The term “digital” is no longer restricted to consumer facing front end systems. It is not enough to offer your customers a mobile app and call yourself a digital company. Consumers demand innovative products and services at a much faster pace and traditional methods of development fall behind demand. This kind of rapid change calls for companies to digitally transform the way they develop and deliver products and services to their customers.
The market for IT Services also reflects this rapid change. From 2016 to 2018, the traditional IT service market grew only 2%, while the digital technology services market grew 20%. On cloud services alone, the amount of IT spending is expected to rise to almost $216 billion in the year 2020 (from $114 billion in 2016), according to one report by Gartner. Companies are looking to incorporate digital technologies in all aspects of their business from R&D to Operations to Sales and Marketing.
Pactera Head of China Marketing, Dongwei Zhang, spoke on the importance of “Embracing the Digital 2.0 Era” as part of her keynote speech at the China Service Trade Innovation and Development Summit. The summit theme of “Service Trade Innovation Outsourcing,” attracts representatives of leading trade leaders, international organizations and world famous universities, as well as national government officials to discuss the global trade in services and new trends. In her speech, Dong wei listed four key principles to integrating digital technologies in your business.
Foster Rapid Growth
o Use a variety of digital technologies to keep up with consumer and market demands, accommodate varying business and service models, and implement analytics-based marketing approaches. Pactera uses big data technology to help China’s third largest e-commerce company more thoroughly analyze mass consumer behavior data to increase purchase rate by 59% and repurchasing rate by 35%.
o Implement new procedures to speed up the development and maintenance of digital products and services to bring them to market faster. Pactera uses DevOps to support the world’s largest online travel company. By combing development, testing and operational monitoring you can achieve rapid iteration of new versioning with fewer software bugs.
o Embrace digital technology to change the traditional business model. Pactera helps China’s largest dairy enterprises build a mobile based solution on the cloud to better determine market access through digital sales channels.
Upgrade the Customer Experience
o Create customer stickiness and improve customer participation and satisfaction by leveraging digital technologies. Transition from a product based business to a combined service oriented business model. Pactera helped Japan’s largest insurance company to implement the industry’s first case of a voice print recognition system. This has simplified customer identification and enriched the customer experience.
Since its inception in 1995, Pactera has moved forward to integrate digital technologies, first with its digital transformation strategy in 2015 and later with its acquisition of digital marketing company, Blue Fountain Media in 2016. Now digital revenue accounts for 30% of overall business income. In order to meet the arrival of Digital 2.0, Pactera officially released its new vision on August 18, 2017. In the future, Pactera hopes to lead the IT Service Provider industry with digital technologies to create industry value together with our customers and partners.