The Era of Digital Native Businesses: Redefining Customer Journeys

Tightening their grip on the online world and strengthening their position with a massive customer base, digital native businesses are growing on an average triple rate of any e-commerce brand Digital native businesses are consumer-centric in nature, and some of the most successful brands today are tech-enabled, have their own apps, and innovate continuously to build an amazing user experience. Though the digital native concept has been doing the rounds for almost two decades now, with the massive technological disruption today, we are comfortable accepting it in its entirety. Let's now shed some light on their journey so far.

Digital Native Businesses and their Rise to Power

Digital native businesses (DNBs) are organizations that are turning to digital technologies to run most of their business operations. DNBs are customer focused. With the radical shift in customer expectations and evolved technology landscape, even the most traditional businesses are pushed to a path of transformation. For example, take any brand in the most conservative BFSI sector, excelling in offering contactless and simplified services is their main goal. Every established bank and financial institution has its websites, app, smart services, and omni-channel presence to meet and greet its customers. Thus, banking from home is a matter of clicks today.

However, in the literal sense, a DNB is born and incubated online, which gives these brands a competitive edge, with a deep knowledge of their target audience and substantial control over the customer database. Whether a product, service, or operating in the product-service marketplace, everyone associated with the brand, inclusive of the owner, understands their customer behavior too well. It helps DNBs make insightful and informed decisions.

Essential Capabilities for Businesses to be Digitally Native

Creative entrepreneurship and extensive digital capabilities with low entry barriers have led to DNBs' massive growth. Therefore, organizations today are repurposing their vision to build a digitally sound enterprise. What are the digital capabilities that set them apart?

• Cloud-based and New-Age Technology

  Redesigning the existing traditional IT architecture using cloud technology and solutions. Replace archaic workflows with AI-driven processes.

• Predictive Analysis

  Adopting a data-driven mindset to get a grip on user behavior and leveraging the analysis to make informed decisions.

• Differentiated Value Proposition

  Business uniqueness and efficient operations leave a better mark on the mind of the customers, and they feel the value of sticking around.

• Mix of Organic and Paid Channels

  Transforming to a digital landscape has a cost of its own. Running paid ads, discounts, and endorsements only become too expensive. Strategic performance marketing with a high dependency on organic channels helps in good revenue generation.

• Outstanding UX

  Vertical DNBs do everything in their power to improve customer experience. They interact, transact, and story-tell creating an engaged community. To be one of the super players and captivate audience attention, businesses need to sharpen their offerings, providing an extraordinary customer experience.

Everything is Digital for a Digitally Native Business

The digitalization of marketing operations is only the tip of the iceberg. There is a compelling need to scale reach and operations for businesses that are inclined to evolve as digitally native. For instance, take any top retail DNBs like Myntra, Nykaa, Flipkart, etc. They started online, built their entire business online, and now steadily evolving into physical stores. Still, some are busy strengthening the online presence they have created.

However, there is a common misconception that having an e-commerce store makes for a DNB. E-commerce is simply a channel of transaction. What makes these brands a digital rocket ship is a full-blown digital strategy powered by technology, whenever, wherever, be it operations, logistics, supply chain, inventory management, or customer interaction.

Conclusion

To sum it up, the concept of DNB is growing. Many businesses today are striving to be in this category. The pros are interesting and achievable, while the cons are usually incidental, implying that money and time-wise considerable investments need to be made to cultivate such a business. Transformation comes with a lot of challenges, but once you leverage the new technology landscape, it will definitely get you a favorable return on your investment. One leap of faith, combined with a sound strategy, does it all!