Digital transformation is not just a trend; it’s a fundamental shift in how businesses operate in our increasingly technological world. However, the process is more complex than simply implementing new technologies or establishing an online presence. For many businesses, especially small and micro-enterprises, digital transformation is often narrowly defined as digitising data, using management software, or selling online. While these are important first steps, they are only the beginning. True digital transformation requires a strategic approach, where thinking about business models, customers, and value takes precedence.

For GREAT, this means changing the behaviours not just of ethnic minority women entrepreneurs, but also those providing digital transformation solutions. Digital service providers play a crucial role in facilitating this transition by offering accessible and context-appropriate digital solutions, while businesses and educational institutions contribute by fostering a culture of lifelong learning and adaptability.

The essence of digital transformation lies in shifting perspectives—from seeing technology as a challenge to viewing it as an enabler of growth and inclusion. This approach ensures that transformation efforts do not leave behind those who lack technical expertise or resources but instead create pathways for all stakeholders to participate meaningfully in the digital economy.

Overcoming the fear of change

Many small business owners still cling to traditional mindsets, where “selling goods” is the primary focus and technology is considered secondary, or even unnecessary. This hesitation often stems from a fear of disrupting familiar processes, incurring additional costs, and potentially losing traditional customers. However, in today’s rapidly changing market, such defensive thinking can lead to missed opportunities and declining competitiveness. Customers are no longer limited by physical boundaries; they expect convenience, multi-channel experiences, and often begin their purchasing journey through digital platforms.

The transition from a defensive to a proactive mindset is crucial for successful digital transformation. Businesses must recognise that digitisation is not a trade-off but an opportunity to create new value and expand their reach. The Muong Hoa Cooperative in Lao Cai provides a compelling example. Initially hesitant, they realised that digital tools could bring their local products closer to a wider customer base.

By simply taking product photos and sharing them on social media, they quickly gained traction and secured initial orders without any advertising expenses. This success encouraged them to adopt management software for better financial control and participate in trade shows to enhance their brand recognition.

Similarly, the Tan Xuan 269 Cooperative in Son La initially avoided digital transformation projects, believing they were unsuitable for their production model. However, after a single online post on Zalo yielded impressive results, they shifted their perspective from fearing change to actively seeking new digital opportunities. These stories demonstrate that when businesses overcome their fear of the unknown and embrace experimentation, they can unlock significant growth potential.

Building trust and connection

In digital transformation, technology is merely a tool; the ultimate goal is to build trust and connect with customers by understanding their core values. The Northwest Specialty Products Cooperative initially struggled with a large but ineffective social media following. By shifting their focus to authentic storytelling, highlighting product origins, production processes, and unique values, they fostered genuine engagement, resulting in increased sales and stronger customer relationships.

Connecting with customers doesn’t necessarily require large-scale advertising campaigns. Com Lam Giang Du Cooperative demonstrates this through simple, genuine stories shared on social media about the ingredients and preparation of their traditional dishes. By emphasising transparency and creating relatable stories, they attracted a loyal customer base and achieved steady growth.

Leveraging cultural assets

Another key aspect of digital transformation is the ability to leverage cultural assets and convert them into economic value. The Ban Lien Cooperative in Lao Cai effectively used storytelling to connect with customers by sharing beautiful images of local life and culture on digital platforms. This not only attracted customer interest but also opened up new business opportunities, such as cultural tourism experiences.

Personalisation and flexibility

Every business’s digital transformation journey is unique, and there is no one-size-fits-all formula. Businesses must personalise their strategies based on their core values and specific goals. The Muong Hoa Cooperative’s progression from online product promotion to financial management optimisation differs significantly from the Ban Lien Collective Group’s focus on cultural tourism. This highlights the importance of tailoring strategies to individual needs and capabilities.

Finally, digital transformation requires agility and adaptability. Businesses must be prepared to respond to future uncertainties, from economic downturns to changes in consumer behavior. Technology is simply the enabler; the key is an innovative mindset that empowers businesses to reimagine their operations, optimise processes, and build deeper connections with customers.

The success stories of Com Lam Giang Du, Muong Hoa, Tan Xuan 269, and Ban Lien all share a common thread: a shift in mindset is the first and most important step in digital transformation. It’s a journey that any business, regardless of size, can embark on – all it takes is a proactive spirit, a willingness to experiment, and the courage to take those first, crucial steps.

These show some of the significant values of the Inclusive Digital Accelerating Program (IDAP) project supported by the Australian-funded GREAT Program. Through partnerships with digital service providers, universities, and businesses, IDAP provides ethnic minority women and people with disabilities with the digital skills they need to participate fully in the digital economy. This support is crucial for building their confidence, strengthening their decision-making abilities, increasing their income and job opportunities, and fostering resilience against economic and other challenges.

This article draws upon information from:
https://www.kisstartup.com/vi/tin-tuc/thay-doi-tu-duy-de-chuyen-doi-so