Digital Process Automation Market Size (2024 - 2029)

Digital Process Automation Market Analysis

The Digital Process Automation Market size is estimated at USD 13.80 billion in 2024, and is expected to reach USD 23.89 billion by 2029, growing at a CAGR of 11.60% during the forecast period (2024-2029).

As new technologies are trending and accelerating, merging the virtual and physical worlds creates new business models. Manufacturers are introducing new business models under which they sell digital services and products, such as digital twins.

• Improving operational effectiveness and simplifying business processes are top priorities for organizations across all industries. According to inference, this emphasis on efficiency drives the demand for DPA solutions. By automating and optimizing manual and repetitive tasks, firms may lower errors, get rid of bottlenecks, and boost process efficiency. Organizations can achieve faster turn-around times, increased productivity, and cost savings by automating workflows and standardizing processes. The need for DPA solutions is anticipated to increase as companies look to enhance client experiences, drive operational excellence, and maintain their competitiveness in a changing market.
• Another significant market driver for DPA solutions is organizations' continual digital transformation path. According to inference, businesses are embracing digital technology at a faster rate to revolutionize their operations, improve consumer experiences, and gain a competitive advantage. By enabling organizations to digitize and automate their fundamental business activities, DPA plays a crucial part in this shift. DPA solutions enable organizations to achieve end-to-end process automation and agility by automating manual operations, linking systems and applications, and offering real-time visibility into process performance. The need for DPA is fueled by organizations' need to utilize digital technology and attain operational digital maturity.
• Legacy systems and complex IT environments can pose a significant restraint on the adoption of DPA solutions. Inference suggests that many organizations have existing systems, applications, and technologies in place that are not designed to easily integrate with DPA platforms. These legacy systems may lack the necessary APIs (Application Programming Interfaces) or modern architecture to seamlessly connect with DPA solutions, making integration challenging and time-consuming. Additionally, organizations may have heavily customized or proprietary software that is not easily compatible with off-the-shelf DPA tools.
• While the pandemic drove increased adoption of DPA solutions in many sectors, it also introduced budget constraints and shifting priorities for some organizations. Inference suggests that businesses heavily impacted by the pandemic may have diverted resources to address immediate challenges, such as cost-cutting measures or focusing on essential operations. This could have slowed down the adoption of DPA solutions or led to delays in planned projects. In addition, organizations that experienced financial difficulties may have limited budgets for investing in new technologies, including DPA. There has also been an impact of the Russia-Ukraine war on the overall packaging ecosystem.

Digital Process Automation Industry Segmentation

Digital process automation uses digital technology to perform a process or accomplish a workflow or function. The main drivers for the market include the integration of Artificial Intelligence (AI) and Machine Learning (ML) technologies. Businesses worldwide have relied on business process management (BPM) to enhance and manage the back-end activities efficiently and on the processes, such as retail lending, customer onboarding, customer support, etc.

The digital process automation market is segmented by component (solution, service), deployment (on-demand, on-premises), organization size (small- and medium-sized enterprises, large enterprises), end user (banking, financial services, and insurance (BFSI), manufacturing, IT and telecommunication, aerospace and defense, healthcare, retail, and consumer goods), and geography (North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa). The report offers market forecasts and size in value (USD) for all the above segments.