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TCS IN THE NEWS
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Embracing Digital and Changing the CPG Experience
CIO Review: The Navigator for Enterprise Solutions
In this article Seeta Hariharan, VP & Head and Karen Edwards Chief Marketing & Communications Officer, of TCS’ Digital Software & Solutions Group discuss the need for digital integration and widespread transformation for the CPG industry.
The convergence of digital technologies are transforming enterprises in many ways, including how they interact with their customers, build their brand equity, develop new products and innovate, contend with new competitors, and adapt traditional business models.
A look at different digital behaviors
First and foremost, digital transformation has raised the stakes and it affects every industry, but they each approach it differently. The good news is that according to a recent trends study from TCS, Consumer Packaged Goods (CPG) companies—along with media, technology, retail and telecommunications—consider digital initiatives to be more important to their company’s success when compared to other industries. The fact that CPG is currently one of the ‘least digital’ industries when we look back to 2014, with only $47 million spent on digital investments compared to other industries, such as telecom, that spent $189 million, is a clear indicator that CPG has not yet reached, but is rapidly approaching a digital tipping point.
Develop your digital roadmap
With online revenues increasing, new competitors flooding the market, and digital technologies challenging traditional business models, CPG companies need to change the way they do business. To start, they need to develop a digital transformation roadmap that helps them understand their current digital maturity which will inform and help them clearly articulate their objectives. Based on this assessment and the resulting goals, they must then determine which digital initiatives will put them on the right path to meet their objectives, the investments that will be required, and, of course, the return on investment.
The clock is ticking
New, savvy competitors are popping up every day and to stay in the game, you have to transform or face the potential loss of customers, revenue, and market share. CPG companies are faced with an incredible opportunity to change the way they do business and ultimately establish, as well as affirm, the quality of their brand—an intangible, yet monumental, mark of success.
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