Why large companies (and not startups) will drive digital growth in the future

There is a lot of talk about how agile and quick-footed startups are. Large companies, on the other hand, can be slow and have difficulty running fast. Or what? Absolutely not always, says Niklas Roupé from the digital growth agency Bombayworks:

– Digital growth is a given for startups, but there is enormous leverage when large companies embark on a transformation.

Easy with a fragmented focus

That is not to say that there are no challenges. One difficulty for larger companies can be that they have to build a digital business while at the same time having to keep their core business going.

– It easily becomes 'split vision'. Here, our task is to lead them through the entire process, from problem definition to profitability, says Niklas Roupé.

In concrete terms, this can involve developing a strategy for a new e-commerce, then building the technical solution – and finally ensuring that it leads to revenue. An important part is therefore about the user experience at the end of the tunnel.

– History has shown that we consumers are driven by more than just technical specifications. Here you need to work with UX design and constant iterations to increase conversion.

The "in-house disease" - an expensive story

In other words, succeeding with a digital journey is not just about business development, technology or design – all three parts are equally important in order to be able to grow digitally. As well as someone who facilitates the entire journey:

– Many larger companies traditionally work in clear silos. Then a bridge may be needed between different departments to utilize the data and consumer insights that already exist, says Niklas Roupé.

– We call it the 'in-house disease'. You don't have to own everything internally. It is incredibly expensive and time-consuming to recruit, develop and retain cutting-edge digital expertise. I see that consultants have an even more important role to play in the future if you want to work quickly and drive digital development forward. But it's about finding someone who understands the entire value chain.

One objection is that many larger companies are working hard on precisely this. Some buy up smaller agencies to gain digital expertise, while others invest heavily in building up internal expertise to future-proof the business. However, Niklas Roupé believes that there are more agile ways of working:

It is not enough to deliver powerpoints

When he started Bombayworks, it was to challenge the consulting giants with precisely that. Over the years, the company, which has 75 employees in Stockholm, Malmö and Mumbai (formerly Bombay), has made digital journeys together with everyone from Ikea and Electrolux to Isadora and Orkla.

Overall, holistic thinking is the most important USP:

– It's not enough to deliver power points. Our mission is not only to develop a strategy – but also to take it to the finish line, says Niklas Roupé.

Publication: Breakit, September 2020