Our surroundings have a penchant for being dynamic and changing by the second. If one lists out how the world has experienced a paradigm shift, technological advancement will top the charts. Technology has entered every sphere of life in the 21st century. All tasks once executed manually are now getting automated. One cannot help but recall how paying in cash in the local markets to buy products was the only shopping and payment option.
Today, the same process has been transformed and people can shop from the comfort of their homes using a mobile phone, and complete the transaction using online payment modes instantly.
A report shows the uphill trend that the number of mobile users in India has experienced in the last few years. From a mere 3.4 crore smartphone users in 2010, India now boasts 84.4 crore smartphone users, a number which is slated to rise to 153 crore users by 2040. With such numbers dominating the market, it is not surprising that the growth of a business depends upon its digital transformation with major reliance on smartphones. This blog lists out all how digital transformation is essential for businesses nowadays.
Why is digital transformation critical?
- Convenience and Comfort
One of the significant reasons that fuelled the rapid digital transformation is that it makes life more convenient and comfortable. The current generation prefers a hassle-free and straightforward shopping experience instead of making it a two-day extensive affair.
This is where digital payment systems bring comfort to customers who want to save time and money by shopping online. A digital payment system enables the customer to pay for products with just a few clicks without withdrawing money or visiting a bank. Businesses that invest in providing this comfortable experience to their customers will survive the harsh market demands of the current times.
- Security
Trust and credibility help a business craft a brand image and gain repute in the market. Customers won’t return to a business if they perceive it to be unsafe. On the other hand, if the business appears legitimate, it will attract customers organically. Security of the customer’s data is a key deciding factor when it comes to trust.
If the customer’s payment information falls into the wrong hands, it could lead to damning losses for them. Keeping the gateway and the business website up-to-date with all regulatory certifications is crucial for its growth. The customer’s private information is then encrypted and protected against cyber-attacks. For businesses looking to make the digital transformation, Zaakpay offers the latest security features for absolute protection.
- Data-Driven Growth
Data holds immense power within itself. Merchants may think that a list of all the products sold in the last month is of no use but to match the inventory. They might not know that the same list can be used to extract the trend of purchase based on different factors like time of purchase, geography, age group, and a lot more. Merchants can use these trends to make business decisions, offer rewards and discounts. Technologies like Artificial Intelligence (AI) and Machine Learning (ML) can be utilized to drive this growth.
- Efficient Management
A digital payment system can be used to revolutionize the whole business process. Accounting and inventory management can be automated with the help of the financial statements generated by the payment system. This reduces labor costs for manual work and makes the process less time-consuming. For businesses that have to accept recurring payments, payment link services like Zaakpay provide facilities for sending automatic reminders.
- No cap on Business Hours
Digital transformation keeps the business operational throughout the day and night. Customers can shop at any time at their convenience, which naturally boosts the sales of the business. An online payment system has a 24/7 uptime and is not restricted to working hours.
- Cost-Control
Digitization can bring down business expenditure dramatically. Businesses have to spend a great deal of money on labor. It might be spent on maintaining a pay-on-delivery system, depositing money in the bank, updating the books of accounts, or several other tasks. With automation and a digital payment system, businesses can control most of these costs and increase revenues.
- Increase Productivity
Automation takes away the mundane jobs from humans to computers. This gives the employees ample scope of innovating or using their skill sets to benefit the business in other ways. More time can be spent planning and making the business process more robust or targeting newer customer segments. The possibilities are endless. Digitization also opens doors for better partnerships among businesses as it is pretty easy to merge business processes when it comes to automation.
- Faster Processes
Most people would remember the hand-written invoices that were distributed by businesses a few decades earlier. With the advent of computer technologies, the same invoices began being made using word processing software. While the process did become somewhat quicker, it still relied on an individual to type in the information before it was ready. Digital transformation takes this system but takes out the need of an individual to carry out this task. Payment links can be generated in bulk and mailed automatically along with the invoices. Another type of digital transformation is Contract Lifecycle Management Solutions. These are digital transformed commercial contracting solutions that deliver company-wide value by optimizing costs, reducing risk, and creating new opportunities for revenue generation.
Conclusion
Every merchant aims for an upward trajectory of growth. Digitization is a factor that can catapult businesses in that direction. By signing up for an online payment service such as Zaakpay, businesses can take a step towards digitizing their core business module. Merchants can drop off quite a burden from their shoulders on the system.
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