What’s causing the change in the Canadian digital economy?
Canada is one of the most digitally connected economies in the world. The digital economy of Canada is growing fast than the bigger industries like mining, oil, and gas. Oil is still a building block of Canada’s economy but now its technology that drives the economy. Many Canadian workers use the internet daily. When high-speed contacts reach more rural areas, the impact will only increase. The digital economy is bringing new risks and opportunities through the internet. The businesses are shifting from the traditional market to the online market. Because of the digital economy, the information now is spreading freely and fast all over the world.
Read more about Digital Economy of the USA
Biggest Technology-based companies in Canada
There are four biggest companies today in terms of the global market which are also known as technology-based global giants
- Apple: It is a multinational cooperation that sells software and electronics.
- Amazon: Amazon is an online product market which is dominating e-commerce
- Google: Google deals with all the digital communication systems.
- Facebook: It is a social networking site, which connects almost a billion people online. It is also beneficial for online businesses.
E-commerce economy of Canada
The e-commerce industry of Canada is a doorway to amazing opportunities. Because of the emergence of digital technology business industries are embracing the new technologies in their business. In Canada, there is almost 90 percent of people use the internet daily. Out of these 90 percent internet users, there is almost 75 percent of people use the internet on their smartphones or own laptops. According to an estimate, e-commerce makes 14.1 percent of retail sales globally.
Different categories of e-commerce:
There are five different categories of e-commerce
Business to business (B2B)
Business-to-business e-commerce refers to online transactions between the two companies. This type of e-commerce explains the relationship between producers and wholesalers to advertise their products.
Business to consumers (B2C)
This type of e-commerce refers to the electronic business relationship between the business and consumers. B2B e-commerce enables businesses to build a more personalized relationship with customers.
Consumer to consumer (C2C)
This deals with all kind of online contracts that takes place between the consumers. These are provided through online platforms.
Customers to business (C2B)
In this category, consumers make their services available for companies. An example of this is a graphic designer who customizes a logo for a company and a photographer who takes photos for the e-commerce website.
Business to administration (B2A)
This refers to all types of electronic transactions between the business and the public. This involves services in social, security, legal documents and employment.
Customers to administration (C2A)
C2A is another important type of e-commerce that refers to all the online transactions between the public and individuals. For example tax filling and scheduling an appointment through online services.
Why customers prefer online shopping?
- So they can save time and shop easily
- High-speed delivery of products
- Money-back guarantee
- High quality of products and details and description with high-quality image listing
- Track of shipment and information
- Discounts and loyalty programs
- You can pick options that are high in demand and compare with other products
- Shipping methods of your choice
Top sale seasons to catch in Canada
- December 25 (Christmas day)
- August (Back to school)
- May ( Mother’s day)
- February 14 ( Valentine’s day)
- March or April (Easter)
- June (Father’s day)
- July 1 (Canada Day)
- October 31 ( Halloween)
- The fourth Thursday of November ( Black Friday)
- The first Monday after the Black Friday ( Cyber Monday)
Digital economy or gig economy
The innovation in the information and communication technology sector shifts the society from the traditional market to the GIG economy. The workers of the gig economy don’t have any permanent jobs. They don’t have to work for many hours. They only get paid for the work they have done. The gig economy also is known as the freelance economy. In the freelancing economy, the jobs are not permanent. This term means the job for only a specific period.
How it works
The gig represents a small portion of worker income. The gig economy works on technology platforms. In the freelance market, workers work as independent, which means their clients pay them a rate they agreed upon. The workers of the gig economy don’t get benefits from a permanent job like health insurance, sick leave or other benefits of the traditional labor market. But because of the independent workforce, these benefits are now more accessible.
Reason of change in the Canadian digital economy
The emergence of digitalization in all fields from education, financial, health and manufacturing services to creative and cultural industries is increasingly changing the businesses of Canada from traditional to online. The main cause of change in the Canadian digital economy is innovation in all sectors. The economy is being reintroduced as the digital ecosystem that relies on the skills and guarantees individuals to own several new capabilities to stay productive in this constantly changing environment.
The digital economy is also changing the way companies do their business. In terms of the digital economy, small business startups play a very important role. Business startups promote technological advancements. Because of this, the demand for digital skills is also high in Canada.
Benefits of adopting digital economy
- increased innovation
- improved employee engagement
- increased sales and profits
- Companies attractiveness for the potential recruits is increasing
Top-selling online products in Canada:
- Sports and other entertainment products
- Household products like furniture and home decor.
- Beauty and health-related products
- Certificates, gift cards, and vouchers
- Accessories and cloth for Men, women, and children
- Food and dishes
Canada is the world’s most digitally connected country. Numerous workers in Canada use the internet daily. There is access to high-speed internet also in rural areas. This is also bringing opportunities and risks for the digital economy of Canada.