Digital Transformation: It’s Effect on Customer Service


Businesses in the 21st century must adapt to the changing times, especially when it comes to technology, to stay operationally viable.

Digital technology, social media, and E-commerce have made the business world even smaller. So, that means it is noticeable which businesses are keeping up with the times and which are not.

And it is consumers who notice when businesses are not evolving with the times.

Companies that don’t adapt their strategies and infrastructure to keep up with the digital are stifling their business growth and inconveniencing their customers.

Digital Transformation is Necessary and Inevitable for Businesses

As of 2016, about 209 million Americans were shopping online. That statistic surged to over 230 million by 2021. And it isn’t just that American consumers were shopping online more; they radically changed from browsing and shopping in physical locations to e-commerce.

And it isn’t just Americans either. Digital consumers now prefer shopping online via a laptop, tablet, or smart device on a global level. By 2025, almost 73% of internet users will only access the internet and shop via their smart devices.

That is the equivalent of over 3.7 billion people.

Meanwhile, over 80,000 malls and physical retail locations are projected to close by 2025. Physical stores won’t disappear, but in a future hybrid business model, e-commerce will be dominant.

For a variety of factors, consumers have changed how they shop and prefer the convenience of e-commerce.

Still, over 47% of businesses have yet to initiate their digital transformation processes.

Here is why digital transformation is so effective on customer service.

Need help starting your digital transformation initiative? Contact BrainCX today.

Related: The BCX Experience

Digital Transformation Explained

Digital transformation is when businesses adapt to, employ, and implement the use of digital technology to improve and optimize the customer experience dramatically.

When a business adopts a digital transformation strategy, it endeavors to integrate digital technology into every viable area of its business operating model.

Adopting a digital transformation makeover means that a business becomes more attuned to how consumer shopping decisions and transaction preferences change.

Digital transformation of every viable aspect of a business allows for beneficial changes in assessing customer behavior, needs, and how to serve them better.

In a nutshell, digital transformation can radically change how a business can provide its customers with valuable service experiences every time they shop.

While it is evident that the old ways of doing business are slowly becoming obsolete, why is digital transformation so significant?

Why Is It Important?

Two office workers work at their desks with laptops near a window.

Adopting digital transformation sooner than later is essential for staying ahead of the curve in a business world that is getting smaller, more digitized by the moment, and populated with new competitors.

While the world thought that society would become more embracing of technology in 2001, that has only truly happened within the last decade.

Every day there are more new technological breakthroughs, people switching to online commerce, and competitors that the average business must contend with.

But most importantly, digital transformation is essential for businesses to embrace customer service and positively engage customer needs.

As mentioned earlier, consumers are progressively becoming more internet savvy. Instead of primarily shopping in physical stores, future consumers will be shopping primarily via smart devices online.

This doesn’t mean that every physical store will close down, but it does mean that your business should have a digital infrastructure that accommodates the consumer. Otherwise, the competition definitely will.

A digital transformation can involve updating its business plan to include a website and an up-to-date e-commerce platform. This will accommodate e-shoppers who love the convenience of shopping on their terms instead of waiting for the 9-to-5 operating hours of a traditional business.

Or a business can invest in mobile applications that keep them continually engaged with consumers and assess their shopping behavior.

A digital transformation can also include updating businesses to accommodate cloud computing to make transactions more efficient and speedy.

Or investing in A.I.-enabled software that engages consumers, tracks their shopping habits, and suggests products based on their shopping history.

In the 21st century, digital transformation improves the digital customer experience.

Improving Digital Customer Experience

A digital transformation does not necessarily mean abandoning older and more traditional ways of doing business. It just means that you must adapt to the changing tastes and transaction preferences of your consumer base as a business.

Whether online or in-store, business is business. But to improve the digital customer experience, you must meet the consumer where they want to do business.

Over 82% of American consumers will switch to a competitor if they endure a terrible customer service experience. 55% of consumers will drop a business if it doesn’t rectify their customer service problems quickly.

Almost 80% of consumers complained online and to friends about a bad customer service experience. And 42% of consumers expect their customer service issues to be solved within 24-hours.

In a business era where same or next-day delivery is a consumer expectation, your business must adopt digital transformation.

BCX Digital Transformation consulting services can help your business meet its customers where they transact and make it more efficient.

Using Customer Data to Make Changes

It is easy enough to implement digital transformation to revolutionize your business practices. But how will you know where and how to make changes?

That takes time. The increased engagement with your consumers via digital transformation will help your business analyze transaction data to serve them in the future better.

A digital transformation will also help your business monitor emerging consumer trends that you optimize for your needs when the time is right.

Updating Your Product/Service

A digital transformation will clarify if your business plan is selling products that your consumers need or making them consider competitors.

Increased engagement with consumers via digital transformation will help you intuit what products or services should be updated, introduced, or phased out.

Increase Leadership Awareness of Digital

As previously mentioned, over 47% of businesses have not implemented digital transformation initiatives.


Businesses may not know how to do it. Or they may not know how digital transformation will change their business. Many businesses are not comfortable with change.

Other businesses can’t see the big picture, which is that the business world is becoming more and more digitized every day.

Or the leadership of a business may not see the viability or be aware of just how much the digital world is changing business dynamics.

Many online customer experience solution companies, like BrainCX, offer consultations.

Monitor Competitors

Digital transformation will also enable your business to keep an eye on your competitors.

Modern consumers have no problem dropping one business over another. 

And they will do it for the convenience of a competitor offering a slight improvement in service, different product, or a better customer service experience.


A businessman stares at his laptop.

The business world as we once knew it is no more. Many consumers are more likely to shop online than trek to a physical store location.

They prefer the convenience of shopping online when they want and wherever they want. And they expect businesses to accommodate their needs on their terms as much as possible.

Contact BrainCX now if you need guidance on implementing your business’ digital transformation.

Related: The BCX Video Experience


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