Digital commerce applications market growing at 15.8% CAGR by 2026

The development of platforms used for making payments, billing and managing other accounting functions, as well as handling customer refunds is picking up momentum.

The global market for digital commerce applications is expected to expand at a CAGR of 15.8% and bring in US$19,096.4 million in revenues by the end of 2026, according to Persistence Market Research’s report, titled Digital Commerce Application: Global Industry Analysis and Forecast, 2016-2026.

This is because consumers are demanding for digital commerce applications that are equipped with features such as card control, location services, timely information, alerts and notification, offers and rewards and more.

The report estimates around 29% of global sales of digital commerce applications were accounted by North America in 2016. However, the region is likely to lose out on its market presence in the years to come. Meanwhile, regions such as Latin America, Western Europe, Eastern Europe and the Asia-Pacific excluding Japan (APEJ) region will showcase positive growth in terms of demand for digital commerce applications.

The rising number of cloud based solutions developed by data centres is driving the global demand digital commerce application. The market research firm said cloud as a platform is helping enterprises to reduce total cost of ownership and increase the operational business efficiency, which is incidentally prompting the use of cloud-based digital commerce applications. High investments in Internet of Things (IoT) services, which offers immense opportunity to retailers in critical areas, such as smart supply chain, increasing their revenue, and boosting operational efficiency, are also driving the demand for digital commerce applications developed for IoT-based devices.