Digitalization - merging of worlds

Digitalization is a topic that has occupied us more and more in recent years and will continue to concern us. Since the development of the Internet and the associated achievements, digitization has been making its way. From work processes to computerization to digital communication, there is an increasing fusion of online and offline worlds.

What has changed?

In the past, retailers sold their goods from portable stands on a large market square in the middle of the city. These markets can be regarded as the forerunners of our current stationary retail stores, as mobile stands gave way to fixed buildings and shops. With the development of the Internet, in addition to stationary stores, a new sales channel for goods and services was created, the so-called e-commerce or electronic trade and with it the electronic marketplace. The most well-known and largest online department store is Amazon.de and represents enormous competition for established department stores. However, it is questionable whether online and offline retailers are only in competition with each other or whether they cannot enter into a symbiotic relationship after all.

What are the benefits of digitization?

It can be assumed that the development of online shops not only makes the online world more efficient, but also has a positive impact on the offline world. Because opening an online shop involves less effort and lower costs than setting up a stationary store. For this reason, it may well be worthwhile for stationary retailers to establish another sales channel. But it is not only companies that benefit from this development, consumers can also take advantage of the benefits that arise from this connection. In particular, the simple price comparison and the ability to quickly obtain the desired product via one of the two channels play a role. Another common advantage that digitization has in store for companies and consumers is the reduction of existing information asymmetries. Information asymmetry means that a party, usually the entrepreneur, is better informed about their product than the customer and is therefore superior to the consumer. However, this situation can be changed today through a brief Internet search. In addition to retail, other markets are benefiting from digitalization, such as hotels, restaurants or even supermarkets, where the digital transformation is clearly being felt. According to one study The LBMA is increasingly using digital price tags in supermarkets, as the price is easier to change and can also be scanned in. Another decisive factor that contributes to digitization is the provision of free WiFi in supermarkets, restaurants, hotels and even gyms. Especially in hotels and restaurants, guest WiFi is simply part of a good service. The hospitality magazine shares this view, according to which the offer of WLAN offers guests greater comfort and thus enables hotels to meet the requirements for awarding hotel stars. However, WLAN not only creates convenience for customers. WLAN offers added value and manages to retain customers to the company. Consumers combine such convenience with quality and place their trust in the store. As a result, the company is able to build up a customer base, increase the time customers spend in its business and establish brands better and more easily. If you, as an entrepreneur, want to take advantage of these benefits and provide your customers with convenience, added value and thus a shopping experience, you should offer free guest WiFi in your shop.