It’s difficult to know whether your response to Covid-19 will be enough. Some businesses have made big changes to their processes and services. Some have struggled to change anything – opting instead to weather the storm.
Who’s to say which move is right? This is a new frontier. Without the benefit of hindsight or concrete results, it’s difficult to determine whether the measures you’ve taken to protect the future of your organization were the right ones.
Difficult – but not impossible.
We propose that you can predict your potential for success. How? By looking at your organization’s response and seeing whether it aligns with the changes we already see in society. Are there any gaps? A shift in behavior in another industry can foretell additional market shifts elsewhere.
Keep these changes in your peripherals if you want to continue meeting changing consumer needs, fend off challengers, identify white-space opportunities before the competition, and avoid a fate like that of Hertz and JC Penney.
Hurdles for your business due to the health crisis
In the short term, the virus has abruptly changed our lives in two main ways.
- Micro level: Limit 1-to-1 infections
To empower individuals to protect themselves from the virus, governments have discouraged physical contact, as well as sharing goods and indoor spaces, while encouraging the adoption of new, enhanced hygiene habits.
- Macro level: Avoid pandemic amplifiers within large groups
To prevent pandemic hotbeds and slow the spread, large gatherings have been restricted, travel banned, and particularly vulnerable groups have been isolated.
Hurdles for your business due to the societal & economic crisis
Along with the immediate changes to our behavior, Covid-19’s still-emerging aftershocks are far-reaching.
- Changing needs
Consumers/clients have an entirely new set of priorities. Their lifestyles have changed, and so too have their needs. They’re experiencing new problems – leading to new opportunities for businesses.
- Industry disruption
Competition from flexible new challengers, supply-chain disruptions, and cash-flow problems have seen industries change rapidly.
- New attitudes
The headlines have led to rising mistrust and enhanced localism and nationalism, while job losses have only boosted inequality and shifted norms and values.
Has your business done enough?
By now, most organizations have made moves – large or small depending on their industry – to respond to at least some of the aforementioned Covid consequences. They’ve pivoted business models, cut costs, made work safer for their employees, and started to do things differently to safeguard consumer trust.
But how do you know you’ve done enough? Are you falling behind competitors in a key area of low-touch adoption? Are you missing opportunities?
To help you find out, we’ve created a blueprint in the form of the Low Touch Economy Scorecard.
It identifies 10 areas to cover in order to see your business outlast the Covid-19 virus. The second-order consequences are only now unfolding, so you’ll notice we’ve put more weight on the first-order consequences. When more info becomes available, we’ll update this tool additional details.
You’ll find the complete scorecard below. From one to five, indicate to what extent these elements are true for your business (one being not true and five being very true).
Test whether your business is ready for the Low Touch Economy
- Score 1 or 2 in all sections?
You should be able to adapt your organization with minor tweaks.
- Any score of 3 or above indicates an area that could pose a significant hurdle for growth in the Low Touch Economy and should be addressed.
- A total score above 25? You will need to redesign a large part of your business model and/or operating model if you want any hope of playing a role in the Low Touch Economy. Your organization should prepare for potential aftershocks in the market. Identifying these areas will enable you to innovate solutions.
Not sure where to go from here?
Of course, changing your core business to become entirely low-touch might not be possible. Regulation is regulation. And some organizations operate within rigid structures. If that’s the case, you’ll want to consider developing adjacent businesses in new markets and uncovering white-space opportunities – a number of which we’ve identified in our latest report, “The Winners of the Low Touch Economy.”
Along with 30+ white spaces, this 100-page PDF includes updated information on the Low Touch Economy, a list of the organizations currently succeeding, business model patterns to copy, tips for adapting your strategy, and 10 expert opinions on the future of their industries.
With this information, ask yourself – is your business perfectly positioned to solve some of society’s most pressing new challenges? With the right business model, could these white-space opportunities turn into lucrative, future-proof new revenue streams for your organization? The answer is probably yes.