It’s almost been a year since covid-19 has disrupted the global economy. Businesses of all sizes and scales are struggling hard to cope with the disruption caused by Covid-19.
The outspread of Covid-19 has paved the path of digital transformation for businesses. Digital transformation has become the need of the hour.
What is Digital Transformation?
Evident to its name, the process of the integration of digital technology into all areas of a business is known as Digital Transformation. It helps business owners to change the fundamental ways a business generally operates.
According to a study by IDC, direct investment in digital transformation is rising at a CAGR of 18% from 2020 to 2023. The numbers are expected to reach $7 trillion as more and more companies are gradually embracing digital transformation.
Talking about the market of digital transformation, it will grow at a CAGR of 23% from 2019 to USD 3.3 trillion by 2025.
Benefits of Digital Transformation for Business
If you are planning to adopt digital transformation for your business, then it is the right time. Because around 89% of companies have already adopted digital-first business strategies, and it shows how covid-19 has changed our world.
70% of companies have either adopted digital transformation strategies or are already working on at least one technology.
The ratio of companies is rapidly rising, and if you are still wondering whether you should go for digital transformation or not, then go through the below-given benefits of digital transformation.
Improved Data Collection – Data collection and data management are two daunting tasks for businesses, especially for large scale enterprises. With the help of digital transformation, a system will be created for gathering data and use it optimally for business intelligence at a higher level.
Enhanced Resource Management – With the help of digital transformation, companies can optimize their resources excellently in a centralized manner. It will bring process innovation and efficiency across different departments.
Data-Driven Insights – Businesses who have embraced digital transformation understand their customers in a better way. It will let businesses analyze structured and unstructured data effectively and enable you to build customer-centric business strategies.
Increase Profitability – All those companies who have gone for digital transformation have experienced improved efficiency and profitability. According to SAP center for business insights & Oxford economics:
- 85% of companies have experienced an increase in their market share.
- 23% of leaders expect higher revenue on average.
- 80% of companies are done completing digital transformation & experienced more profit.
As per a report by Gartner Approx, 40% of the companies have brought to scale their digital initiatives. Nigel Fenwick, from Principal Analyst in his report, has estimated that “more 90% of companies are using technology to modernize their existing business model.
Improved Productivity – Digital transformation will provide your team with the right set of tools that will empower their productivity and efficiency. The automation eliminates manual tasks and makes teamwork more efficient.
Digital Transformation Trends to Rule in 2021
The unprecedented challenges that arise with Covid-19 have compelled businesses to go for digital transformation, as it becomes the need of the hour. There are many factors that will drive the digital transformation towards businesses. The three most important one include:
- Remote working
- The necessity of contactless interaction, and
- Need for an advanced tool that helps businesses to get ready for any uncertain future.
Considering all the factors, we are here with a consolidated list of top digital transformation trends for you.
5G technology has been the talk of the town for the past few years. Since in this Covid-19 world, Work From Home (WFH), video conferencing, and digital collaboration becomes imperative parts of lives, it has fanned the need for 5G technology that assures reliable connectivity and more bandwidth.
Businesses, offices, schools, colleges, and every other industry now require strong internet connectivity more than ever. Amidst this, deployment of 5G technology will be a significant step in 2021.
Customer Data Platform (CDP)
The data is growing at an exponential rate, and it won’t reduce anytime soon. In the past few months, the need for the Customer Data Platform has increased amazingly, and it will continue to rise in 2021 as well.
It can be notoriously daunting to organize fragmented data from multiple sources, especially for the companies who are dependent on on-time, well-curated data to perform its operations.
According to IBM – a tech giant, because of the bad data businesses in the United States have already suffered for around three trillion USD annually.
With the help of the CDP, companies of all sizes can easily collect data from all available resources, organize the data, tag it, and finally make it usable for all the stakeholders.
Tech giants like SAP, Oracle, Adobe, and Microsoft, along with new entrants like ActionIQ, have already invested a huge sum to provide the market with strong and novel CDPs.
The demand in the analytics platforms, data warehouses, and visualization tools like Cloudera, SAS, etc. will continue to rise in 2021.
Ever since remote work culture has seen a rise, the need for high-end digitization and strong & secured information has become the need of the hour.
Cybersecurity has got a sudden boost, and it will continue to trend in the coming years also.
Due to the changing work environment, businesses fear hacking attempts, data breaches, and malicious attacks, server interventions, etc. It is because of all these factors business data is expected to be at high risk.
The next year we can see a surge in the new and strong cybersecurity algorithms, policies, and tools.
Businesses can expect more enhanced and feature-rich tools like firewalls, intrusion detection, antivirus strategies, security identification, role-based access, cloud-based services, and many more.
AI and Machine Learning will be highly supporting for cybersecurity.
Businesses of scale and sizes are more inclined towards the technology, which can help them in finding answers to the complex of queries, monitoring, and computing, and for this comes quantum computing in the picture.
The technology helps the business in analyzing answers to complex problems and enables them to make the most suitable actions from any data source at any given point in time.
Quantum computing helps systems to behave in an organized manner and in a predefined systematic manner. It’s the ability to solve complex issues that will bring digital transformation for sure.
More Advanced Folding Device
In the present time, when most of the companies are following work from home and remote working culture, it becomes imperative for users to always stay connected. It paves the path for the advent of flip devices.
The users require a solution through which they can remain always connected. They require a device that is small in size, light in weight, and provides a great connected versatile experience.
Companies like Microsoft and Samsung have already started working on this trend, and they have come up with Microsoft Surface Duo and Samsung Galaxy Fold 2. Both devices can be used as phones and tablets.
The success of these devices has opened the gates of opportunities for other companies, and we can say that the year 2021 will definitely see a lot more folding devices.
One of the best parts of these devices is that these folding devices will come with brilliant 5G level connectivity.
Democratization of AI
There are many of us who believe that Artificial Intelligence and machine learning are the technologies of the future but seeing the current situation occurred due to pandemic, AI has become very much a part of our everyday lives.
Globally, different companies, different governments, and other non-profit organizations have understood the importance of Artificial Intelligence to work together to develop a solution to stop the virus.
Data analytics, AI, and machine learning will continue to rise in the year 2021 also. Tech Giants like Intel, Qualcomm, and AMD are working continuously to bring something innovative for the users.
Other Digital Transformation Trends That Will Rule in 2021
- Strong data and user privacy solution.
- Adoption of cloud technology to streamline critical business decisions.
- Everything as a Service (XaaS) enables easy access to every service that is on the cloud.
- AIaaS will be trending to help businesses in improving their marketing activities.
- Driver monitoring systems.
- Cloud-native technologies.
- Increase in the voice-based UI and Conversations.
Digitization is all set to bring a technological revolution in 2021. Companies small and big are all set to embrace digital transformation to cope with the trends. There are several companies that are offering the best digital transformation services, one of them is Fexle Services.
It is a Salesforce consulting company with 13+ years of industry experience. The company offers excellent cloud-based solutions to streamline different operations like sales, service, marketing, and many more.
Hire a Salesforce consultant today and prepare your business to be the business of tomorrow.