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    Home - E-commerce & Retail - Digital transformation gathers momentum among manufacturers
    E-commerce & Retail

    Digital transformation gathers momentum among manufacturers

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    Digital transformation gathers momentum among manufacturers
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    Digital transformation is becoming a central focus for U.S. manufacturers as they work to enhance efficiency, resilience, and competitiveness, according to the National Association of Manufacturers’ (NAM) Q2 2025 Manufacturers’ Outlook Survey.

    The survey revealed that 21.8% of manufacturers plan to prioritize digital transformation initiatives over the next 12 months, underscoring the growing importance of automation, data analytics, AI, and smart factory technologies. An additional 31.7% indicated they expect to moderately increase investments in digital capabilities, bringing the total number of manufacturers focused on digital transformation to over 53%.

    “These findings mark a tipping point,” said Chad Moutray, NAM’s chief economist. “Manufacturers are increasingly viewing digital transformation not as optional, but essential for reducing costs, managing labor shortages, and enhancing production flexibility.”

    How manufacturers are focusing on digital transformation

    The shift toward digital investment is driven by several factors, including:

    • Persistent workforce gaps
    • Inflationary pressures
    • Ongoing supply chain challenges

    Nearly 47% of survey respondents cited attracting and retaining a skilled workforce as their top business concern — an area where digital tools like automation and machine learning are playing a key role.

    This growing emphasis on digital transformation has significant implications for B2B suppliers and distributors. As manufacturers modernize their operations, they are increasingly seeking partners that can offer integrated procurement platforms, real-time inventory tracking, and seamless data exchange.

    While the push for digital transformation is gaining momentum, the survey also highlighted disparities in its implementation. Many small and mid-sized manufacturers are still in the early stages of digital adoption, often due to budget constraints or a lack of in-house expertise.

    “There’s strong intent to digitize, but companies will need support — whether through vendor partnerships, public-private funding, or workforce upskilling — to fully achieve their transformation goals,” Moutray said.

    The Q2 2025 Manufacturers’ Outlook Survey gathered insights from more than 500 manufacturing leaders across the U.S.

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    Sign up for a complimentary subscription to Digital Commerce 360 B2B News. It covers technology and business trends in the growing B2B ecommerce industry. Contact Mark Brohan, senior vice president of B2B and Market Research, at [email protected]. Follow him on Twitter @markbrohan. Follow us on LinkedIn, X (formerly Twitter), Facebook and YouTube.

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