When the digital age turns all business rules upside down

The business world is entering an era where technology giants are redefining entire industries profession.

Amazon and Alibaba shake up the traditional retail industry. Uber and Grab completely change taxi services. Airbnb creates a crisis in the global hotel industry.

When this wave of technology hits, most traditional businesses react instinctively:

Supermarkets open e-commerce platforms.

Taxi companies launch car-booking apps.

Restaurants build online food ordering websites.

But most of them are caught up in the endless technology race, where old advantages are wiped out, while new advantages have not yet formed.

They forget that: “Going online” does not mean “digital transformation”.

Case Study: The Fall of Toys “R” Us – When the “toy giant” lost on its own turf

In 2018, Toys “R” Us, a toy retail icon for more than 70 years, declared bankruptcy and closed all 735 stores in the US.

At first glance, many people think they failed because they were slow to adapt. In fact, they have been “online” since 2000 – partnering with Amazon to sell on the e-commerce platform.

So what caused their downfall?

Mistake 1: Switching channels, not mindsets

Toys “R” Us copied the offline store model online.

They see e-commerce as just another sales channel, instead of a new customer experience journey.

When the products are the same, the prices are low faster, faster delivery, customers gradually abandon the “legendary brand”.

Mistake 2: Losing ownership of customer data

Selling through Amazon means losing all buyer data – information that in the Digital age is “lifeblood”.

Toys “R” Us cannot analyze behavior, personalize experiences or re-engage with old customers.

When data is in the hands of the platform, businesses lose the ability to innovate.

Mistake 3: Failing to Create Unique Value

From product, price, to experience, everything is undifferentiated.

When consumers have hundreds of similar options within a few clicks, “old” brands are no longer an advantage.

Result: Toys “R” Us did not lose because of “technological errors,” but because they lost their ability to differentiate.

They fought with someone else’s weapons – and failure was inevitable.

When traditional businesses know how to “revive”

While Toys “R” Us disappeared, many other businesses in the same industry rose thanks to the mindset of recreating value, not racing for technology.

Case 1: Build-A-Bear – Turning customers into creators

Build-A-Bear doesn’t just sell teddy bears, they sell the experience of creating teddy bears.

Customers get to choose the color and stuffing themselves cotton, choose outfits, name them, even record a greeting on the product.

Each toy becomes a personalized memory something that e-commerce cannot replicate.

Result: Revenue and store count have grown for four consecutive years.

Build-A-Bear is no longer a “retailer,” but a experience and emotional brand.

Case 2: Ace Hotel – When “hotel lobby” becomes a competitive advantage

Instead of compete with Airbnb on price or number of rooms, Ace Hotel turns the hotel lobby into a community space.

They create an open coworking area with free wifi, coffee, and events to connect tourists and locals.

From a place to rest, the hotel becomes a place to connect – experience – belong.

Ace Hotel does not compete with “a place to sleep”, but with a sense of community – something Airbnb cannot provide.

Three survival lessons for traditional businesses

• Accept the reality & Leverage your existing strengths
• Businesses don’t need to become “tech companies” to survive.
• Instead of imitating competitors, exploit the value that only you have: people, experiences, brand stories, loyal customer communities.
• Put customers at the center, not products
• In the Digital world, consumers don’t just “buy”, they “experience”.
• Those who understand the journey, emotions and hidden needs of customers will maintain loyalty.
• Create unique value, touch emotions
• When every product has what can be copied, what cannot be copied is the meaning and emotion that the business brings.
• Emotional value – not cheap price – is the key to help businesses escape the fierce race.

Implementation Playbook: What should traditional businesses do in the first 90 days of digital transformation

Phase 1 – Building a data foundation (Weeks 1–2)

• Standardizing information customers (full name, email, source, purchase behavior).
• Connect channels: Facebook, Zalo, Gmail, website, store → transfer data to a single system .
• Build the first Landing Page to collect leads from advertising channels.

Stage 2 – Automating the customer journey (Week 3-4)

• Create 4 basic workflows: Welcome, Post-Purchase, Reactivation, Workshop/Event.
• Use AI to write email content and automated messages suitable for each group customers.
• Track metrics: Open rate, CTR, return purchase rate.

Phase 3 – Expand omnichannel & community (February-March)

• Implement Click & Collect (order online, pick up at the store).
• Build a Membership program: accumulate points, workshop incentives, early access to new products.
• Organize in-store experiential events (mini workshops, community exchanges).

Stage 4 – Measure & Optimize (March onwards)

• Set North Star Metric: % revenue from returning customers.
• Evaluate the effectiveness of each advertising channel according to CPL, ROAS, CLV.
• Automatically cut budgets on ineffective channels, increase budgets for profitable channels.

GTG CRM – Platform to help businesses “revive” in the digital age

Instead of being a single marketing tool, GTG CRM plays the role "growth operating system" for businesses in the digital transformation process.

1. Data consolidation – comprehensive customer view

GTG CRM helps businesses save all information from multiple sources: Zalo, Facebook, Gmail, Website, offline stores...

From there, you can understand exactly who is buying, where they come from, how they interact, and what they need next.

2. Automate the journey – nurture customers

Automation Workflow allows setting up a smart chain of actions:

For example, when a customer leaves information on the Landing Page → the system automatically sends a thank you email with a discount code → after 3 days if they do not buy, automatically send consulting content → after 7 days, remind them by Zalo message.

All happens without the need for a manual sales team.

3. Create a seamless experience – increase emotional value

GTG CRM allows you to create Landing Pages, Emails, messages, ads… on the same platform, helping consistent brand messages from the beginning to the end of the buying journey.

Customers feel cared for, remembered, served – not just “sold”.

4. Measure & data-driven decision making

Consolidated reporting helps businesses understand:

• Which channels are generating real revenue.
• Which costs are being wasted.
• Which customers are the most valuable to focus on.

Therefore, businesses optimize costs – increase efficiency – and build long-term competitiveness.

Quick check: Is your business “awake” in the digital age?

• Do you know exactly which 3 customer groups bring in 80% of your revenue?
• Are you collecting and storing customer data in a single place?
• Are your marketing channels connected or still disjointed?
• Are you using automation to nurture customers automatically?
• Do you measure the CLV (Customer Lifetime Value) of each customer group?

If you answered “no” to more than 2 questions, then it’s time for a system like GTG CRM to restructure the entire customer journey.

Conclusion: Adaptation is not about “going online”, but about “rethinking value”

Toys “R” Us failed because they saw Digital as a new channel.

Build-A-Bear and Ace Hotel succeeded because they saw Digital as a tool to amplify their own identity.

GTG CRM does not make businesses “successful because of technology” – it helps them use technology in the right place, to:

• Understand customers more deeply,
• Build longer relationships,
• And create more authentic experiences in the digital world.

Digital transformation is not a race to catch up with technology – but a journey to rediscover human values in the digital age.

And GTG CRM is your companion on that journey.