Digital transformation trends 2020Morten Eriksen on
Discover the future trends in digital transformation with this essential overview.
What is in store for the future of digital transformation? To help you navigate this particularly rough and unpredictable sea, we have gathered the most essential trends facing businesses and organisations in the upcoming months.
In Adobe’s 2019 Digital Trends Survey, the influx of artificial intelligence continues and was the most popular trend for delivering personalised experiences real-time in 2018. As we approach 2020, this trend continues. Reaping the benefits of AI to offer more personalised customer experiences at scale is one of the top priorities for brands across the globe.
Examples of concrete AI technologies include the mentioned personalisation, chatbots, behaviour pattern recognition, marketing automation, customer service automation, predictive marketing, and predictive content management.
According to IDC, blockchain will continue to advance toward 2020. Companies have spent over $1.5 billion on blockchain technology like Ethereum and Hyperledger already, with no signs of the spending to stop—on the contrary, the number is expected to rise to $11.7 billion by 2022.
Hacker Noon reports that we will witness several blockchain trends. Among the most important are:
- New eco systems and business models—for instance a blockchain-based image rights management platform by Kodak
- The rise of Ricardian contracts—smart contracts readable by both machine and human
- The growth of BaaS (Blockchain as a Service)—cloud-based services where companies can leverage the power of blockchain
- Hybrid blockchain—part public, part private blockchain, enabling cheaper and faster operations
- Tokenization of assets on blockchain—ownership of assets can be monitored in a tech like blockchain, and will be on the rise in 2020
While the Internet of Things (IoT) do face some serious challenges, like revenue generation, the parallel need for AI and machine learning, data security, and compatibility with existing corporate IT applications, CMSWire points out that IoT has made real progress.
The number of connected devices owned by consumers increased from 35% in 2017 to 44% in September 2018, and IoT investments are starting to deliver ROI—with the trend accelerating toward 2020. Also, IoT sensors allow for enormous volumes of data to be collected and stored every minute, providing companies with insight into equipment health, performance, and failures.
Cloud computing has made forays for years already, but with the growth of quantum computing, public clouds, enterprise IT interest, Kubernetes, and cloud spending, TechGenix rightly asserts that the cloud is a rapidly changing IT environment. And to keep up with this digital transformation, enterprise leaders need to be more adaptive than ever.
Another key area in which cloud will develop in the near future is cloud services. The rise of PaaS (Platform as a Service), IaaS (Infrastructure as a Service), and SaaS (Software as a Service) illustrate the demand for the simplicity offered by the cloud. TechGenix predicts that PaaS usage will rise from 32% in 2016 to 56% this year, and points out that open source developers are paving its way forward as well.
Voice and conversational UI
Another potential digital transformation trend is the incursion of voice and conversational UI. HubSpot states that it’s likely that 40% of all Google search queries are made by voice and that the same number applies to people planning to buy smart speakers. It’s of vital importance to realise that the growth of voice assistant usage and supporting hardware will inevitably be used for both marketing and operational purposes.
While HubSpot focuses primarily on the B2C aspects of voice, G2 discusses the B2B aspects as well. Detailing how voice already fuels interaction with mobile devices, thermostats, and automobiles, G2 Crowd explains how conversational UI likely will be adopted on top of existing business systems, like IaaS platforms.
G2 Crowd also lists several other trends that most likely will make a greater impact inn 2020, including:
- Agtech: Agriculture will be heavily influenced by millennials in 2020, leading to agtech trends having the biggest impact on small farms to begin with.
- AR/VR: While VR has been on the fringes of technology for a long time, AR is steadily rising as a business factor.
- Cyber security: In 2020 cyber security trends will revolve around the zero trust model, biometric authentication, IoT security, and information compliance tech.
- Content management: Businesses will most likely focus on increased adoption of productivity tools, more flexible CMS, and AI.
- ERP: As traditional software is being replaced by robotic process automation (RPA), new tech emerges, and the economy becomes less stable, ERP vendors and buyers must adjust their strategies accordingly.
- Fintech: Already a volatile industry for years, fintech will in 2020 face RPA, mobile banking, unsuretech, open banking, and smart contracts.
- HR: Digital transformation for HR in 2020 will consist of solutions promoting employee engagement, diversity, and company culture, as well as AI improvements to menial HR operations.
- Retail, restaurant, and hospitality: Huge technology gains are awaited in the year at hand. Keywords include omnichannel, e-commerce, mobile payments, and AI personalisation.