Rapid developments in technology are changing the world and having a dramatic impact on the way we live, work, communicate and interact and do business. The government and the private sector should therefore be setting out an ambitious journey towards achieving a digital economy, highlighting the role of ICT as a key enabler in social, economic and environmentally sustainable growth and development.
The digital economy should be built on five pillars:
* hard infrastructure,
* soft infrastructure,
* service infrastructure,
* digital economy promotion, and
* digital society and knowledge resources.
It should focus on mobile technologies, cloud, big data analytics and social networks. Given the Philippines success in business process and knowledge process management it is essential that we focus on the infrastructure needs mentioned above but also develop the human resource to play a major role in big data analysis.
Part of big data analysis is the development of key strategies for digital marketing, as outlined by Mindshare:
* connect the dots between online and offline channels and build fluid customer experience with no breaches
* put mobile at the center of your communications; mobile is building the culture of m-commerce anywhere
* search for a need beyond ‘always on’, adding category and lifestyle to the search to connect with fans and not just buyers
* constantly listen to the social buzz, and respond to negative comments
* be part of the conversation, generate content that builds ‘earned media’ and tells the brand story
* understand your digital micro-segmentation; unlike TV, digital targeting can be as precise as a single person
* amplify the voice of your advocates, these are your most influential and powerful assets – so use them
* always be adaptable, measure everything and act in real time.
Looking at the experiences of other countries that have embraced the ‘digital economy’ as a core national strategy to drive their economic and social development, progress can be described in three steps:
* digital commerce,
* digital transformation, and
* digital consumption.
Most countries begin with the digital commerce stage, meaning that digital technologies are widely deployed for selling and buying goods. Digital commerce is a broader term of e-commerce and includes mobile commerce, business-to-business, and government’s electronics transactions.
Digital transformation occurs when organizations have embraced digital technologies for transforming their businesses, not just as a tool for trading. In Japan, digital technologies are now embedded in production lines and even in agricultural farms.
Digital consumption happens when intangible digital goods become daily staple of the consumer.
The ‘digital divide’ or an inequality among people will be one of the biggest challenges faced by the Philippine policy makers in accomplishing the digital economy policy. With the large majority of the population living in the provinces and going digital or not is of little concern to them, government must aim to bridge this gap, which will enable the digital market to grow further through building infrastructure and digital literacy, including provide access to education, mobile finance / insurance and healthcare.
Important is that the ‘digital wave’ offers the ‘road to smarter SMEs. While SMEs remain fundamental to economic growth, many entrepreneurs suffer from a lack of knowledge of how to select affordable technologies that can be successfully implemented in their businesses.
The government should consider creating a digital SME/SME platform, as a platform for entrepreneurs to exchange knowledge and support their businesses. Microsoft and Cisco have the technologies and programs to allow this to happen.