Companies across the world today are digitalizing, irrespective of their size and domain. They are investing actively in digital transformation consulting, enterprise solutions development, legacy software modernization services, and enterprise mobility solutions. However, a prominent question in every business remains: How much will digital transformation cost?
Companies, especially startups, are mostly cautious in implementing new digital transformation services in their companies that may increase their budget. In some cases, SMEs and enterprises have to rethink digital transition as they add to their budget.
However, only a few know that the cost of digital transformation solely depends on your ideas, business requirements, and the company’s size. There are limiting factors involved in determining your digital transformation cost.
So, what factors affect your digital transformation cost, and how can you implement a future-ready digital transformation strategy tailored to your business needs? Let’s discover everything in our blog!
What are the Business Benefits of Digital Transformation?
Before determining the digital transformation cost, discussing the business benefits of adopting digital transformation services is essential. So, let’s start from the start!
What exactly is digital transformation?
The process of transforming traditional and non-digital business processes and services through the use of digital technologies, as well as developing new ones to meet changing customer and market expectations, is known as digital transformation.
As per the research, a business can boost customer satisfaction by 20%–30% by using digital transformation services. Additionally, digital transformation will increase global economic growth by 20%-50% in the coming years.
Read More: Top 8 B2B Digital Transformation Ideas for Enterprises
So, is that all? Well, no! Adopting digital transformation strategies for your business has many other excellent advantages. Let’s look at some of them here!
Innovative Operations
The foremost benefit of digital transformation for your business is innovative business operations. We all know that digital transformation includes next-gen technologies and digital approaches to solving business concerns.
Whether streamlining your supply chain and logistics operations, managing your patients over telehealth apps, or even innovating your online retail stores, next-gen technologies like Ai, IOT, AR/VR, and cloud computing can easily innovate your business processes.
That’s why 89% of companies have invested in digital transformation services. Hence, you must also leverage digital transformation consulting to identify and implement the perfect digital strategy to innovate your ongoing business processes. Connect with a digital transformation consultant to determine the best next-gen technologies and solutions to help reinvent your business processes.
Excellent Customer Experience
Another excellent business benefit of digital transformation is superior customer experience. In today’s competitive era, customers are king. You cannot win the market without enhancing your customer experiences. The best way to do that is by implementing enterprise solutions.
A custom enterprise solution built with next-gen technologies can enhance the customer experience by analyzing their needs and offering the perfect solution to their problems. For instance, you can offer a chatbot to enhance customer support operations. Additionally, you can also implement AR/VR solutions in your travel, hospitality, and even healthcare organizations to boost customer experience.
Data-driven Business Decisions
Data is the most critical asset to succeed in today’s digital world. Whether it is analyzing your business performance, understanding your customer needs, or even tracking your assets, everything depends on data analytics. However, legacy systems do not offer data analytics services. That’s where digital transformation comes into play!
You can easily modernize your business infrastructure to facilitate data analytics services with digital transformation services. Modern enterprise solutions can be equipped with AI that further enhances your data analytics capabilities.
Higher Efficiency and Productivity
Apart from offering data-driven business insights, digital transformation services can also enhance your business’s efficiency and productivity. With custom digital solutions, you can easily automate your tedious and complex business processes, including data entry, HRM tasks, accounting, asset tracking, and even site monitoring.
Automating those tedious tasks helps you reduce your operational cost as fewer resources will be required to manage those tasks. Eventually, your employees would get more time to focus on other important tasks that could expand your business.
Better Sales and Profits
Who doesn’t want better profits and sales? However, monetizing your legacy system isn’t possible as they have many loopholes and does not fit modern-day customer needs. But that’s not the case with digital enterprise solutions and mobile applications.
Digital transformation services allow you to create state-of-the-art solutions that boost your revenues and profits. For instance, you can run third-party ads on your apps or offer your users subscription-based models. Moreover, you can also leverage AI and data analytics to analyze the user needs and target them with the right product/service they can’t deny. All that increases the revenues and customer count for your brand.
Enhanced Security and Data Integrity
Lastly, digital transformation services result in better security and data integrity. As we have discussed above, data is the most profitable asset for any company. However, if that data is lost or stolen, it could result in a heavy loss in money and brand reputation.
To prevent that situation, you need solutions to build using the best security practices, which fall under digital transformation. You can easily offer your data encryption and multi-factor authentication functionalities to your users via digital solutions.
Moreover, you can also leverage blockchain and cloud integration services for your business via digital transformation. All that increases the security and integrity of your business data.
How to Determine the Cost of Digital Transformation?
Now that we have explored the excellent benefits of digital transformation let us return to our main question – the cost of digital transformation for your business. Well, this answer can never be given without analyzing your major business requirements.
As we have discussed earlier in this blog, your digital transformation cost depends on many factors, including the complexity of the features, the scope of your project, the digital transformation services opted for you, the number of resources working on your project, etc.
Apart from that, many other factors impact your digital transformation cost. So, let’s discuss them one by one to get a better idea of the cost estimation.
Business Requirements
The foremost factor influencing your digital transformation’s cost is your business requirements. Before beginning your digital transition, you must know your short and long-term business goals. Additionally, you must know about the various processes happening in your business.
For that, you can ask yourself questions like:
- What are my future business goals?
- Who is my target audience?
- What are the various operations of my company, and which ones need to be optimized?
- What sort of digital transformation services and solutions will be beneficial for my business?
- How can I measure the results obtained by adopting digital transformation services?
Answering questions like these will help you uncover the true aspects of your business and frame a business-focused digital transformation strategy. Once the strategy is created, you can get an idea of your digital transformation cost.
Read More: Top 8 Digital Transformation Challenges for Businesses to Overcome
Digital Transformation Consulting Partner
Another important factor to consider for calculating an exact digital transformation cost is your digital transformation consulting partner. Many a time, businesses seek freelancers or small companies to save their digital transformation costs.
However, partnering with an experienced and reliable digital transformation consulting company helps you discover the latest industry trends. You can understand the main concerns of your business and seek better ways to resolve those concerns using the right tech stack and other digital transformation services. You can know which areas need improvements and what resources would be required to optimize them.
In short, you can get an exact idea of the services and resources required to optimize your enterprise. That eventually would help you calculate your business’s exact cost of digital transformation.
Digital Transformation Services Opted
Once you have partnered with a reputed digital transformation service provider, the next crucial factor that impacts your transformation cost is the services opted for you. We know that every business has different requirements and concerns. For some of you, it may be automating the existing digital solutions using next-gen technologies. For others, it may be replacing their legacy systems with advanced digital solutions.
Hence, the services you choose for your enterprise affect your digital transformation cost. As an experienced digital transformation service provider, we always suggest our clients scale steadily. That means you must first implement the necessary digital transformation services and focus on implementing next-gen technologies. That way, the chances of your success will increase without affecting your budget.
Type of Digital Solution
That’s one of the most important factors affecting your digital transformation cost. The type of digital solution you implement in your business has a great impact on your transformation cost. For instance, if we talk about the retail and eCommerce segment, several digital solutions are available for you.
You can opt for a simple eCommerce website, or you can opt for computer vision solutions. Furthermore, many companies are investing in developing AR/VR solutions, AI-based inventory management solutions, robotics services, and even AI-based shopping list apps for their businesses.
The digital solution you opt for will impact your digital transformation cost in such a situation. Hence, you must connect with an experienced digital transformation consultant to know the best solutions required for your business. Remember, an experienced digital transformation service provider offers advanced solutions that can be easily integrated into other third-party systems.
As such, you do not require different solutions, and all your needs are fulfilled using the same enterprise solution. Hence, connect with a professional company when beginning your digital transition.
Training and Maintenance
Last but not least, training and maintenance are the most important factors affecting your digital transformation cost. After implementing advanced digital solutions in your business, you may have to spend a bit more in training your employees and maintaining those solutions.
For instance, if you employ AI-based LMS in your educational organization, chances are high that some of your staff may need help with such a solution. Hence, you will need to spend some company budget training your staff to achieve better productivity and operational efficiency.
Similarly, every digital solution requires maintenance and support services after a few years. Many features or technologies can flourish in the future, and you may want those in your existing solution. Hence, all such costs will also impact your overall digital transformation cost.
Hence, it is always better to add such costs to your budget while shifting to the digital platform. You can even connect with a professional company to know more about factors affecting digital transformation’s cost.
How Can Matellio Reduce Your Digital Transformation Cost?
Now that you are aware of the factors affecting your digital transformation cost, some may be thinking about reducing the cost. Well, we have got you covered!
As an experienced and reliable digital transformation service provider, Matellio can offer you cost-effective services meeting your company requirements. Whether updating your legacy systems, creating enterprise-grade mobile apps, or even implementing next-gen software solutions in your company, we offer a wide range of professional digital transformation services at competitive prices.
By partnering with us, you can enjoy free 30-minute digital consulting services, competitor analysis, market research, no-obligation quotes, and much more. We also have expert consultants with decade-long experience working with businesses in different industries.
Hence, you can remain assured of the digital product we make for your company. Not to mention, our flexible hiring models and needs-based scaling services enable you to hire experienced developers per your project needs. All that reduces your digital transformation cost while making you a pioneer in your field.
So, what are you waiting for? Fill out our consultation form to connect with our experts and get a free quote today!
Final Takeaway!
Digital transformation has now become an essential component rather than a luxury term for businesses worldwide. As per Statista, spending on digital transformation is anticipated to reach 3.4 trillion dollars globally by 2026. So, it is high time you move with the market, or you will be left behind!
Digital transformation services enable businesses to adapt to shifting markets and continuously enhance how they run rapidly. That means consistently looking for methods to enhance the user experience for businesses. That may be accomplished through providing enhanced on-demand training, moving data to cloud services, utilizing AI development services, and other approaches.
In short, digital transformation services completely transform your business operations while enhancing your customer experience. Hence, connect with a reliable digital transformation service provider to discover your brand’s most suitable services and solutions. Reach us to learn more about the latest digital transformation services and their cost.
