30+ Digital Transformation Statistics You Need to Know in 2024

January 5, 2024 149 Views

30+ Digital Transformation Statistics You Need to Know in 2024

Digital transformation increases growth and profit

The introduction of digital transformation may have a big and far-reaching influence on organizations since it fundamentally alters how they function and provide value to their consumers. In its most general definition, the term “digital transformation” refers to the process of incorporating technology into different processes and functions inside an organization. Data gathering, mobile access, customer experience, marketing, and analytics are just some of the daily tasks that might benefit from more flexible solutions brought about by this. In addition, it is a cultural shift that requires businesses to question the established order, engage in experimentation, and get used to the idea of experiencing failure.

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Spending on digital transformation throughout the globe reached over $1.3 trillion in 2020, representing a growth rate of around 10.4% in comparison to the previous year, 2019.

What are some of the reasons why digital transformation is so enticing and important in the modern-day corporate landscape? The COVID-19 epidemic, in conjunction with the shifting circumstances of the market, increased the demand for automation, remote labor, and efficient workflow. It has been shown that implementing digital transformation efforts may improve the way a business runs and allow it to adapt to the requirements of the market more flexibly.

Key numbers for digital transformation

In addition,Any company worth its salt should make digital transformation one of its top priorities. If your organization has not yet begun the digital transition, here is a detailed summary of statistics to persuade you to do so. These should serve as examples of how implementing digital transformation may boost your business’s reach, customer service, and bottom line.

Analysis of Data Digitization

To undergo digital transformation, digitization must first occur. Digital artifacts are relied upon in place of physically present data or processes. Some examples include making use of electronics in production, digitizing paper records, and many more.

Between June 2017 and July 2020, the average percentage of items that have been digitally transformed rose by 26% globally. Data analyst
Even before the pandemic, the worldwide proportion of digitization was over seven years higher than the typical adoption rate. Data analyst
By 2022, experts predict that 65% of the world’s GDP will have been digitalized. in the IDC
Of the CEOs surveyed, 51% think that their company’s revenue has gone up because of digital developments. As per Gartner
By 2022, 70% of client encounters will be handled by intelligent systems. As per Gartner

Web-Based Adoption System

When businesses learn to make use of data and processes that have been digitalized or abstracted, they have taken the next step toward transformation: digital adoption.Then, These advancements help with a variety of ways that production performance, documentation, quality, time-to-market, and monitoring may be enhanced.

With a whopping 16.5% CAGR, the worldwide digital transformation market is expected to skyrocket from $469.8 billion in 2020 to $1,009.8 billion in 2025. (Marketing and Research)
An overwhelming majority of companies—89%—are already in the process of developing or intending to implement a digital-first strategy. IDG is:
Almost half of all CEOs choose to “reinternalize IT” or reintegrate IT into the company’s core operations in order to gain a competitive edge. As per Gartner
According to IDC, 38% of more established companies are following the trend toward digital strategies, while 55% of startups have already done so.
Approximately 69% of factory executives use IoT for monitoring equipment and machinery, and 73% think it’s crucial to digital company strategy. A report by Forbes

Summary of the Digital Transformation

Companies that have realized the potential of modern technological expertise to obtain a competitive edge and fuel company development are undergoing what is known as “digital transformation,” a general movement toward information technology (IT) solutions and capabilities.

The two most common reasons cited by CEOs for embracing digital transformation are the need to seize growth opportunities (51%), and to remain competitive in the sector (41%). Updates to GDPR and other legal criteria necessitating stronger consumer security procedures are inspiring 38% of firms. This person is a prophet.
Becoming a leading firm in digital transformation initiatives is on the agenda for 37% of CEOs about the COVID-19 epidemic, as is improving remote work for personnel at 37%.
Businesses that have weathered the COVID-19 storm effectively have pointed to technology as a key factor. As many as 67% of those surveyed claimed to have been technologically savvy before the crisis hit, while 56% claimed to have embraced new technologies as a result of the crisis. According to McKinsey,
Following through with digital transformation had a favorable effect on growth for 29% of CEOs and executives and on sales and marketing efforts for 41%. This belongs to Deloitte.
Revenue and growth are driven by the digital revolution. The expected GDP contribution from direct investments in digital transformation from 2020 to 2023 is 65%, or over $68 trillion. in the IDC

The Challenges to Digital Transformation

It takes time for a company to undergo a digital transformation. Making the change and incorporating it into regular workflow seamlessly requires a lot of time, energy, and resources. The most significant difficulties encountered by adopters are as follows:

According to Prophet, about a third of businesses still think digital transformation is too costly, and nearly as many say it’s hard to gauge the return on investment. This person is a prophet. In fact, according to Gartner, determining and quantifying the sort of digital transformation required is a prerequisite to achieving deeper change.
Along with cultural factors, digital transformation faces resistance to change in workflow (26% of respondents) and delays caused by legal and regulatory obstacles (26% of respondents).
Approximately 76% of industrial businesses find digital transformation to be either very tough or very challenging, indicating that the complexity of implementation is a big obstacle. The martial art of Fujitsu
Significant problems that firms notice while moving toward digital transformation include upfront expenses (75%), the availability of competent workers (75%), and the time limit necessary for complete transformation (75%). The martial art of Fujitsu
Just over a third of chief information officers (CIOs) said they will have trouble finding qualified candidates or retraining current data science and cybersecurity employees. IDG is:

Statistics on Digital Adoption by Sector

Digital transformation increases growth and profit, according to CEOs and CIOs from various sectors. Using a hybrid or cloud-based system with artificial intelligence to replace conventional brick-and-mortar management increases productivity and efficiency while also having the potential to lower operational costs. According to these numbers, certain sectors have profited more than others from digital transformation initiatives:

Retail

With a projected CAGR of 18.2% between 2020 and 2026, the worldwide digital transformation market for retail was $143.55 billion in 2020. The retail industry’s digital transformation is expanding at the fastest pace in the Asia-Pacific region. (Assembly of Dark Forces)
Spending on data analytics set to increase by 63% for retailers, while artificial intelligence (AI) expected to enhance workflow by 35%. As per Gartner
Seventy-one percent agree that digital transformation is crucial to retail technology. The martial art of Fujitsu
Because of the convenient and tailored experience, almost three-quarters of American Internet users shopped online using it. (Assembly of Dark Forces)

Medical treatment
Healthcare in industrialized nations is all the rage, including the United States, China, and Germany. The healthcare digital transformation industry expect to see a compound annual growth rate (CAGR) of more than 14% from 2017 to 2031. (Analyses of the Market to Come)
Virtual modes prepare to provide healthcare worth at least $250 billion, or 20% of the total, in the United States today. According to McKinsey,
After the pandemic, telehealth and telemedicine initiatives jumped from eleven percent to seventy-six percent. According to McKinsey,
Artificial intelligence (AI) healthcare delivery and technology expect to generate around $34 billion in revenue by 2025. A report from BusinessWire
Costs related to data breaches are three times greater for healthcare businesses than for other sectors, according to an IBM report. Proper data security procedures are included in these. (Analyses of the Market to Come)
Despite a general slowdown in development after COVID-19, certain industries, including financial services and infrastructure, have managed to keep up double-digit growth rates, thanks in large part to digital transformation. (Group of Probes)
The majority of conventional financial institutions (75%) have already begun digital transformation processes, with a further 15% planning to do so by 2022, according to data compiled by Cornerstone Advisors and reported by Forbes. A report by Forbes
A quarter of the insurance sector will use AI-driven analytics and machine learning to automate processes by 2025. According to McKinsey,

HR
Predictions show that automation would lead to the loss of 29% of employment while increasing the number of job ads by 13%. As per Forrester
The absence of essential skills in digital transformation is the main issue for 55% of businesses when it comes to innovation. consulting firm
Human resources managers utilize AI to help employees; 58% say it has increased productivity overall, and 16% say it has enhanced insights. Data Analyst How Kissflow Accelerates the Digital Transformation Journey

Moreover, Digital transformation has proven essential for all types of industries. And then, It enables a more efficient approach, less downtime, and less likelihood of human errors, ultimately broadening a company’s reach.

Furthermore, Perhaps the biggest takeaway is that digital transformation is a long and arduous process. Any digital application or revision will not be immediately practical without proper onboarding, training, and support for employees as well as end users. Overall, Companies benefit from having reliable resources that can initiate or support ongoing procedures. Therefore, among the industry’s trusted work platforms that effectively designed to empower you digitally, giving you the agility and flexibility to run your business operations hassle-free.

Whether it is automating processes, digitizing your operations, managing requests, or building custom applications, with Kissflow you can do it all within a unified platform, without or with limited coding expertise.