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Digital Transformation - International Days - Artevelde University College - May 2017

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Lecture on digital transformation for students of the Artevelde University College in Ghent, Belgium.
The internet has been around for 25 years and has caused many disruptions. With more disruptions to come, many organizations are seeking for ways to use digital opportunities in a meaningful way creating more value for customers and sustaining their business.
The impact of the development of the Web on marketing and communications and how it causes digital disruption for companies is shown in this talk. With practical examples you will get insights in how organizations can create more value for customers at the same time also the organization can benefit from these efforts. Several digital developments such as mobile, social and 'internet of things' will be presented. Besides the use of theoretical models for digital disruption and digital transformation, some case studies are presented which bring directly applicable tips to take home.
Principles for digital transformation are a changing value proposition, business model, culture, technology and organization.

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Digital Transformation - International Days - Artevelde University College - May 2017

  1. 1. International Days 2017: Digital Transformation How to profit from the impact of new technologies Artevelde University College Ghent - May 2017 Ayman van Bregt digital strategist International Days 2017
  2. 2. About Ayman van Bregt Digital strategist Ayman van Bregt digital strategist aymanvanbregt Digital Strategist who creates meaningful digital customer experiences for companies I assist companies in creating more value for customers supported by digital resources, to strengthen the relationship with customers and create new customer insights. Senior Lecturer Online and Digital Marketing, Creative Concept Development & Digital Value Creation (Rotterdam University of Applied Science) Co-founder Dutch Social Media Academy (NSMA) Slides: http://bit.ly/ID-Artevelde-2017
  3. 3. About Ayman van Bregt Digital strategist Ayman van Bregt digital strategist aymanvanbregt Digital Strategist who creates meaningful digital customer experiences for companies I assist companies in creating more value for customers supported by digital resources, to strengthen the relationship with customers and create new customer insights. Senior Lecturer Online and Digital Marketing, Creative Concept Development & Digital Value Creation (Rotterdam University of Applied Science) Co-founder Dutch Social Media Academy (NSMA) Slides: http://bit.ly/ID-Artevelde-2017 Slides: http://bit.ly/ID-Artevelde-2017
  4. 4. Ayman van Bregt digital strategist International Days 2017
  5. 5. Agenda Ayman van Bregt digital strategist International Days 2017 01 02 03 Shifts in business, media and behavior Digital transformation principles Models for digital transformation 04 05 Tips for digital transformation Q & A
  6. 6. Context first Ayman van Bregt digital strategist International Days 2017 Source: https://www.holidayguru.nl/wp-content/uploads/2015/05/gent.jpg
  7. 7. Defining digital disruption What is digital disruption? Digital disruption Digital disruption is the change that occurs when new digital technologies and business models affect the value proposition of existing goods and services. Ayman van Bregt digital strategist International Days 2017
  8. 8. Defining innovation, concepting and new business development Digital disruption: Innovation and concepting in a digital world that leads to new business development Innovation Innovation is a new idea, more effective device or process. It applies a better solution that meets new requirements, inarticulated needs, or existing market needs. Concepting An idea of something formed by mentally combining all its characteristics, creating value as a construct for business. New business development New business development concerns all the activities involved in realizing new business opportunities, including product or service design, business model design, and marketing. t Ayman van Bregt digital strategist International Days 2017
  9. 9. Defining digital transformation What is digital transformation? Digital transformation Digital transformation is the transformation that organisations strive for in order to profit from the impact of new technologies. Ayman van Bregt digital strategist International Days 2017
  10. 10. SHIFTS PRINCIPLES MODELS TIPS Q&A Shifts in business, media and behavior “People who bet against the Internet, who think that somehow this change is just a generational shift, miss that it is a fundamental reorganizing of the power of the end user. The Internet brings tremendous tools to the end user, and that end user is going to use them.” - Eric Schmidt
  11. 11. Source: https://flic.kr/p/ffeAdk Agricultural economy used technology to ease work Ayman van Bregt digital strategist International Days 2017
  12. 12. Source: https://flic.kr/p/cYNcbY Industrial economy used technology to scale production Ayman van Bregt digital strategist International Days 2017
  13. 13. Source: https://flic.kr/p/r2Xwfs Information economy used technology to digitize Ayman van Bregt digital strategist International Days 2017
  14. 14. Experience economy used technology to provide more service Ayman van Bregt digital strategist International Days 2017 Source: http://www.archdaily.com/tag/ghent
  15. 15. Source: Innosight Creative destruction whips through corporate America http://bit.ly/1Dljj6X Ayman van Bregt digital strategist International Days 2017
  16. 16. Source: KPCB Internet Trends 2014 www.kpcb.com/file/kpcb-internet-trends-2014 Ayman van Bregt digital strategist International Days 2017
  17. 17. Ayman van Bregt digital strategist International Days 2017
  18. 18. Source: postnl.nl Ayman van Bregt digital strategist International Days 2017
  19. 19. Ayman van Bregt digital strategist International Days 2017
  20. 20. Ayman van Bregt digital strategist International Days 2017
  21. 21. Ayman van Bregt digital strategist International Days 2017 Bron: https://youtu.be/FW651kusiBI
  22. 22. Shifts in business because of digital disruption Ayman van Bregt digital strategist International Days 2017 In 2015, Uber, the world’s largest taxi company, owns no vehicles. Facebook, the world’s most popular media owner, creates no content. Alibaba, the most valuable retailer, has no inventory. And Airbnb, the world’s largest accommodation provider, owns no real estate. Something interesting is happening. Source: http://techcrunch.com/2015/03/03/in-the-age-of-disintermediation-the-battle-is-all-for-the-customer-interface/
  23. 23. Source: https://www.macroaxis.com Ayman van Bregt digitaal strateeg International Days 2017
  24. 24. Shift in business because of digital disruption Shorter lifespan and more uncertainties; Technology one of the most important drivers for business; Simplifying supply chains; Ayman van Bregt digital strategist International Days 2017 Source: http://blogs-images.forbes.com/learnvest/files/2014/06/behavior-change-expert- questions.jpg 01 02 03 Focus on communities and platforms.04
  25. 25. Shift in media Ayman van Bregt digital strategist International Days 2017 Source: https://www.ethos3.com/wp-content/uploads/2014/12/human-digital-marketing2.jpg
  26. 26. Ayman van Bregt digital strategist International Days 2017 Source: https://flic.kr/p/8w5ywj
  27. 27. Media consumption back in the days Media attributes of the past Lineary; Location specific; Limited possibilities; Passive. Ayman van Bregt digital strategist International Days 2017 Source: http://flic.kr/p/8w5ywj 01 02 03 04
  28. 28. Ayman van Bregt digital strategist International Days 2017 Source: http://youtu.be/8JenAyMmZ68
  29. 29. Ayman van Bregt digital strategist International Days 2017
  30. 30. Ayman van Bregt digital strategist International Days 2017
  31. 31. Media consumption nowadays Media attributes of the current Nonlineary; Not location specific; Indefinite possibilities; Active and/or passive, you are connected. Ayman van Bregt digital strategist International Days 2017 Source: flic.kr/p/8nNBUK 01 02 03 04
  32. 32. Ayman van Bregt digital strategist International Days 2017
  33. 33. Ayman van Bregt digital strategist International Days 2017 Source: http://visual.ly/reaching-50-million-users
  34. 34. Ayman van Bregt digital strategist International Days 2017 Source: https://www.slideshare.net/wearesocialsg/digital-in-2017-global-overview
  35. 35. Ayman van Bregt digital strategist International Days 2017 Source: https://youtu.be/WWoLF_TiWcs
  36. 36. Source: https://www.statista.com/statistics/272014/global-social-networks-ranked-by-number-of-users/ Ayman van Bregt digital strategist International Days 2017
  37. 37. Source: https://www.statista.com/statistics/258749/most-popular-global-mobile-messenger-apps/ Ayman van Bregt digital strategist International Days 2017
  38. 38. Source: http://joyerickson.wordpress.com/2011/06/15/chatting-with-friends-over-dinner-from-mssc/ Ayman van Bregt digital strategist International Days 2017
  39. 39. Ayman van Bregt digital strategist International Days 2017 Source: https://twitter.com/cap0w/status/431176293590106112
  40. 40. Ayman van Bregt digital strategist International Days 2017 Source: http://www.telegraph.co.uk/news/worldnews/asia/china/11095439/Chinese-city-paints-street-lane-for-mobile-phone-users.html
  41. 41. Ayman van Bregt digital strategist International Days 2017 Source: http://www.ad.nl/binnenland/veel-kritiek-op-led-verkeerslicht-voor-smombies~a5f75cf8/
  42. 42. Ayman van Bregt digital strategist International Days 2017 Source: https://www.linkedin.com/company/delray-recovery-center
  43. 43. Source: http://sjinsights.net/2014/09/29/new-research-sheds-light-on-daily-ad-exposures/ Media consumption research Average adult’s daily media and ad exposure 01 02 03 Average number of advertisement and brand exposures per day per person: 5,000+; 04 Average number of “ads only” exposures per day: 362; Average number of “ads only” noted per day: 153; Average number of “ads only” that we have some awareness of per day: 86; Ayman van Bregt digital strategist International Days 2017 05 Average number of “ads only” that made an impression (engagement): 12.
  44. 44. Ayman van Bregt digital strategist International Days 2017
  45. 45. Shift in media use because of digital disruption Media abundance; Mobile is one of the most important screens; Remaining visibility is the biggest challenge for companies and brands. Ayman van Bregt digital strategist International Days 2017 Source: http://www.business.com/content-marketing/the-real-marketers-shift-from-social-media-to-content-marketing/ 01 02 03
  46. 46. Shift in media use because of digital disruption FOMO: Fear of missing out Nomophobia: No-mobile-phone phobia Infobesity: Information overload Ayman van Bregt digital strategist International Days 2017 Source: http://www.square2marketing.com/marketing-ideas/buyer-behavior 01 02 03
  47. 47. Shift in behavior Ayman van Bregt digital strategist International Days 2017 Source: https://www.thefuturefinanciers.com/wp-content/uploads/2017/02/cyber-glasses-1938449_1280.jpg
  48. 48. Convenience (Potential) customers are impatient and expect ‘instant feedback’ like running water from a tab or connecting a cable to a power outlet to recharge a smartphone Ayman van Bregt digital strategist International Days 2017
  49. 49. (Digital) Relationship before the focus on the transaction (Potential) customers have a need for information so deliver first upon their requests and than they’ll be willing to listen to what you have to offer. Ayman van Bregt digital strategist International Days 2017
  50. 50. Personal (Potential) customers want you to recognise and acknowledge their situation and don’t apply a one size fits all principle. Ayman van Bregt digital strategist International Days 2017
  51. 51. Unbundling Microservices that provide personal experiences Unbundle packaged offerings; Use technology to give customers more choice and control; Create flexible revenue models (only pay for what you use); Manage expectations well and provide a great customer experience and customer service. Ayman van Bregt digital strategist International Days 2017 Source: https://susannye.files.wordpress.com/2011/04/asparagus_04.jpg 01 02 03 04
  52. 52. SHIFTS PRINCIPLES MODELS TIPS Q&A Digital transformation principles “A disruptive innovation is a technologically simple innovation in the form of a product, service, or business model that takes root in a tier of the market that is unattractive to the established leaders in an industry.”
 - Clayton Christensen
  53. 53. Ayman van Bregt digital strategist International Days 2017 Digital transformation principles The principles that underlie the process to start and stimulate digital transformation Value proposition Business model Culture Technology Organization
  54. 54. Source: http://kevinwarnock.com/2011/07/30/airbnb-hosting-is-fun-with-minimal-risk/ Digital transformation - Convenience Deliveroo disrupting the food and restaurant industry by offering delivery from restaurants that don’t take-out and deliver Ayman van Bregt digital strategist International Days 2017 01 02 03 Combining logistics and online food ordering; 04 Community by uniting supply and demand; Personalisation and choice (recommendation engine based on ingredients); Focus on customer service; 05 Realtime insights (food tracking, delivery time).
  55. 55. Ayman van Bregt digital strategist International Days 2017 Digital transformation - Relationship Circles.life and Duolingo focus on building a relationship instead of focussing on the transaction Source: https://www.circles.life/ Source: http://kevinwarnock.com/2011/07/30/
  56. 56. Digital transformation - Personal Amazon transforming the grocery and supermarkt industry by creating a personalized shopping experience supported by smart technology Ayman van Bregt digital strategist International Days 2017 Source: https://youtu.be/NrmMk1Myrxc
  57. 57. Digital transformation - Unbundling Airbnb offering several services to choose from directly transforming the travel industry and their value proposition Ayman van Bregt digital strategist International Days 2017 Source: https://youtu.be/yQ0_7vGJQL8
  58. 58. Digital transformation - New level playing field It’s very difficult to predict who your next competitor will be Ayman van Bregt digital strategist International Days 2017 Source: https://www.emerce.nl/nieuws/deense-shobr-daagt-supermarkten-uit
  59. 59. SHIFTS PRINCIPLES MODELS TIPS Q&A Models for digital transformation “The reason why it is so difficult for existing firms to capitalize on disruptive innovations is that their processes and their business model that make them good at the existing business actually make them bad at competing for the disruption.” - Clayton Christensen
  60. 60. Ayman van Bregt digital strategist International Days 2017 Source: Future workforce strategies - 21st Century Skills
  61. 61. Ayman van Bregt digital strategist International Days 2017 Source: McKinsey The Social Economy http://bit.ly/mckinsey-socialeconomy
  62. 62. Ayman van Bregt digital strategist International Days 2017 Source: Four levels of digital mastery - Leading Digital
  63. 63. SHIFTS PRINCIPLES MODELS TIPS Q&A Tips for digital transformation “Management is the opportunity to help people become better people. Practiced that way, it's a magnificent profession.” - Clayton Christensen
  64. 64. Ayman van Bregt digital strategist International Days 2017 From pushing to attracting Digital paradigm shift to achieve digital transformation Fundamental changes because of digital disruption
  65. 65. Ayman van Bregt digital strategist International Days 2017 From interrupting to inviting Digital paradigm shift to achieve digital transformation Fundamental changes because of digital disruption
  66. 66. Ayman van Bregt digital strategist International Days 2017 From unfocussed (ignorance) to focussed Digital paradigm shift to achieve digital transformation Fundamental changes because of digital disruption
  67. 67. Ayman van Bregt digital strategist International Days 2017 From control to letting go Digital paradigm shift to achieve digital transformation Fundamental changes because of digital disruption
  68. 68. Ayman van Bregt digital strategist International Days 2017 From avoiding risk to managing risk Digital paradigm shift to achieve digital transformation Fundamental changes because of digital disruption
  69. 69. Ayman van Bregt digital strategist International Days 2017 From disjointed (customer) experiences to seamless
 (customer) experiences Digital paradigm shift to achieve digital transformation Fundamental changes because of digital disruption
  70. 70. Ayman van Bregt digital strategist International Days 2017 Source: http://searcharchives.vancouver.ca/people-looking-through-holes-in-fence-and-in-trees-to-see-over-fence Attention is the new currency
  71. 71. SHIFTS EXAMPLES MODELS TIPS Q&A Q&A “Question everything.” - Maria Mitchell
  72. 72. Ayman van Bregt digital strategist International Days 2017
  73. 73. Ayman van Bregt digital strategist International Days 2017 Source: Econsultancy - The context for digital transformation https://econsultancy.com/reports/webinar-the-context-of-digital- transformation/downloads/7509-econsultancy-context-of-digital-transformation-webinar-pdf/
  74. 74. Tips for digital transformation skills: The Innovator’s DNA Mastering the Five Skills of Disruptive Innovators Associating (linking ideas that aren’t obviously related); Questioning (questions that challenge the status quo); Observing (observing how things work and what doesn’t work); Networking (meeting people from different backgrounds and perspectives to extend your knowledge); Ayman van Bregt digital strategist International Days 2017 Source: http://www.claytonchristensen.com/books/innovators-dna-mastering-skills-disruptive-innovators/ 01 02 03 04 Experimenting (trying out new experiences with the world as your laboratory). 05
  75. 75. T-shaped People - Skills for digital transformation People needed for digital transformation have breadth of knowledge and a depth of expertise Ayman van Bregt digital strategist International Days 2017 Source: Econsultancy The context for digital transformation http://bit.ly/digital-transformation-econsultancy 01 T-shaped people are defined as those who have a strong vertical expertise but also wider knowledge or empathy for other digital disciplines. This is not to say that vertical expertise is less important, but more that when this is combined with that wider understanding it is increasingly valuable in appreciating the wider context of specialist work, identifying opportunities for greater collaboration or efficiencies, and seeing the bigger picture.
  76. 76. Source: Econsultancy The context for digital transformation skills http://bit.ly/digital-transformation-econsultancy Ayman van Bregt digital strategist International Days 2017
  77. 77. Ayman van Bregt digital strategist International Days 2017 Source: Skills revolution: http://www.manpowergroup.com/wps/wcm/connect/5943478f-69d4-4512-83d8-36bfa6308f1b/MG_Skills_Revolution_FINAL.pdf
  78. 78. Ayman van Bregt digital strategist International Days 2017 Source: https://www.youtube.com/watch?v=SHF9gxQWl7c
  79. 79. Ayman van Bregt digital strategist International Days 2017 Source: http://searcharchives.vancouver.ca/people-looking-through-holes-in-fence-and-in-trees-to-see-over-fence Attention is the new currency
  80. 80. Ayman van Bregt digital strategist International Days 2017 ‘The difference between helping and selling is just two letters. But those two letters are critically important to the success of business today.’ - Jay Baer
  81. 81. Focus on the real human connection - C.A.R.E. Ayman van Bregt digital strategist aymanvanbregt © ignite.cx
  82. 82. Contact ayman@ignite.cx +31 6 41 383 525 Creates meaningful digital customer experiences for companies http://www.ignite.cx Ayman van Bregt digital strategist aymanvanbregt

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