Beijing,November 8,2022-The extraordinary year of 2022 is coming to an end,and all kinds of wind waves,such as downwind,headwind and crosswind,have evolved into a subversive storm:the epidemic situation is still not completely over,the economic environment is worrying,the supply chain constraints still exist,the talent gap is still serious,the global economic growth has slowed down and even entered recession.In order to cope with the impact of these storms,industry leaders have adopted the digital priority strategy to develop and operate digital businesses.2023 will become the turning point of enterprise digital transformation,that is,enterprises will enter the era of digital business from the era of digital transformation.
Even if there are many challenges to overturn the storm,the next five years will still be the golden age of digital development.First of all,the critical point of global digital development has come.The proportion of digital economy,SaaS expenditure,digital business expenditure and digital talent has exceeded or will exceed 50%in the next five years;Secondly,digital technology investment remains the core focus of global and Chinese executives;Third,the policies issued by governments of all countries are encouraging the development of the digital economy.Fourth,the historical data in the past also shows the direct benefits of digital transformation to the sales and profits of enterprises.Therefore,how to achieve sustainable development in the era of digital business is the appeal of all organizations.
Based on the development characteristics and trends of the Chinese market and in combination with IDC’s forecast of global digital business,we give the following 10 forecasts of China’s digital business in 2023.
Forecasts 1 and 2 cover digital expenditures and revenues,which are directly related to the future sales,costs and profits of enterprises.
Forecasts 3 and 5 cover the new ecology and value chain,which are directly related to future eco-based innovation.
Forecasts 4,8 and 10 cover digital skills and talents,which are directly related to building a running digital dream team.
Forecasts 6,7 and 9 cover digital value and sustainable development,which are directly related to the future environment,social responsibility,governance and market value of enterprises.
Forecast 1:Digital business expenditure grows rapidly
By 2023,Chinese enterprises will spend four times as much on digital business as economic growth,laying the foundation for excellent operation,competitive differentiation and long-term growth.
Forecast 2:The proportion of digital revenue continues to increase
By 2027,40%of the total revenue of China’s top 2000 companies will come from digital products,services and experiences.It now accounts for less than 20%.
Forecast 3:The number of technology manufacturers among China’s top 500 enterprises will double
By 2027,the number of technology manufacturers among China’s top 500 enterprises will double-including enterprises from outside the technology industry
Forecast 4:CEOs embrace the cloud
By 2024,40%of China’s top 2000 CEOs will establish strategic personal relationships with their cloud providers to achieve quantifiable results of digital business platform investment.
Forecast 5:Ecological value chain accelerates innovation
By 2027,organizations with highly developed industrial value chains in the ecosystem control plane will have a 25%faster innovation rate than other enterprises.
Forecast 6:Customer data creates trust value
By 2027,those enterprises that collect,analyze and contextualize customer data in a trustworthy way will successfully establish creative business and pricing models,doubling customer lifetime value.
Forecast 7:ESG spending continues to grow to create social value
By 2025,one quarter of China’s organizations will show responsible leadership by increasing the spending on digital technology related to sustainability by more than 25%from 2022.
Forecast 8:Management focuses on large-scale innovation and operation of digital business
Since the business department has most of the technology budget,by 2027,25%of the senior management expertise will shift from encouraging innovation to large-scale innovation and operating digital business.
Forecast 9:Quantifying digital value becomes a rigid need
By 2027,90%of organizations that can accurately quantify the value of their digital capabilities/assets(data,algorithms,software code)will significantly improve their market valuation.
Forecast 10:The talent and skills gap restricts future growth
By 2026,enterprises that fail to effectively address the talent and digital skills gap in the organization will limit their income growth opportunities by 20%.
Wu Lianfeng,vice president and chief analyst of IDC China,said that the digital business era has several core features:practicing the digital priority strategy,being supported and promoted by the CEO and senior executives directly involved,using technology to compete,digital innovation initiatives can deliver visible results on a large scale,and the value of digitalization can be quantified.In order to win in the digital business era,we must understand the maturity of industry and enterprise digital development,evaluate and layout the application of the combination of the latest technology and business scenarios,strengthen the technical agenda of enterprise executives,and create a digital dream team!
IDC FutureScapes’analysis and interpretation of technology,market and ecosystem can help enterprise technology executives better understand future trends and the impact of IT organizations on enterprises.The report also started to guide technical executives in the complex and volatile environment,and put forward recommendations that can be followed and implemented.Every year,IDC has a series of key external drivers that will affect the direction of the enterprise in the coming years.FutureScape puts forward ten predictions based on these drivers,analyzes the impact on IT enterprises,and gives relevant suggestions for the next five years.
For more information about IDC FutureScapes research,please contact Mr.Wu Lianfeng,Vice President and Chief Analyst of IDC China.For media access to relevant report content or media interviews,please contact Xie Jing,IDC China Marketing Department.
More information will be published on the official official account of IDC Consulting,please pay attention!
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About IDC
International Data Corporation(IDC)is a world-renowned professional provider of information technology,telecommunications industry and consumer technology consulting,consulting and event services.IDC has more than 1300 analysts worldwide,providing global,regional and localized professional perspectives and services for technology and industry development opportunities in more than 110 countries.IDC’s analysis and insight help IT professionals,business executives and investment institutions make fact-based technical decisions to achieve key business objectives.Founded in 1964,IDC is a subsidiary of IDG.IDG is the world’s leading media publishing,research consulting,and exhibition service company.
