The Future of Digital Products
- March 9, 2022
- Posted by: Scale My Hustle
- Category: Digital Creation
Since the pandemic, the digital products industry has seen a rise in digital products adoption and experiences. Companies are looking to improve their digital products and give their consumers a better digital experience, while digital entrepreneurs are reassessing their digital strategy.
According to Pledge Parental Leave founder Jules Ehrhardt, a digital product is a software-enabled product or service that offers some form of utility to a human being. The interface of your favourite electronic devices, such as a smartwatch or phone, banking apps, Tinder dating app, Facebook, Google search, Uber, are some examples of good digital products.
Digital products have become a great way to make money online
Whether you have a full-time job or you’re looking to start a business, an additional income is a great way to build wealth without you breaking the bank, and that’s what the digital product industry offers. If you need more conviction, here are a few reasons to sell digital products:
- It’s time-saving and cost-effective: Digital products are created once but can be sold over and over again, allowing you more time to focus on other important things. You also don’t need to spend more money on producing more units compared to physical products.
- They’re easily scalable: No overhead costs, no need for investors or shareholders, and there’s no limit to how many products you can sell. All you have to do is create.
- No inventory, shipping or logistics: When you sell digital products, you are automatically free from the hassles associated with physical product-based businesses. Selling digital products is very simple. You won’t have to worry about the cost of producing, keeping inventories, or storing physical items.
- No niche restriction: The possibilities to create digital products for a variety of people are endless. All you have to do is identify the needs of a specific audience and create products based on their wants.
The Future of Digital Products
Now, more than ever, digital is dominating commerce in many different ways.
The profusion of screens, the explosion in the number of smartphones and wearables, the expansion of broadband internet and the payments revolution create unprecedented opportunities for the growth and democratization of digital products. App Annie predicts that the total amount spent in-app stores alone will reach USD 157 billion by 2022, a 92% increase compared with 2017 numbers.
But there are evidences that support that the importance of digital products will be even greater, far greater than the success we’ve seen in consumer mobile apps. Advances in technology are profoundly changing how we buy things and it will impact the commerce ecosystem. These changes will be the result of three major trends:
- The e-Commerce proeminence – digital sales have been exploding for two decades, and will probably maintain this trend for the foreseeable future. It will represent the vast majority of the retail revenues, with huge influence both in businesses and consumer habits.
- Digitalization of the commerce experience – technology advances are completely changing the retail business as we are moving from a digital centric to a digital only shopping experience.
- Dematerialization of goods – disruptive new technologies such as The Internet of Things (IoT), Artificial Intelligence (AI), Augmented and Virtual Reality (AR/VR), autonomous systems, voice assistants integrated to lots of devices and the Spatial Web will soon become massive and pervasive, digitalizing the world around us. A digital world will be a digital goods world. – Nex Business
Featured image: istockphoto