By Harshit Aggarwal
As the world is rapidly moving towards technological advancements, digital transformation is revolutionizing the entire consumer durables sector. This seismic shift is driven by advances in technology, changing consumer expectations, and the need for greater efficiency and innovation. The consumer durables sector including home appliances, electronics, and other long-lasting goods is undergoing a metamorphosis that promises enhanced customer experiences, streamlined operations, and new business models.
The Omni- Channel Experience
The integration of both online and offline channels has become one of the most important for any company that is in the consumer durables sector. Customers expect a consistent and unified experience, whether they are shopping online, in-store, or via mobile apps. As per a recent report, 77% of Indian shoppers prefer to shop with a brand that has both physical and online stores. To enhance the experience for shoppers numerous brands are also applying augmented reality (AR) and virtual reality (VR) through which consumers can visualize how an appliance would look in their home before making a purchase.
Upgraded Customer Experience
One of the most significant impacts of digital transformation in the consumer durables sector is the enhancement of customer experiences. Today’s consumers are more informed, connected, and demanding than ever before. They expect personalized, seamless, and convenient interactions across all touchpoints. A recent report suggests that today around 80% of consumers decide which brand to choose after researching online.
The Rise of Subscription Services
Instead of outright sales, companies are offering subscription-based models for certain products. This approach ensures a steady revenue stream and fosters long-term customer relationships. For instance, some companies offer home appliance subscriptions, where customers pay a monthly fee for the use of an appliance, including maintenance and upgrades.
loT Integration
The rise of IoT has led to the development of connected ecosystems, where multiple devices interact seamlessly with each other. For example, a smart home ecosystem may include interconnected appliances, security systems, and energy management solutions, all controlled via a single platform. This not only enhances convenience for customers but also opens up opportunities for cross-selling and up-selling.
Supply Chain Management
The integration of IoT (Internet of Things) and AI in supply chain management is providing real-time visibility and insights. This enables companies to optimize inventory levels, predict demand, and manage logistics more effectively. For example, smart sensors can track the location and condition of goods in transit, ensuring timely deliveries and reducing losses.
Data Monetisation
The vast amount of data generated by smart devices provides valuable insights that can be monetized. Companies can use this data to offer value-added services, such as predictive maintenance, energy management, and personalized recommendations. This not only enhances the customer experience but also creates new revenue opportunities.
In short, the digital transformation in the consumer durables sector is no longer only a trend but has become a necessity for companies to survive and grow in today’s competitive market. So by embracing advanced technologies and innovative business models, companies can enhance customer experiences, streamline operations, and explore new revenue streams. As the sector continues to evolve, those who can adapt and leverage digital transformation will be the ones to thrive in the future.
(The author is Harshit Aggarwal, CEO and Founder Novamax Appliances, and the views expressed in this article are his own)
