Transferring sales to digital commerce channels boosts revenue, according to a Deloitte Access Economics report released today. A five per cent shift of customer purchases to digital channels generates a 3.5 per cent boost to revenue growth, the report said.
That revenue boost is one of the reasons organisations are increasingly turning to digital sales tools. According to the report, businesses are aiming for a five percentage point shift in sales out of traditional channels like bricks-and-mortar and into digital to follow customer trends online.
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But to achieve the revenue gains businesses and customer engagement, APAC businesses “need to make sure that the use of these digital channels is personalised and provides a consistent customer experience,” the authors said.
That journey occurs across multiple channels, and APAC organisations are expanding to meet them. The average APAC business now use five promotional channels, the report said. 96 per cent of them use email and websites, 89 per cent use social media and 77 per cent use mobile apps.
The Deloitte Asia-Pacific commerce report was conducted for Sitecore and is based on a survey of over 1000 businesses in the APAC region with over 250 employees. It found businesses in the region would prefer to conduct more of their operations online, but there are still significant barriers to adoption of online tools.
The top challenge identified by respondents is integration (26.7 per cent) followed by cost (24.9 per cent) and other priorities (20.1 per cent). According to the report the barriers to adoption were largely consistent across APAC regions.
Why APAC businesses are going digital
According to the report, increased sales, customer experience and keeping up with competitors are the main reasons for the adoption of digital tools in the region.
Deloitte Access Economics partner, and the report’s principal author, John O’Mahony, said “Digital strategies can’t be thought of as simply online sales to reduce costs. Consumers want better experiences across multiple channels.
“Businesses in the Asia-Pacific region are aware of just how pivotal having a focus on the customer journey is, with over 80 per cent of those we surveyed agreeing that continual engagement is important.”