How To Avoid Being A Casualty Of Disruption

No industry is too big to fail! Technology disruption leaves a trail of casualties, i.e. businesses that can not change or are too slow to recognise the need and do it.

We may think the pandemic has tested us, but the reality is disruption started way before it, and it will continue indefinitely. The pandemic was the final nail in the coffin for many businesses. For example, in the USA alone, thousands of retailers have hit the wall and will never reopen their doors.

The pandemic has been a big test for many industries, changing how consumers buy and sell. For example, a business that can not survive via remote working and contactless sales knows its future is less specific.

Empty workplaces like department stores have struggled post-lockdown recovery, with many enterprises knowing the inevitable end. For example, Macy’s is a firm favourite department store, but with too much invested in foot traffic sales, 125 stores will be gone by 2024.

Pandemic: The Start Of Disruption?

The pandemic was not the start of business disruption; it sped up the transition from contact to contactless trading. The companies that had already completed their transition to trading online or were well on their way to it have probably survived.

Unfortunately, thousands of retailers have hit the wall in the USA alone and will never reopen their doors.

Putting off change is likely the real cause of business failure for traditionally offline industries, but it can operate online. Of course, some sectors rode into the sunset for as long as it lasted, knowing their time was up eventually.

Disruption Caused Failure

For businesses in these sectors, the end was swift and ruthless.

Movie Theaters

What’s been the death of the movie theatre industry has been the rise of another – in-home entertainment.

Home entertainment is now the norm. Experiencing the latest movie releases on the big screen has all but gone for good. There was a delay between when the newest release was screened at movie theatres and when it was available online. Now, new movies are released in tandem, which has been a massive hit in box office sales.

Coronavirus may have all but put the final nail in the coffin of movie theatres, but that’s all it did. Tech disruption has been all over this industry for years. Think online streaming providers who have been gaining ground for some time, including:

Netflix

Do you remember renting videos from Blockbuster? Renting movies on video started the demise of movie theatres, and while Blockbuster disrupted the giant screen industry, it failed to innovate further and has since died.

The creators of Netflix started as a DVD rental service in 1997 and kept innovating as soon as they realised the future of entertainment was online. With a mission to ‘entertain the world,’ Netflix moved to a streaming service and now has stiff competition from other streaming providers.

Disney

Producing content for the big screen and then the small screen, and now online with Disney Plus, I am a survivor and a market leader. Arguably, it’s the biggest threat to Netflix and other streaming providers like Amazon Prime, Apple TV, Hulu, HBO Max, and many others.

Booksellers

Another sector that has been trashed by tech disruption is the prominent brand bookseller. Think Borders Group; who didn’t spend time browsing in one of their stores? However, enter the eBooks and Amazon Kindle; the rest is history.

There is a feel-good ending for the humble small booksellers who recognise their niche could do well with a ‘local’ audience. While the franchises like Borders went out of business, the local village bookseller survived.

Using the fundamentals of marketing 101 to become leaders in a new category, boutique booksellers have thrived by using online local marketing strategies like Google Adwords, List My Business, and Reviews to drive customers into their stores.

Technology Disruption

There is no denying the disruption of evolving technology.  We have a love-hate relationship with it. Mobile apps have made managing our lives and businesses easier.  For example, would we give up our mobile banking app or social media apps?  Not likely.

The downside of technology, such as AI image creators, is that it is challenging to distinguish between natural and artificial.  Today, you can create images with AI if you don’t like your physical image and want your social media profiles to show a better version of yourself.  Use an AI image creator, and who will know it is not a real person?

Another AI tech that’s a game-changer is AI writers. ChatGPT, for example, is now the go-to for search, and it will likely replace Internet search as you know it. This action will indeed eliminate many jobs and possibly the entire SEO industry.

AI-written content is everywhere on blogs, news sites, and books. It’s hard to know what content is human-generated and what is AI. This will eliminate the need for writers and journalists, and maybe soon, it will also reduce the need for teachers. However, not everyone loves AI content for now, especially teachers who don’t want their students to use it for coursework.

The good news is you can identify which content is AI-written with an AI detector.

Tech disruption is inevitable, and it’s been with us for decades, so we need to see the positive in the latest emerging tech and adapt by learning new skills and retraining to do the work that requires humans. For example, the need for more compliance is evident in security and data privacy laws.  Internal and external auditors and data scientists are needed to analyse AI-generated reports.

Another area where technology disruption has created an industry is cybersecurity, and there is an ongoing need for security experts.

Summing Up

To avoid being a casualty of disruption, adopt change and, if possible, let your business become the disrupter. If this is not viable, change anyway using innovation and marketing basics to remain relevant with your targeted audience.