Over the previous decade, digital transformation has been the dominating technology paradigm. Businesses that have embraced this expanding trend have witnessed enhanced customer experiences, increased security, and even expanded data analysis to many areas of their business. Digital transformation solutions have become so commonplace that the industry is set to grow from USD 521.5 billion in 2021 to USD 1247.5 billion by 2026.
Digital transformation has helped both private companies and public and government bodies to streamline their operations into efficiency. Big multinational companies like Ikea, DHL, and Nike have successfully integrated digital transformation services into their business operations.
We are also seeing that it is not just big enterprises that are leveraging digital solutions to boost their business, but smaller enterprises as well. Small enterprises do not have the legacy, goodwill, or capital that big companies have acquired over the years, and have to bank on efficient delivery of services and giving their customers a satisfying experience to see growth – and digital solutions are giving them exactly that.
Digital transformation services have evolved and grown over the years, and continue to become more advanced. Here are some trends and solutions that businesses, small and big alike, need to watch out for in 2022:
Customer Experience as the top priority
Businesses now view growth as being driven by the customer experience, and everything they do must align with the customer’s expectations and wants. Everything must embrace a customer-first approach, from technology installation to changes in organizational models/culture. In order to keep up with the competition, companies are focusing on delivering seamless customer experiences. They are also trying to personalize each customer interaction as much as possible. This involves understanding how customers interact with their brand, as well as collecting and analyzing customer feedback in real-time. Technology is being used more than ever before to create these amazing customer experiences. Businesses are using things like chatbots, artificial intelligence, and virtual reality to give customers what they want. It is predicted that by 2022, customer experience will be the key differentiator for businesses, more so than price or product. So if you’re not putting your customers first, you’re going to fall behind.
Further emphasis on IT Staffing
With the pandemic increasing business reliance on technology, IT spending has increased at a faster rate in 2021 and will rise further in 2022. With this rapid development in IT spending, IT Staffing has also risen considerably. This demand for IT experts is set to continue; according to Microsoft data, there will be 149 million digital jobs available worldwide from 2020 to 2025, resulting in a 29% compound annual growth rate. This rise in IT employment is accompanied by an intensifying war for talent and increased investment in IT staffing.
Rise of XaaS and MultiCloud Storage
To increase the efficacy of digital touchpoints, organizations will increasingly employ the cloud to bring applications, data, and IT services closer to customers. Another key benefit for them is the ease with which they can apply analytics by bringing the data closer to the analysis engine. In 2022, a multi-cloud strategy will be all the rage. Due to their many requirements, businesses are hesitant to invest in Public, Private, and Hybrid Cloud types. Furthermore, according to leading research studies,
Everything-as-a-Service (XaaS) will gain traction and may perhaps become commonplace by 2022. In line with the predictions of several market analysts, Gartner expects that more than 50% of all Infrastructure-as-a-Service (IaaS) contracts will be for multi-cloud services by 2021. And thanks to the ever-growing number of providers in the space, businesses have plenty of choices when it comes to XaaS.
Increased emphasis on cybersecurity
With the introduction of 5G and IoT devices to the market, cybersecurity is being pushed to the center of company operations and digital transformation. Companies will thus put more measures in place to ensure the protection of their data and that of their customers. Consumers are becoming more aware of the risks associated with sharing their personal information online, and they will increasingly demand that businesses take steps to protect their data. This could mean anything from investing in better security measures to developing new ways of collecting and using data. In fact, according to a 2020 IBM survey of over 4,000 firms in the United States, the European Union, and China, cybersecurity was the most common use case for AI implementation and digital transformation.
Proliferation of Automation and AI
It could be said that AI is the backbone of all digital solutions, and acts as the driving force behind digital transformation – and it is no exaggeration. AI is at the core of modern cybersecurity, RPA, and Analytics technologies. As a result, businesses are increasingly turning to artificial intelligence (AI) to obtain a competitive advantage. AI can assist with cybersecurity, business forecasting, marketing, and customer service, with analysts predicting that the market for AI will increase at a rate of 54 percent per year from 2019 to 2025
Big Data and Data Democratization
Today, businesses are leveraging data most for their successes, and are becoming exceedingly data-centric. The dependence on data has grown to such a level, that every department has to draw insights from enterprise data for effective decision making. Thus, companies are not limiting data analysis to a specific team of experts, but the whole organization. With solutions like Low-Code Tools, companies can open up data to all their departments, and increase their functional efficiency. In 2020, Gartner predicted that by 2022, more than 50% of organizations will have at least one low-code platform in production to support their digital business initiatives.
These are some of the reported digital solutions that are expected to become more commonplace in 2022, as predicted by industry leaders. Businesses must take advantage of these trends to gain an edge over their competition, and grow at a fast pace. By being aware of these shifts, businesses can stay one step ahead of the competition and ensure that they are providing the best possible experience for their customers.
Smart Data is a company of problem solvers committed to improving the business processes of our customers through digital solutions. We design and implement scalable digital transformation solutions that help you modernize your business procedures, increase efficiency, and provide satisfying user experiences to your customers.