Digital Stractics: How Strategy Met Tactics and Killed the Strategic Plan by Chris Outram

Author:Chris Outram
Language: eng
Format: epub
Publisher: Doubleday
Published: 2016-03-14T04:00:00+00:00

We have argued above that pure plays can sometimes win and that sometimes hybrids can successfully defend their marketplaces against pure plays. For completeness we should also note that there are sectors which may continue to be traditional for some time, although probably not for ever.

These sectors often display one or other of the following characteristics:

Where technology has yet to be developed to a level which permits the physical to be substituted by digital, as in the case of eye tests in the optical value chain, or equipment-fitting in golf.

Where purchase frequency is low and word-of-mouth and inertia mean incumbents continue to remain in business, e.g. tradesmen in the home improvement sector, which explains why models such as Angie’s List in the US and Rated People in the UK have not genuinely scaled up.

Where the purchase risk (including payment information) is perceived to be high, e.g. cars. Here brands can play a critical role especially because the rate of innovation is high, and comparison between competing products is complicated and non-obvious. In these cases, advice from sales staff is important, versus reading lots of technical specifications on websites.

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