Covid-19 is accelerating the rise of the digital economy

As lockdowns became the new normal, businesses and consumers increasingly “went digital”, providing and purchasing more goods and services online, raising e-commerce’s share of global retail trade from 14% in 2019 to about 17% in 2020. 

If there were any lingering doubts about the necessity of digital transformation to business longevity, the coronavirus has silenced them. In a contactless world, the vast majority of interactions with customers and employees must take place virtually. With rare exceptions, operating digitally is the only way to stay in business through mandated shutdowns and restricted activity. It’s go digital, or go dark.

Many SMEs have had to ramp up their digital activity in response to the challenges of Covid-19, learning as they go. The websites rebuilt and now have increased focus on the online shop.

Businesses that do not digitally transform will fail

For businesses, digital transformation was always essential. Now, in the current scenario, this journey has become urgent and critical if firms are to emerge successfully and profitably.