Signs of Disruption in Incumbent Industries
Technology disruption is inevitable. We're all tired of hearing that. However, it is true, and it is coming soon to every single industry. In the past, companies competed with the same methods; today, there's an innovation challenge. There's even a big debate about the fact that startups are becoming more potent than incumbent companies.
Now, is there a way to see when technology disruption is coming to your industry? Although there is no single recipe to prevent technological development, you can indeed identify the early signs of disruption in your industry. Artificial intelligence, robotics, and machine learning will be part of your industry; the question is when.
Customers' Preferences Are Changing
The first thing you need to know is how your customers are changing. When consumers change habits, you need to find the signs and adapt to their new preferences. When smartphones became popular, it became imperative for companies to invest in mobile development. The retail industry had to adapt to this new business model where customers buy their products on their phones.
When customers change preferences, it doesn't only affect B2C; it also implies changes in B2B. Consumers are more demanding than ever. Companies need to hire other businesses to help them improve their services. Customers usually change preferences with digital disruption. That's why it's so important to be aware of these trends in consumer behavior.
More Venture Investment in Your Industry
If you want to follow the traces of tech disruption, the best way to do it is by keeping an eye on venture capital. Venture investment is the money invested by giant corporations on small companies that have the potential to grow in the future. If there's a high volume of money invested in your industry's venture capital, it means that technology disruption might come soon.
Investors know where to put their money. That's why it's also essential to do some research and find out what trends are getting the most attention. This way, you'll know which tech trends will make the most impact on your industry and can prepare your company for what's coming next.
New Business Models
When technology innovation is disrupting an industry, you can see the creation of new business models. By definition, we understand that business models are how companies capture value, whether it is economic or social. When new tech trends are taking over, companies need to create new business models to capture more customers. Therefore, if you see that companies are developing new paths to communicate and attract consumers, it means tech disruption is happening in your industry.
The best example of this is Tesla. This company created not only an innovative product but also a different business model in the automobile industry. Tesla makes personalized cars, meaning that this company works with no inventory. To buy a Tesla car, you don't have intermediaries; there's no dealers or salesmen. You simply have to access Tesla's website.
Top Tech Trends Disrupting Leading Industries
Although disruption can come from anywhere, some trends are stronger than others. Therefore, it's possible that shortly these trends might be more common than ever. Some of these trends are AI, machine learning, or even IoT. However, some others like quantum computing or robotics have the potential to disrupt every industry as well, but they're in their early stages.
Artificial intelligence is a discipline that allows machines to simulate our actions without human intervention. In a world where everything is automated, AI is crucial. Artificial intelligence is disrupting almost every industry, from manufacturing to retail and even cars.
One of the most obvious examples of tech disruption with AI is the logistics industry. Autonomous cars are becoming more sophisticated and will soon replace the role of human drivers. Therefore, not only will they make the routes safer, but they'll also be more efficient.
Automation is also coming for digital marketers. Most people think digital marketing is an industry that requires creativity and empathy, which is something that computers still don't have.
However, there are tasks in digital marketing that are repetitive and redundant such as customer service. That's why chatbots are now part of the digital marketing team. They're AI-driven tools that simulate human responses of customer service. Thanks to artificial intelligence, digital marketers can now focus on more relevant tasks.
Machine learning is a sub-discipline of artificial intelligence that makes machines learn from experience without programming. This technology makes every task more straightforward and efficient. Most people don't notice it, but machine learning is already part of daily life. The best example of this is our mobile phone keyboard, which becomes more accurate as we use it.
Machine learning is disrupting several industries, such as the financial, translation, animation, and even climate control sectors. Machine learning can optimize all types of processes; that's why it's receiving so much attention.
Machine learning affects the financial industry because it helps financial advisors predict situations and analyze the economic landscape with a more accurate approach. However, other sectors like translation are also being disrupted by machine learning. These algorithms have become so sophisticated that the role of a human translator in most translations has decreased to 30 percent.
Machine learning and artificial intelligence, as well as IoT and Blockchain, are affecting most industries. If companies want to stay afloat, they need to interact with the top tech trends in their industries. Some of the most common signs of tech disruption include rising investment in venture capital, changing customer preferences, and evolving business models.