Colombia still has around 94% of its digital potential to tap into, with a vast majority of its businesses still far from selling their goods and services online.
Most businesses in the Andean country are small in size and have little to no access to online resources, according to a study by global management consulting firm McKinsey.
According to the report, more than 70% of Colombian households do not have access to broadband and only 33% of internet users buy online, compared to 88% in the UK and 75% in the United States.
In the survey, more than 41% of respondents said they do not sell online due to a lack of resources, while 45.7% said they were deliberately targeting consumers who have little or no access to the web.
The report also points out that companies that digitize just 10% of their operations would see their income increase by 2.5% to 5%.
Sectors such as financial services, media, and ICT have adopted digital technologies somewhat, but others are still a long way off, says the report. Even the oil & gas industry has lagged in making use of technology.
A lack of infrastructure, short supply of human talent, and space for for innovation are the three main barriers hampering the adoption of technology in the country, the report noted.
Although Colombia has better web access than some neighboring countries, accessibility is still uneven in many parts of the nation.
If companies adopt technology quickly, predicts McKinsey, Colombia may achieve between 5% and 10% GDP growth by 2025.