Digitalization and Holiday Shopping


Published: October 24, 2020

With the holiday season upon us, covid-19 deaths over 225,000, the possibility of more business closures after recently opening back up again, what are we do for the holidays as business owners? The packed streets, crowded malls, and retailers closing the 4th quarter make some progress on the lost sales from spring through summer, and now we are in the fall; how much more of this can we take. Families get together is frowned upon this year or any larger gatherings due to social distancing and masks’ wearing. You are entering into our new normal.

Small business restauranteurs have taken it on the chin in the operation of their businesses. Matter-of-fact, no industry has not been touch by this pandemic. So, what are we to do? We have had two decades to position ourselves to get ready and do business in this new digital frontier, so why have we not done so? Moving from traditional marketing (old school) to digital marketing (new school) is the new marketing concept in the 21st century.

Now the question is, can the old-schoolers (baby-boomers) learn to adapt to the new ways of doing business? The old (traditional) way is clunky and pricey, and the new way (digital) is quicker and cheaper. Although the pandemic took us by surprise, we as entrepreneurs are unique; we can overcome and prosper with innovation and entrepreneurial ingenuity. But what are the traditional and digital transitions?

Traditional Business Model

A traditional business is where one would go into a brick-mortar store to purchase a product or service. This way of doing business has been done for centuries. Manufacturing is a form of traditional business. Thus, products are made at one facility and then sold to other intermediaries in the supply chain, such as trucks and cars to dealerships, then sold to the end-consumer. This type of business model deals with business-to-consumer (B2C) or Business-to-business (B2B).

A distributor is a middle-man or intermediary who buys from the manufacturer and sells to other intermediaries in the supply chain, such as wholesalers or retailers.

A retailer buys from a wholesaler, distributor and sells these goods to the end consumer for personal consumption. These goods are sold from a stationary place known as brick and mortar locations where consumers purchase their consumable items.

Digital Business Model

In a digital business model, one does not need to have a brick-mortar facility; the only thing required is a computer with internet access. The digital model does not require much space. Thus, one can be anywhere on the planet and can conduct business. The digital transformation from the old traditional business models of performing trade is quicker, mobile, and the playing field is leveled for small business to be as effective as their larger counterparts. As A Result, we are now in the world of the knowledge-worker.

The knowledge-worker is not involved with much physical labor, but the mining of information redistributes this information into a monetary value. Thus, professionals or entrepreneurs, these knowledge-workers generally will have websites that educate and promote what they do to the public. These websites can have an e-commerce functionality towards them for commerce done 24/7.

Now the baby-boomers (old schoolers) may have the most challenging time adapting to the new digital frontier because they were traditionalist, and digitalization more comfortable and understanding for those born after 1990. So, these new knowledge-workers are generally college-educated, and yes, some are self-taught. Nevertheless, suppose one is going to stay relevant in today’s digital transformation world. In that case, they must bring their skill-sets up to date with continued training or be left behind and not be able to keep up with today’s digital revolution.

Digitalization in the Pandemic

Every year this time (the 4th quarter), merchants seek to recover lost sales from the current year to balance their current year for profitability, a tradition. However, this year the entire world plagued with a virus that has killed more than 225,000 Americans; and has been given the name covid-19. This virus has caused economic harm, deaths, and millions of people out of work. The economy’s uncertainty has people on edge; they can not pay their mortgages or rents and are in food-banks to feed their families. So, what are merchants to do?

The solution, go digital. We have been in the digital transformation for two decades and slow to move from traditional business models to digital models of the present and future. Merchants should have websites that are e-commerce enabled to conduct trade 24/7 to overcome the social distancing and the anxiety of the public of getting sick. We must let go of the old traditional way of doing commerce and usher in the innovative method of the digital business model that works for your enterprise; if not, the chances of failure are more relevant than not.

So, as a small business consultant, if you do not have the wherewithal to move from a traditional business model to a digital one,  contact us. We will implement a digital program for your organization, and this year, the lost sale will have an opportunity to balance themselves off for the close of this business year, 2020. What do you have to lose? We do not charge for consulting only for what we do, and there are no upfront fees. And if you need working capital for your enterprise, we can help there too.

I encourage you to view the Total Retail Report on myTotalRetail.com to develop novel ideas for the close of 2020 to boost sales in your enterprise.

Contact Us

Donald E. Mitchell, D.B.A., M.B.A., B.B.A.

Small Business Consultant-Specializing in Business Management, Entrepreneurship, Marketing.

Toll-Free (866) 400-3040 Email: dema@donaldemitchell.com  Website: www.donaldemitchell.com

Addresses: 860 N Dewitt Pl # 1501

Chicago, Il 60611

2000 Town Center 19th Fl.

Southfield, MI. 48076