The digital economy is entering a tougher phase, and businesses that fail to modernise properly risk losing ground. Future growth will depend less on simply having digital tools in place and more on whether organisations can turn connectivity, trust and customer understanding into real business value.
South African businesses will need strong digital foundations, trusted relationships and a clear understanding of customer needs if they want to stay competitive in the next phase of the digital economy, according to Hasnain Motlekar, Chief Operating Officer of Telkom Business and Acting CEO of BCX
“Digital progress is entering a more demanding phase,” Motlekar says. “Many organisations have already adopted new tools and platforms. The bigger challenge now is making them deliver better customer and business outcomes. It’s about creating more connected and more reliable experiences for customers, suppliers, employees and partners.”
A digital community should make it easier for people and businesses to engage, transact and solve problems in a connected environment. That depends not only on the digital front end, but also on the infrastructure, security, applications and service layers behind it.
“People still buy from people,” says Motlekar. “The businesses that will succeed are those that use technology to improve service and stay close to the communities they serve. That’s how trust and loyalty are built.”
Customer expectations have shifted
In both consumer and business markets, people expect faster service, fewer points of friction and a more seamless experience. “They want businesses to understand their needs, respond quickly, deliver consistently and address service issues without delay,” Motlekar says.
Companies that move too slowly, or treat digital change as a limited internal upgrade, risk losing ground to more integrated and agile competitors that are easier to do business with.
“Businesses are moving beyond basic digital adoption and starting to rethink how they create value, how they engage customers and how they support growth in a more connected market,” he says. “Their approach must be deliberate, practical and aligned with the business’s strategic priorities.”
A central issue is infrastructure. Businesses need modern connectivity, resilient platforms, secure environments and applications that can evolve with their operations. In a digital economy, weak infrastructure affects the whole business. It slows service, increases risk and undermines customer confidence. Many organisations still underestimate how much depends on these foundations. A digital strategy can only work if the systems underneath it are strong enough to support growth.
Motlekar argues that connectivity remains one of the most important enablers of digital participation. Businesses need reliable fixed and mobile networks, strong data capabilities and secure digital environments if they want to operate effectively across sites, regions and markets. That is especially relevant in South Africa, where digital opportunity continues to expand, but access and resilience still vary sharply by geography and infrastructure availability.
Trust is equally important. Businesses now collect more data, personalise more services and engage customers across more digital channels. That increases responsibility. Customers want convenience, but they also want confidence that their information will be handled properly and that the relationship will be treated with respect.
“Customers need to know their information is being handled properly and that the relationship is being treated with respect,” he says. “A business can damage itself very quickly if it uses that trust badly.”
This will become even more pressing as artificial intelligence takes on a larger role in business. AI will be a major driver of productivity, efficiency and service improvement. At the same time, Motlekar says leaders need to be realistic about its limits. AI can accelerate workflows and improve responsiveness, but human judgement, oversight and accountability will remain essential, especially in areas where customer trust and complex decision-making are involved.
“The aim is to use these tools to support people and strengthen the business,” he says.
That places a clear responsibility on leadership teams. As businesses adopt new technologies, they also need to manage different levels of readiness across their organisations. Some teams will adapt quickly. Others will need more support.
“Leaders need to guide that transition carefully, build confidence internally and invest in skills that keep people relevant as the business changes,” he says. “Digital progress will be harder to sustain if employees are left behind by the pace of change.”
Motlekar maintains that long-term competitive advantage will come from a business’s ability to combine service, trust, relevance and strong digital capability in a way that others cannot easily match.
“Technology on its own rarely creates durable advantage,” he says. “The edge comes from how well a business understands its customers, how smoothly it delivers value and how consistently it earns confidence over time.”
That has direct implications for South African businesses looking to compete more broadly. Digital platforms can open doors beyond traditional geography, but success still depends on local relevance, strong back-end capability and a deep understanding of the customer journey. Businesses need digital storefronts that work, systems that can support them and supply chains that can keep pace with demand.
“You still have to understand the market, the customer and the full journey behind the transaction,” says Motlekar. “The front end only works if the back end works too.”
He says Telkom Business is focused on helping organisations build more connected and resilient digital environments. That includes the infrastructure that supports operations, the security that protects them and the strategic thinking required to turn digital investment into business value.
“Businesses that make digital easier, more useful and more reliable for the people they serve will be in the strongest position to grow,” he says. “That is what will matter most in the years ahead.”
SUPPLIED.
