Digital initiatives are crucial to business success this decade, according to our respondents
Companies say their digital initiatives are either the most important factor in their rm’s success or of ’major’ importance
70%
A select group of companies (4%) will spend at least $1 billion each this year on digital initiatives, and the same percentage plan to spend as much in 2017
$1bn
Companies will invest this much this year in digital initiatives that give them an online connection to customers and the products they
sell to them
$113mn
$
Vast majority of companies (95%) see digital technologies as a critical way to connect to their customers
50% connect through their mobile apps for customers’ devices
34% connect via digital products/services that
customers buy and download
50% connect through continuous monitoring of social media
Digital initiatives = more revenueDigital leaders spend three times what followers will spend on digital initiatives this year
Leaders
$290mn
71%
50%$49bn
Followers
$93mn
7%
20%$22bn
Average spend
Increased revenue due to
digital initiatives
Average revenue
Average increase in revenue
Digital leaders are aheadCompanies with the greatest success from their digital initiatives put customer centricity at the core of their digital strategy
Have a singular long-term strategy that puts customer value at the center
Leverage moretechnologies
Centralize digitalinitiatives
Integrate digital technologies with existing systems
Majority of companieshave already brought a digital product or service to market
of companies have already done so
59% $234mn in average revenue currentlyfrom these digital offerings
75%of high tech companies
74%of media companies
66%of telecom companies
The biggest digital investorsMedia and entertainment, telecom, and high tech are more likely to have new digital products or services. While only 8% of companies said ‘digital reimagination’ was their
digital strategy today, 32% said it would be by the end of the decade
Spend on digital initiatives Over the next three years, companies worldwide will spend more of their digital budgets on Big Data and analytics technology to understand their customers digital habits
Big Data and analytics
Social media
Mobile and pervasive computing
Cloud computing
Robotics and AI
Across 13 global industries
To know how they leverage the Digital Five Forces
Core business models Products and services
Business processes
Customer segmentation Channels to market
Workplaces
To reimagine their businesses
Big Data and
analytics
Mobile and pervasive computing
Social media
Cloud computing
Robotics and AI
We surveyed 820 respondents
NA
LATAM
Europe
APAC
In 4 regions of the world
Our extensive data on digital initiatives at these companies provided numerous insights on strategies, impacts, investments, and future plans. The ndings below are those that we believe are most important.
KEY FINDINGS
A TCS Global Trend Study - July 2014
The Road to Reimagination:The State and High Stakes of Digital Initiatives
www.tcs.com/stateofdigital#TCSDigital #DigitalReimagination
