The single biggest reason a digital strategy fails is a lack of proper research and planning. Many businesses are so focused on rushing to market that they skip the foundational work that makes all the difference. This “act first, think later” approach is a costly mistake that leads to a series of tactical failures and wasted resources.
As a recent study from Businessmap showed, 80-90% of digital transformation strategies fail to achieve their goals, with a lack of a clear strategy and vision being one of the top reasons. The problem isn’t a lack of effort; it’s a lack of a solid plan. A strategy isn’t just a list of things to do, but a clear roadmap that defines what to do and, more importantly, why you are doing it.
In a world full of noise, people often think that a strategic plan needs to be complex. The truth is that the most powerful solutions are often the simplest. This is where the old adage of “sharpening the axe” comes into play. You want to spend more time understanding the problem before you begin to cut. This isn’t just about collecting data, but also about understanding the psychology and motivations behind consumer behavior. Without this foundation, you are simply taking a guess at what will work, and in today’s market, you cannot afford to guess.
My work with Woolworths in South Africa is a great example of this principle. Woolworths is a large, high-end retail chain known for its high-quality food, clothing, and home goods. We were working with their food division, specifically on the “braai” category. For those unfamiliar, a braai is the South African equivalent of a barbecue, but it’s more of a social and cultural event where friends and family gather around a fire to cook meat.
The challenge was that the team had been given a set of aggressive sales targets for the 6-week period leading up to Heritage Day, a time when South Africans celebrate their culture and often host a braai. The targets seemed extreme on paper, and we had no clear idea how we were going to achieve them. Instead of rushing to launch an ad campaign, we took a step back and began to sharpen the axe.
We did in-depth research into the local market, analyzing customer data, and looking at shopping behaviors in specific areas. We wanted to find that “nugget”—the one small insight that could make all the difference. We came to a simple conclusion: based on the current average basket size in a key area, all we had to do was increase the average spend by R50, which is approximately $2.50 USD. This small, almost insignificant increase, applied consistently over the six-week period, would be enough to hit the ambitious sales target.
This is the power of a strategic approach. We didn’t solve a lack of sales with a new ad campaign; we solved it by finding a foundational truth through research and planning. The key is to find the core challenge and not just the symptom. A lack of sales isn’t the problem; it is a symptom caused by a series of other underlying issues.
So how do you ensure your strategy won’t fail? You build a strong foundation. You take the time to truly understand what the challenge is. You conduct in-depth research to understand not just what your customers are doing, but why they are doing it. You look for the “nugget”—the simple, strategic insight that can fast-track you back to success.
Digital strategy is not about what you post on social media; it’s about a deep understanding of your audience, a clear plan to reach them, and a system for measuring your efforts. When you do the upfront work, you can move with clarity and confidence, ensuring that every dollar and every minute you spend on your marketing is working toward a measurable outcome.
Frequently Asked Questions
The single biggest reason is a lack of in-depth research and planning. Many businesses rush into tactics without a clear understanding of their audience and goals, which leads to wasted time and resources.
No, a lack of sales is typically a symptom of a deeper, foundational issue. The real problem is often a flawed strategy, a poor understanding of the audience, or an inconsistent message.
This means spending more time on research and planning before taking action. By deeply understanding the challenge, you can develop a precise and efficient strategy that is more likely to succeed.
Research helps you understand the “why” behind consumer behavior. It allows you to find a core insight or “nugget” that can inform your strategy, leading to more effective campaigns and a higher return on investment.
A tactic is a specific action, like posting on Facebook. A strategy is the overarching plan that defines why you are doing that action and what goal it is meant to achieve. Without a strategy, tactics are just random acts.
The most important first step is to take the time to define your audience and your goals. You need to know exactly who you are talking to and what you want to achieve before you can build a plan that works.
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