Companies of all sizes and types of businesses have a radical change in direction, by adopting digital technology, to provide effective solutions to new challenges. According to the 2020 Harvey Nash / KPMG CIO Survey, the coronavirus pandemic brought a significant surge in technology investment, growing at a greater rate than at any point in history.
In Greece, organizations with mature tech capabilities get themselves grounded in a stronger position to face the global health crisis’ effects, regarding the research conducted by the ELTRUN laboratory of the Athens University of Economics and Business. The survey reveals that 8 out of 10 small and medium-sized enterprises (SMEs) are forced to adopt significant changes to their operations, and 70% utilize digital technologies to address the COVID-19 effects.
With all of us experiencing market instability, the estimations for returning to normal are undoubtfully connected with the progress of vaccine research.
The negative consumer reality, with the uncertainty, the restrictive measures, job losses, etc., is continuously shaking up the market. At first glance being fully aware of the market, of which at Qivos, we have extensive experience, the impact on loyalty (or reward programs) has been less positive. The loyalty programs always act as a multifunctional tool, during the dramatic market change due to the COVID-19 pandemic.
By thoroughly examining the new reality, we acknowledge that this crisis -like any other past crisis- has permanently accelerated digital transformation and the adoption of emergent technologies by most organizations. Meanwhile, pandemic speeds up the transition from physical stores to eCommerce. This transition empowers one main goal of each company’s’ loyalty program that aims to identify its shopper; the transactions lead to convert the anonymous into identified customers.
Reading the change signals, that organizations have rushed to adopt relevant procedures and enhance their digital footprint and the customer are more open to trusting them, we realize that the new perception of the market reality can be beneficial for the loyalty industry in the long term. This will eventually have a positive impact on the relationship between the brand with the company. The transparency in the data collection procedure, the data utilization, and the use of advanced technology tools are the main huge challenge for the brands, in the post-pandemic era.
Author: Agis Kefalinos,Qivos’ CPO.