Digital business: keeping good customers is the next frontier
Digital businesses must shift their focus to quality, not quantity, when it comes to customers. This hinges on using good data.
As UK entrepreneurs take to the internet in droves, a revolution in how content is delivered has followed. Games, music, films, software and books now fill our e-shopping carts and our news.
I’ve followed the growth of subscription based business models since I tackled this very issue with eMusic, a company I founded in 1998. Before iTunes had even arrived on the scene, there were already big changes afoot in digital music and the way it was sold online. It opened my eyes to the big challenges that companies would face as the way we do business evolved. At that time, building our own billing engine from scratch was the only way of getting customer management just right.
Now, however, we should be in no doubt that cloud commerce is the new norm, and we are unlikely ever to see a return to physical content. Given the huge benefit of delivering content online – through subscription services that bring in massive, recurring revenues – you can see why more and more UK businesses are getting on board...