value, product or marketing message affinity, etc. Surveys are sometimes conducted using web surveys, e-mail lists, or 3rd party panels, or surveys or other methods may be used when there is a need for a particular target population.

Developing a vision and prioritizing a set of online initiatives

  • Business plan gold case

A spreadsheet with supporting documentation that quantifies the investments and returns over time, resulting from the execution of the online strategy. The Business Plan also defines the Key Performance Indicators (KPIs) that will be used to measure and evaluate the success of the online strategy.

  • Technical assessment

A design of a technical architecture which will meet the needs of the business vision and conform to the business plan and roadmap. This is often done as a gap analysis where the current technical architecture is assessed. A future technical architecture, which meets the needs of the online vision, is designed. The gaps between the current state and the future are identified, and a series of initiatives or projects to be developed and sequenced.

  • Organizational and process assessment

Similar to a technical assessment, organizational and process assessments. They may involve a series of business processes reengineering projects focused on the areas of an organization most affected by the online initiatives.

  • Portfolio management

A way of prioritizing various initiatives by comparing their cost of implementation with their expected business benefits. This is often done by creating a two-dimensional matrix where cost-effective runs along the x-axis (from high cost to low cost) and expected business benefits runs along the y-axis, from low benefit to high benefit. Individual initiatives or projects are then calculated on the basis of their calculated costs and benefits. Priorities are then determined to provide the greatest benefit for the lowest cost.

  • Online media plan

A plan detailing the allocation of media spending across online media (such as search engine marketing , banner advertising , and affiliate marketing ) usually as part of the customer acquisition or retention elements of the digital strategy. Since the late 2000s, social media has become increasingly important for customers, especially for smaller businesses. [14]

  • Proof of concept

Graphical representations or an outline of key ideas or processes of the digital strategy. These are often created in order to build a consensus concept or to build excitement among stakeholders when building consensus or socializing a digital strategy.

  • Roadmap

A high-level project which details the durations and dependencies of all the initiatives in the digital strategy. The roadmap will often include checkpoints to assess the progress and success of the digital strategy, over time.

  • Measurement plan

A description of the key performance indicators used to measure the effectiveness of the digital strategy and the process for collecting and sharing information. The measurement plan usually covers the financial, operational, and e-business metrics and their relationships. [15] [16]

  • Governance model

The organizational structure, roles, and process description of the operational entity that will manage the initiatives in a digital strategy. The governance model describes who is responsible for what, how are decisions made, how are issues being escalated, and how is information on the performance of projects being communicated within the organization.

Personas

As of 2007, a trend in digital strategy is the use of personasas a framework for using customer information to prioritize online initiatives. Personas are character sketches which represent a typical member of a customer and their needs, goals and behaviors. Because it is representative of a customer segment, it allows decision makers to prioritize various features based on the needs of the segment. Because it is a character sketch, it is sometimes easier for decision makers to internalize the information it needs. A typical approach is based on customer interviews, ethnographic research, and statistical surveys. Then assemble key decision makers or stakeholders, present the findings of the personas,

Execution

Historically, execution of a business or digital strategy is done with a big bang, with broad initiatives such as the redesigns and transactional systems 6-12 months to develop and often an additional 6-12 months before they deliver any results. As of 2007, they have adopted a strategy that is one of their strategies, one of which has been measured and analyzed. An example of this test-measure-optimize-scale approach is that a company may have some key pages on their site and a version of these pages with different marketing messages, design approaches, user experience optimizations, navigation optimizations, and even new features and functions using a multivariategold A / B test. The company would then identify the most important business metric (such as conversion), analyzing the results to understand which changes are most important pages and future tests ( conversion optimization ). The advantage of this approach is in the long run, it is more successful in delivering business results, because each step is measured and adjusted for. In addition, it tends to favor smaller (less risky, less expensive) steps rather than larger (more risky, more expensive) initiatives before getting the payback. [17] The disadvantage is that over time this approach tends to converge on a solution (local optimum ), not necessarily the best solution ( global optimum ) that might have been reached if a company starts from scratch instead of building each step on the previous one. Another disadvantage is that this solution is more likely to be smaller, more likely to be in the process of doing so, and it is often and effective manner. As a result, companies often adopt a mix of big bang efforts augmented by some smaller, more iterative efforts as part of their overall strategy. A person who is Primarily focused on digital strategy May be Referred to as a Digital Architector digital strategy and a person who executes a digital strategy can be referred to as a digital marketing engineer .

Digital strategy vs. online strategy

The two terms, “digital strategy” and “online strategy”, tends to be thrown out somewhat interchangeably. However, there is some consensus citation needed ] around the differences between digital strategy and online strategy. According to some, who? ]digital strategy refers to the strategy of a digital company, where digital connotes deeper interactions with their customers, and more personalized and personalized offerings and interactions, data driven decision making, and organizational models and processes company’s environment. Online is a subset of digital, which can be used online. In this context, a company may use the term as a strategy for the development of a company or a business enterprise. a digital transformation strategy. [18]

References

  1. Jump up^ “The Difference Between IT Strategy and Digital Strategy – Dave Aron” . 2013-11-12 . Retrieved 2016-07-11 .
  2. Jump up^ “What Is A Digital Strategy? – Accenture” . www.accenture.com . Retrieved 2016-07-11 .
  3. Jump up^ “Digitization | Digital strategy and capabilities to win in a digitized world | PwC’s Strategy &” . Retrieved 2016-07-11 .
  4. Jump up^ “Business Strategy / Approaches to Strategic Management – Wikibooks, open books for an open world” . en.wikibooks.org . Retrieved 2016-07-11 .
  5. ^ Jump up to:b Wright, Macala. “How to Develop Your Digital Strategy” . Mashable.com . Retrieved 2 November 2013 .
  6. Jump up^ Center for Digital Strategies (2003): Enabling a Customer-Focused Organization: Thought Leadership Summit on Digital Strategies , Center for Digital Strategies at the Tuck School of Business and Cisco Systems
  7. Jump up^ Quinn (2006): Ready for the Digital Future? , pg. 30-31, Supply Chain Management Review.
  8. Jump up^ Nielsen (2004): How Big is the Difference Between Websites? , Jakob Nielsen’sAlertbox.
  9. Jump up^ Sibley, Dave; Johnson, Eric (2013). “Case Studies” (PDF) . Vincent L. Lacorte Case Studies . Tuck School of Business at Dartmouth . Retrieved 2 May 2014 .
  10. Jump up^ Anderson, Ken (March 2009). “Ethnographic Research: A Key to Strategy” . Harvard Business Review . Retrieved 2 May 2014 .
  11. Jump up^ Extra Paycheck Blog (2014): Online Business Training , Online Marketing.
  12. Jump up^ Fong, Richard (27 March 2014). “The Evolution of SEO: How Digital Marketing Has Changed in the Last 5 Years” . BlissDrive . Retrieved 2 May2014 .
  13. Jump up^ Bean (2001): The Application of Technology to Marketing: A Twenty Year Perspective , pg. 5, Center for Digital Strategies at the Tuck School of Business.
  14. Jump up^ Paul Jasper (2015): The Increasing Importance of Real-Time Marketing . Digitalmarketingmagazine.
  15. Jump up^ Kim (2006): Reinventing The Marketing Organization: Customer Groups Should Trump Channels, Products, Gold Geography . Forrester.
  16. Jump up^ Burns (2006): Leaders Take A Strategic Approach To Web Analytics . Forrester.
  17. Jump up^ Davenport (2006):Competing on Analytics, Harvard Business Review, January 2006.
  18. Jump up^ Matt, Christian; Hess, Thomas; Benlian, Alexander (2015). Digital Transformation Strategies, Business and Information Systems Engineering, 57 (5), 339-343.