INTERVIEW OF THE MONTH
INTERVIEW WITH MR. JAY KELLER
Vice President Project Management Office &
Vice President Information Services / CIO,
Our Daily Bread Ministries
In your view, what kind of opportunities exist for enterprises to generate new revenue streams with digital?
In todays always-on society, the need for digital content is omni-present. It is no longer enough to have traditional means of reaching the customer, if you want to continue to be relevant in the market place. Just like the press revolutionized the creation of books, the Internet opened a new door into the marketplace, with the digital revolution taking place right now around the globe, customers expect any company to have a presence in the digital realm. The term: “let me Google this” is an indication that in today’s world, consumers have access to quick information and there is nothing worth than not being present in such a search. I work for a Ministry which was very heavy focused on printed materials. About 2 years ago, we introduced our key product (Our Daily Bread) as a digital version (ODB App) for Android and iPhones as well as a web based product. The reach of our App is currently close to 2,5 million subscribers with a growth rate of over 2,000 new readers a day.
Web and Mobile App was just the beginning for us. about 1 1/2 years ago, we started the Facebook channel, Twitter and we also have a YouTube channel. The engagement with the technical savvy generation is key to a sustained growth of the company. Look at it this way: a print publication needs a couple of months to hit the market, a Facebook post is instantly. You can react to events in a very short time, can take advantage of current interests and News in almost real-time.
Some companies might worry that they cannibalize their core business with going digital but it is very unlikely, as you are going after a completely (in most cases) new segment.
As a digital business, what are some of the new ways in which enterprises will create customer value ?
As I said before, you can serve a new segment of customers with different or enhanced products. For example: you have a product which you can market with a web-link, scan-able from your mobile device which takes you to a product specific web-page where you can have a product use video, an enhanced store for “customer who bought this also bought that” look and feel and have the opportunity to do upselling like accessories for you product etc. etc.
Digital has a great way of creating new value for consumers which they may not even have come to recognize. Consider how Amazon did with Kindle (book lovers can now have over 3500 books with them when they travel for example). Or how Airbnb did with creating a new wave of competition for the hotel industry thereby benefitting people from competitive rates for renting good quality accommodation which was hitherto not possible. I would argue that digital has a great potential to innovate in providing new customer experiences that they may not even have recognized.
What do you believe is the best way for enterprises to prepare themselves to execute on their digital revenue plans?
First and foremost, you need to have a digital vision. What do you want to achieve with the digital engagement. Then you need to realize that the digital area is a very fast paced environment. If you have a static web-page with no changes, you do more harm then good. Content needs to constantly change and new things need to be added. Facebook pages need at least one to two posts a day or the customer is not coming back. So this is not an area where you can use the same folks who do the marketing for the traditional channels but a spate, high-octane team that can react quickly and add and change content in the fly. They need to have a high level of identification with the product and need to be tech savvy.
What share of revenues are B2B organizations seeing from digital ? Do you believe that the differences in expectations regarding online functionality and digital experiences, are contracting between B2B and B2C buyers?
We had estimated a single digit share of revenue at the beginning (less then 10%) but the long term goal is 20 – 30 % and more. You need to have a strategy how to get there and remember, a digital strategy is different from the business strategy for your current “way of doing business”.