It goes without saying that the use of technology in business has boomed over the last few years.
From IT support in the UK to security solutions, cloud services and more, technology has had an incredible impact on SMBs and established companies alike. Most notably, it’s having a substantial effect on these business’ budgets and profitability.
Want to find out how your business could become more profitable with the implementation of tech? Then read on…
Here are just six ways that technology will make your business more profitable:
1. It gets things done faster and more efficiently
The link between the speed at which a project or task is completed and the profitability of said project is universally undisputed.
Technology is all about pace and efficiency, providing both the means to speed up current processes within your business (for example, automating tasks that would have previously been completed by hand) and opportunities to introduce newer, faster ways of working.
Even simply having a faster-functioning website has been shown to boost business profitability!
The more quickly and efficiently you can complete a project for your customers or clients, the more your business will be able to take on, and ultimately, the greater your revenue will be.
2. It saves on other costs
Technology plays a substantial role in cutting down (or even sometimes eliminating) additional costs to your business.
For example, it reduces the amount of time spent on unnecessary tasks, lowers the risk of human error and security breaches and the expenses incurred from them, minimises the need to spend funds on physical resources (such as paper) and much more.
For example (as we previously mentioned in this blog), Microsoft Azure has seen 82% of SMBs reduce their IT running costs by an average of 20%, with 70% of them deciding to reinvest their savings back into the business.
In a nutshell, by allowing you to save on additional costs, technology can offer you with the means to invest money you didn’t have previously back into making further profit for your company.
3. It improves both internal and external communications
In a survey of 400 companies with 100,000 employees, David Grossman found that each of these companies lost around $62.4 million (£45.38 million) per year due to poor internal communications.
Similarly, research has found that inadequate communications between businesses and their customers can result in a loss of credibility, and subsequently, significant financial losses.
At the other end of the scale, businesses who have an effective communication network in place for their employees see higher levels of employee engagement, which in turn leads to up to 22% greater profitability. Simultaneously, good customer communication has been consistently linked to increased revenue.
Technology has had a phenomenal impact on our ability to communicate over the years in the working environment; more specifically, electronic communications has removed significant time and distance obstacles between businesses, their employees and their customers.
For example, Microsoft Teams is a fantastic tool that rose in popularity due to the coronavirus pandemic, allowing internal teams to communicate on projects and quickly resolve day-to-day issues.
What’s more, it has enabled businesses to efficiently communicate and collaborate with their clients and customers in ways that builds positive working relationships and more quickly, efficiently and accurately completed project briefs. In fact, we use it ourselves here at Clovertec as part of our IT support in the UK!
4. It enhances the customer experience
Research has found that those businesses who provide high quality customer experiences earn 4-8% more from sales than their competitors.
Undertaking the collaborative and communicative approach outlined above that technology can offer, alongside being able to complete projects in a more timely and efficient manner, will give you a strong foundation upon which to build a memorable and enjoyable experience for your customers.
Technology can also enhance customer experiences in other ways, too. For example, through the use of intelligent customer support software, email marketing, the provision of in-depth insights and analytics to make future improvements to your business, and more.
5. It boosts employee productivity and retention
The benefits of technology for profitability go beyond communications for your employees, too.
In fact, keeping on top of cutting-edge technology has been directly linked to employee engagement and retention. As outlined above, the more engaged your employees are, the more productive they become, and the greater your revenue will be.
On the flipside, it’s worth mentioning that employee turnover is especially costly; in fact, the cost of replacing a departing employee is usually above £30,000. A multitude of technology is being created to combat this, and is doing so very successfully!
6. It will give you a competitive advantage
With faster and more efficient processes, greater communication, reduced risks of failure, a fantastic quality of customer experience and happy employees – and all as a result of well-used technology – you’ll have everything you need to stand out from your competitors and gain the upper hand.
As stated in this Forbes article:
“It will be the companies that use technology for a sustainable competitive advantage that will leave rivals trailing in their wake.”
How Clovertec can help
With the provision of our IT support in the UK and unrivalled technology – including cloud services, security solutions and more – we have helped numerous businesses reach their desired profitability goals.
If you’d like to find out more about this and how our services could produce the same results for your business, be sure to get in touch to have a chat with our team or arrange your free IT audit with us today!