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Embrace consumer-centered

digital transformations

By Tyler Kem database, and developing financial applications on
Strike Tax Advisory the blockchain increases an app's data privacy. Fi-
nancial institutions that want to improve their se-
or many employers, the pandemic shifted busi- curity layers are the perfect candidates for tech that
ness as usual, and they're trying to get ahead utilizes blockchain.
of the challenge. In 2021, 2.4 million more • QR codes: QR code use increased 96 percent from
F Americans retired earlier than anticipated, 2018 to 2020. This isn't just attributed to pandemic
according to Federal Reserve Bank of St. Louis Research behavior. Jay Bean, CEO of FreshLime, pointed out
Economist Miguel Faria-e-Castro. This number may in a recent Forbes article, "Not only are QR codes
increase as the pandemic wears on and potential early providing customers with the convenience they've
retirees decide that reentering the workforce is off the grown accustomed to, they are also providing busi-
table. Even though early retirees are just one part of the nesses with important information." Businesses that
labor shortage puzzle, they represent a segment that may adopt QR codes will have insight into customer be-
never return to work. havior that will help them improve the buying ex-
perience—and sell more. Coinbase introduced QR
Employers also face supply chain problems and a shift in codes to millions of Americans in a primetime ad
customer preferences. Yet only 11 percent of businesses during Super Bowl LVI that invited viewers to scan
surveyed in 2021 by McKinsey & Co. indicated they could a QR code. Security concerns aside, it was a creative
be economically viable through 2023. Another 64 percent marketing strategy to expose QR codes to main-
of respondents recognized they needed to build new stream Americans.
digital businesses for their next business iteration.
• Pay-at-the-table: Convenience might be the first rea-
Businesses cannot delay digital transformations. If 90 son businesses switch to a pay-at-the-table system,
percent of businesses can't see economic viability for their but additional benefits quickly show up. Modern
companies within two years, the time to adapt to the new Restaurant Management reported that self-service
normal is now. technologies increase order speed by 40 percent,
Fintech digital transformation but (here’s the important part) customers also feel
comfortable spending more. Customers spend 21
Customer-centered digital transformation changes how percent more when they can order and pay without
a company uses technology, people and processes, from interacting with a human. Industries heavily affect-
website to product delivery, to better serve customers. For ed by labor shortages, especially retailers, bars and
most, this means building a digital product to bridge that restaurants, should view the investment in digital
gap. For others, this means abandoning legacy tech and transformation as an investment in future sales.
embracing cutting-edge solutions.
Digital transformations will pay off
Fintech digital solutions will vary. Focusing on custom- In the same 2021 survey noted above, McKinsey conclud-
er-centered solutions means matching the business with ed, "At the organizations that experimented with new dig-
customer demands. Across industries, customers may de- ital technologies during the crisis, and among those that
mand different payment options, more convenience or a invested more capital expenditures in digital technology
seamless checkout process incorporating the following: than their peers did, executives are twice as likely to re-
• Cryptocurrency: For cryptocurrency to move into port outsize revenue growth than executives at other com-
the mainstream, it needs to be as accessible to the panies."
average consumer as a debit card. VendingMarket-
Watch reported that 67 percent of crypto owners As this survey demonstrates, early investment in digital
transformations will yield outsized returns. No matter
would use cryptocurrency for everyday purchases if
it were linked to a mobile wallet. Around 70 percent of what challenges the last few years have thrown at busi-
nesses, those who use technology to solve their problems
those consumers are aged 18 to 54. Companies build-
ing bridges between cryptocurrency and everyday will be ready for their next business iteration.
shopping are poised to capture a large market share. Tyler Kem is co-founder and president of Strike Tax Advisory, which
Blockchain: Discussion around blockchain is usu- helps businesses discover and claim government-provided tax credits
ally about cryptocurrency. But blockchain technol- and incentives available to them. Strike Tax helps SMBs compete more
ogy is just blocks of data linked together acting as efficiently while keeping jobs in the United States. For more information,
a chronological ledger for transactions. It's a secure visit www.striketax.com.
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