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Drivers of digital technology adoption

Business adoption of e-commerce and digital business is driven by benefits to different parts 

of the organisation. First and foremost, businesses are concerned about how the benefits of 

digital business will impact on profitability or generating value to an organisation. The two 

main ways in which this can be achieved are:

● 

Potential for increased revenue arising from increased reach to a larger customer base and 

encouraging loyalty and repeat purchases amongst existing customers.

● 

Cost reduction achieved through delivering services electronically. Reductions include 

staff costs, transport costs and costs of materials such as paper.

At an early point in digital technology adoption, a government report (DTI, 2000) identified 

two main categories of drivers which remain relevant today for introducing new technology: