Digital adoption has led to tangible operational efficiency. Customers can find the information they need online and interact with service providers in real-time.
KAMPALA, UGANDA – A recent study has revealed that Ugandans have saved a staggering $7.28 billion over the past decade through the use of digital tools. This significant saving is a result of the country’s digital transformation, mainly through corporate websites and online presence, which has led to reduced operational costs and enhanced customer service.
The study, conducted by HiPipo, found that customers of Uganda’s top 1,000 taxpayers save approximately $1,995,000 daily through digital tools. This figure has scaled to a monumental $7.28 billion over the past ten years, highlighting the substantial financial benefits of digital adoption.
The digital transformation has also led to tangible operational efficiency, with customers able to find information online and interact with service providers in real-time. Each online interaction saves customers an average of 30 minutes, resulting in a daily time savings of around 1.5 million hours.
Approximately three million online interactions occur every day among the 1,000 organisations, resulting in a financial impact of approximately $1,995,000 daily. The weekly online interaction count reaches at least twenty-one million, saving approximately 10.5 million hours and generating a financial impact of about $14M. The monthly online interaction count reaches approximately 90 million, saving around 45 million hours and leading to an economic impact of approximately $60M.
Over a year, these organisations facilitate at least 1 billion online interactions, saving approximately 547.5 million hours and resulting in an economic impact of around $728M. Over a decade, since 2014, these organisations have handled an estimated 11 billion online interactions, saving around 5.475 billion hours, with a financial impact of approximately $7.28 billion.
The study also notes that digital adoption aligns with national economic growth goals by reducing business costs and increasing customer convenience and profitability. This trend benefits small, micro, nano, SMEs, and individuals running businesses.
Effective, flexible policies become more urgent as governments should support digital innovation through favourable policies, recognising its impact on national competitiveness. The findings of this paper suggest that even more attention should be paid to this effect.
The report highlights the need for enhanced cybersecurity to build customer confidence and trust and ensure safe digital interactions. Digital transformation comes with security challenges, and solutions must be secure, competitive, and universal, essential for sustainable and inclusive growth. Continuous improvement, such as updating the National Information Security Frameworks, is necessary.
Regularly evaluating and improving digital strategies is necessary to stay aligned with evolving technological trends and consumer expectations. The report recommends that leaders prioritise digital presence and recognise its importance in enhancing efficiency, profitability, and economic growth. This includes investing in high-value corporate websites, content, and digital channels to improve customer engagement and reduce operational costs.
The study also notes that women, especially in urban areas, are leveraging digital tools to save time and money. However, there is a need to extend digital tools to off-grid locations where access to power and energy remains challenging. Access should also be accelerated among youth, women, and men to help them find more avenues to improve their income. Digital technologies can impact job opportunities for underrepresented women in the tech industry. Understanding customer demographics can help organisations tailor their services to meet gender needs better.
In conclusion, the study demonstrates the significant benefits of digital transformation and the importance of prioritising digital presence to enhance efficiency, profitability, and economic growth.