ROI research (Return on Investment) is a key consideration for companies pursing or thinking about pursuing the hottest digital trends:
- Artificial Intelligence (AI)
- Big Data
- Digital Transformation
- Influencer Marketing
- Mobile Apps
Each of these areas is about innovation with the goal of saving companies time, money and providing better and more personalized customer experiences.
But the reality is they are big endeavors that also require big investments and often infrastructure change. So how much? For how long is required? When does it pay off?
Here is the ROI research on the 5 hottest digital trends.
ROI research on Artificial Intelligence (AI)
70% of companies claim they’re using a form of artificial intelligence (AI). This includes machine learning, deep learning, natural language processing, and cognitive computing. Manufacturers worldwide are looking to technologies through artificial intelligence (AI) to increase efficiencies and avoid disruption from industry newcomers. KPMG surveyed 299 global manufacturing CEOs, and another 73 from the US. The conclusion for their ROI research: AI investment could take up to 5 years, 56% of manufacturing CEOs say.
ROI research on Big Data
Big Data adoption reached 53% of companies in 2017 according to the NewVantage Partners Big Data Executive Survey. 84% of survey respondents name factors related to speed, insight, and business agility as the primary reasons for big data investment. Tech Republic reports that ROI on big data can be delivered in 6 months if companies outline a very specific business case and outcome for the big data investments. Examples include sensors to shorten delivery routes or reduce in-transit theft. Behavior data to better understand consumer preference and relationship to sales. Wikibon research claims, the average Big Data project delivers a 55 cents ROI for each dollar invested.
ROI research on Digital Transformation
88% of companies report they are undergoing digital transformation. This year, according to IDC, companies around the world are expected to have spent a total of $2.1 trillion on digital transformation. The network is at the heart of any digital transformation according to IDC. No network means no business. Yet IDC has stated that in the next two years almost a third (30%) of large and midsize businesses will suffer a service failure due to mismatches in power delivery and IT workload profiles caused by hardware obsolescence. A DT-ready network can be surprisingly affordable achieving an average return on investment of 349% over five years and payback in as little as six months. Automation is an essential element of such a network; an IDC study found that companies lowered their networking costs by 33%.
ROI research on Influencer Marketing
75% of marketers are using influencers as a marketing tool and many plan to increase spending 43% in the next 12 months. A study on influencer marketing showed that it can give an ROI of 11X more than banner ads. A Celebrity Intelligence survey found for $1.29 beauty brand spend on beauty influencer, they are generating a return of $11.38. According to Tomoson, $6.50 in revenue is generated from every $1 invested in influencer marketing strategies. Finding the right influencers for the right campaign is one of the most frequent difficulties faced by nearly 68% of the marketers.
ROI research on mobile apps
58% of all connected consumer time takes place in mobile apps, according to digital research firm comScore. According to a report by Gartner, mobile apps will be responsible for generating a revenue of $77 billion by 2017. Mobile apps are a core ingredient in the future of tech in our everyday lives. ROI research on mobile apps is determined based on the function and goals of the app. It’s different to develop mobile games to make money than to create a free corporate app to enhance your brand and be able to connect more directly with your customers. But ROI is also pretty basic for mobile app. The primary markets are the Apple Store and Google Play. They offer tools for keeping a record of the times our app gets downloaded, as well as from which countries it was downloaded from and user performance data. You can also check the comments and opinions left by those who have tried our app and the error reports it may have generated to act accordingly and get these problems solved in future updates.
Does this ROI research help you in your pursuit of these innovative technologies. Could your company benefits from a ROI assessment for any initiatives you may be doing or thinking in these areas?