Digital Transformation Market Size | Trends & Forecast 2025

Q: What industries are leading in digital transformation adoption?

Industries such as BFSI, healthcare, retail, manufacturing, and telecommunications are at the forefront of digital transformation initiatives.

Q: What is the overall size of the digital transformation adoption?

The digital marketing software market is projected to reach USD 3.95 trillion by 2031

Q: What is the CAGR of digital transformation during forecast period?

The market is expected to grow at a CAGR of 12.3% during the forecast period.

Q: What challenges are companies facing in digital transformation?

Key challenges include resistance to change, legacy system integration, data privacy concerns, and skills shortages in emerging technologies.

Q: How does 6W market outlook report help businesses in making decisions?

6W monitors the market across 60+ countries Globally, publishing an annual market outlook report that analyses trends, key drivers, Size, Volume, Revenue, opportunities, and market segments. This report offers comprehensive insights, helping businesses understand market dynamics and make informed decisions.

Q: Do you also provide customisation in the market study?

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Code: MTA4620

Publication Date: Jul 2025

What is the Digital Transformation Market Size?

According to 6Wresearch internal database and industry insights, the digital transformation market was valued at approximately USD 1.75 trillion in 2024 and is projected to reach USD 3.95 trillion by 2031. The market is expected to grow at a strong CAGR of 12.3% during the forecast period.

This rise is being driven by the rapid adoption of cloud services, increasing demand for enhanced customer experiences, the evolution of digital technologies like AI and IoT, and a growing focus on improving operational efficiency across industries.

Key Growth Factors of the Digital Transformation Market

Enterprise extensive use of cloud computing, artificial intelligence, and data analytics
Growing demand for digital channels and individualised customer service
Increased use of digital-first tactics, remote work, and hybrid operations after COVID
Increasing spending on intelligent business processes and automation
Digitisation of legacy IT systems in the BFSI, retail, healthcare, and government sectors
Growing significance of compliance and cybersecurity in digital projects

Digital Transformation Market Trends

Enterprises are increasingly investing in cloud-native architectures, DevOps, and low-code platforms to accelerate innovation. The convergence of AI, IoT, and edge computing is transforming industries like manufacturing and logistics. Organizations are prioritizing customer experience (CX) technologies, including omnichannel engagement and personalization. Data-driven transformation strategies powered by advanced analytics and machine learning are also on the rise.

Emerging Developments in the Digital Transformation Market

Digital transformation is expanding into smaller enterprises with the availability of SaaS-based solutions and affordable automation platforms. Businesses are adopting digital twin technology to simulate operations and reduce risks. Sustainability and ESG goals are increasingly being integrated into transformation roadmaps. Governments are also launching digital public infrastructure projects, accelerating national digital agendas. Generative AI is emerging as a major disruptor in content creation, development, and business intelligence.