Digital Strategy
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Digital Strategy for a US Electronics Retailer
Business Challenge
The client faced increasing pressure on margins due to rising logistics costs, high customer service overhead, and inconsistent online conversion rates. Despite significant traffic to their eCommerce platform, cart abandonment and customer service costs were eroding profitability
Outcomes Delivered.
| Metric | Before | After | Change |
|---|---|---|---|
| Gross Margin | 41% | 58% | ↑ 17% |
| Operating Costs | €58M | €44.7M | ↓ 23% |
| Cart Abandonment Rate | 68% | 42% | ↓ 26 pts |
| Customer Satisfaction (CSAT) | 74% | 91% | ↑ 17 pts |
How they did it.
The consulting partner implemented a digital transformation strategy focused on enhancing customer engagement and optimizing the eCommerce experience. This included deploying AI-powered chatbots across digital channels to automate customer support, reduce service costs, and provide real-time assistance in multiple languages. Simultaneously, the team introduced advanced personalization tools, AI-driven A/B testing, and real-time analytics to improve product discovery, streamline the checkout process, and increase conversion rates. Together, these initiatives created a seamless, data-driven online experience that significantly improved operational efficiency and customer satisfaction.
- Limited insight into customer behavior and drop-off points.
- Fragmented checkout experience across devices
- Low product discoverability and poor personalization.
- High volume of repetitive customer service queries.
FAQ
What People Ask
The following are the set of questions we most commonly get asked in relation to Digital Strategy.
Digital Strategy is a comprehensive playbook that outlines how your organisation will leverage digital technologies including A.I, channels, and tools to achieve outcomes that drive growth It encompasses everything from digital marketing and customer experience to operational efficiency and digital transformation. A well-crafted digital strategy aligns technology investments with business goals, identifies target audiences, defines key performance indicators (KPIs), and establishes a roadmap for implementation across all digital touchpoints.
While closely related, digital transformation and digital strategy serve different purposes:
Digital Strategy is the plan—it outlines what you want to achieve through digital technologies, which channels to use, and how success will be measured. It's the roadmap that guides your digital initiatives and helps prioritize investments.
Digital Transformation is the execution—it's the fundamental change process of integrating digital technologies into all areas of your business. This involves cultural shifts, new ways of working, and often disruption of traditional business models.
Think of digital strategy as the blueprint and digital transformation as the construction project. Your digital strategy informs and directs your transformation efforts, ensuring changes align with business objectives and deliver value.
Small businesses commonly waste resources by spreading too thin across every platform instead of excelling on 2-3 channels where their customers are most active. Focusing on vanity metrics like likes and followers rather than tracking leads, conversions, and actual revenue is another critical error. Neglecting mobile experience costs customers since over 60% of searches happen on mobile devices. Making decisions based on gut feeling rather than data undermines success—review Google Analytics monthly to understand what's working. Inconsistent execution, such as posting daily then disappearing for months, destroys momentum; commit to regular posting instead. Not capturing leads through email collection wastes traffic opportunities—always offer value in exchange for contact information. Blindly copying competitors without testing leads to poor results. Finally, underestimating the time investment required—factor in 10-20 hours weekly or budget for professional help to see real results.
The 7 C's framework provides a comprehensive approach to digital marketing success for SMEs: Content (creating valuable information that solves customer problems), Context (delivering the right message at the right time on the appropriate platform), Community (building relationships through engagement and creating belonging around your brand), Customization (personalizing experiences using customer data, even simple touches like addressing customers by name), Communication (maintaining two-way dialogue by listening to feedback and responding promptly), Connection (ensuring seamless, cohesive experiences across all touchpoints from website to social media to in-person interactions), and Conversion (designing every digital touchpoint with a clear purpose, whether making a sale, collecting an email, or booking a consultation). By focusing on these seven elements, small businesses can create a holistic digital marketing approach that builds genuine relationships with customers while driving measurable business results, all without requiring massive budgets or large marketing teams
Digital marketing is a one of a number of core execution components of a strong digital strategy. Digital marketing focuses specifically on customer acquisition, engagement, and retention through channels like SEO, social media, email, and paid advertising. Think of digital strategy as the architecture, measurement framework and end to end funnel and digital marketing as the construction crew that builds customer relationships. A comprehensive digital strategy encompasses digital marketing but also includes operational improvements, technology infrastructure, data analytics, and organisational change.