Does Brexit present digital firms with an enticing opportunity?
The news has made for fairly gloomy reading in the days since the EU Referendum result. However, amid all the uncertainty, it’s worth remembering that the digital economy is global and largely unrestricted by country or trading bloc borders.
Therefore, for those digitally-led organisations that have global aspirations, it could even be argued that Brexit presents an enticing opportunity.
That’s not to downplay the impact Brexit uncertainty is having on the economy and businesses. Here are some of things we’re going to have to keep in mind:
- No one can say with any level of confidence what Britain’s trading relationships, single market access and immigration policy will look like in the years ahead.
- The uncertainty could lead to business investment being significantly tapered back.
- Consumers may choose to cut back on consumption and raise their savings.
- Sterling is likely to continue falling.
However, the innate optimist in me sees my views chime with people like Simon Birkenhead, managing director, Europe, L2 Inc.
He commented: “As international companies turn inwards to focus on reviewing their business strategies and budgets in light of Brexit, there’s an opportunity for faster moving competitors to aggressively use digital to increase their share of voice and capture market share.”
The key is to “focus on delivering exceptional digital experiences for [our] customers,” he argues.
Meanwhile, given that Sterling is going to be cheap for quite a while, exporting is very much the way forward – especially for those businesses who have no significant commodity or import costs to speak of, i.e. digitally-focussed firms.
There is plenty of optimism to be found, as far as the digital sector is concerned, regarding Brexit. But it relies on businesses not being completely consumed by the extreme uncertainty. Is it a case of “he who dares…?”