There’s been a lot of news lately about Amazon opening physical stores. These news articles keep interrupting my regular stream of stories about digital transformation. Or are these topics the same?
Digital transformation involves using technology to improve performance and/or experience. The tool kit to do this is largely software-based and includes improved integration and workflow, analytics, mobility, social media and IoT devices.
Due to Amazon.com’s advantage in price and selection, the company has become a retailing behemoth at the expense of local retail. Store closures are about to hit a 20-year high, and malls are dying. This is unfortunate because retail centers provide more benefits than shopping. They are gathering places and contribute tax revenue for their municipalities.