Towards an embedded digital culture...
What does ‘digital’ really mean for today’s entertainment and media companies? It’s no longer just about technology. Instead, it’s shorthand for ‘the world has moved on – and business has moved with it.
Digital has brought entertainment and media businesses the ability to deliver myriad new experiences to consumers. But the underlying shift it has triggered is even more profound: an irreversible migration to a more complicated world, where businesses move faster and it’s ever harder to sustain competitive advantage.
...that drives ever closer to the customer
As a result, the most important impact of digital has been to create a new mindset towards doing business: not just quicker, but more targeted, experimental, experiential, inclusive, collaborative. We believe this shift towards a more personalised customer-centric organisation1 is the single biggest change since the advent of digital media.
What’s more, this decisive step now become mainstream: a pervasive part of the industry’s ‘new normal’. It’s a mindset that focuses unwaveringly on applying the core principles of digital – which are about getting ever closer to the customer – across everything the organisation does, whether digital or analogue.
Not digital strategy: just business strategy
So businesses no longer need a digital strategy. What they need is a business strategy fit for a digital age – one that looks beyond digital innovation to target relationship innovation.
Why relationships? Because consumers’ psychology has undergone an equally dramatic change. They’ve realised they can be at the centre of their own world of entertainment and media, switching from finding content experiences they have liked, to being found by content experiences they will like – via every channel and device.
Relevancy: now a target across all industries
Delivering such an experience demands more than crunching data: it means getting to know people as individuals, and them knowing you back. When this happens, the result is relevancy – which brings the company that delivers it a disproportionate share of that individual’s lifetime value.
It’s not just entertainment and media businesses pursuing this opportunity. The battle for relevancy is now being joined by participants ranging from utilities to retailers to carmakers, all competing head-on for the same relationships – and all by offering the same level of personalisation and recommendations.
Three behaviours to build a successful strategy
What does this mean for companies’ strategies? The bedrock is the digital mindset. Companies must then build on this through three behaviours:
Describing the digital mindset – targeted, experimental, experiential, inclusive, collaborative – is easy. The hard part is embedding the behaviours to turn these words into strategic reality. Those companies that achieve this will have a business strategy fit for a digital age.
1Profitable growth in the digital age. Towards a MyMedia company, PwCView Outlook subscription options and pricing Buy the Outlook Explore further