How Should Be the Digital Age Business Model?

In the first wave coming with the digital world, some traditional business lines provided profit and efficiency as a new marketing channel from established e-commerce platforms. This situation led to the complacency of the companies. Nowadays, some companies do not know that the active ones are digital platforms, not themselves. The digital channel now includes everything and customers on this channel are creating new demands with mobile devices and are pushing companies to new products, new applications, new pricing.

In order to be able to cope with the new situation which is we are talking about and to be able to lead innovations beyond, existing business models must be thoroughly reviewed, subject to changes, or completely altered to discover innovations.

The generally accepted business model, designed to achieve the strategic objectives of a company, covers two areas:

1. An interesting value proposition to be presented to customers.

2. Presentation of value by making a difference in the organization of resources and access to resources

Here we are inference : Those who create differences in existing products, markets and working methods will always be one step ahead of the competition. Companies with courage and culture that will experience significant changes and will do entirely new business will become new tasted of the cake. They will take place with companies that are changing today’s risk-focused cultures, big conservative but adapting digital transformations to slower business models and focusing on things that have proven themselves on the market. For example, As the core businesses of banks manage risk, they will concentrate on their essence day by day. Fintechlere, who is involved in product development and services in ecosystems and is a support services company, will be transferred. In the competitive environment, banks will support the institutions we talk about and provide the speed and flexibility in product development, decision process and achieve their strategic goals.

Digital networks that are constantly online with strategic networks of employees, support services, partners and other stakeholders will also be effective in the fortune of companies. Digital networks are organic, self-organizing, and constantly at work. It should be noted that while digital networks can offer extraordinary new opportunities by introducing new ideas, they can lead to legislative changes and change politics; On the other hand, the reputation of the companies can be destroyed. Because everything that you do now is about your brand, whether you are in the right ring, participating in discussions, acting in a virtual world, acting in a positive spirit, 7/24 real time connection, making use of our internal visions in the effectiveness of decision processes, online / offline .

Digital technology offers faster, more radical changes to product development, distribution and changing consumer habits with new technologies.  For this reason, future winners will be transforming digital transformation into economic benefit based on what they do, why they do it and how they do it, based on collaborations in an exciting, creative and dynamic structure, in line with the new digital economy they are in.

Future winners with digital age business models;

• Integrating with the customer,
• Providing products related to needs,
• Providing an exciting product,
• Have a beneficial interaction with governance habitat,
• Based on speed and flexibility inspired by the internal vision gained during decision-making,
• Opening the front of employees’
• Establishing win-win cooperation structure by internalizing the elements of ecosystem,
• Those who earn reputation and protect their reputation.

 (I would like to extend my gratitude to Blefield J., Heisterberg, R. & Verma A., Moore, J., Parkkinen H. M., who are interested in my subject and are an inspiration to me.)

Bülent Hasanefendioğlu

Head of Consultancy