This report identifies key demand-side trends in the higher education industry that can help enterprises fine-tune their digital strategies. It also provides an overview of enterprise challenges in this industry based on Avasant’s assessment.
Why read this Market Insights?
The higher education industry is responding to financial pressures, enrollment volatility, and rising cyber threats by accelerating digital transformation across academic and administrative functions. AI, advanced analytics, and immersive technologies are being deployed to enhance student recruitment, personalize learning experiences, and improve retention. As hybrid learning becomes the norm, universities are modernizing legacy infrastructure with cloud-native platforms to ensure scalability, interoperability, and seamless data exchange. At the same time, institutions are leveraging digital tools, such as virtual assistants, AI-powered chatbots, and AR/VR applications, to deliver more personalized, data-driven engagement. With increasing exposure to digital systems, cybersecurity has emerged as a strategic imperative, prompting the adoption of zero-trust architectures, AI-driven threat detection, and cross-sector collaboration to strengthen resilience. Finally, sustainability is also becoming central to institutional strategy, with investments in IoT, real-time analytics, and smart campus solutions aimed at reducing emissions, optimizing energy use, and aligning with global climate goals.
The Higher Education Digital Services 2025 Market Insights™ aids higher education enterprises in identifying important market trends and challenges for any digital project they take part in.
Methodology
The industry insights presented in this report are based on our ongoing interactions with enterprise CXOs and other key executives, targeted discussions with service providers, subject matter experts, and Avasant Fellows, analyst insights from primary and secondary research, and lessons learned from consulting engagements.
Table of contents
About the report (Page 3)
Executive summary (Pages 4–7)
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- Defining the higher education digital services scope
- Key drivers and enterprise response
- Avasant recognizes 14 top-tier service providers supporting the higher education industry in digital transformation
Demand-side trends (Pages 8–13)
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- Revenue pressures have accelerated digital adoption to boost enrollment and retention in higher education
- Higher education institutes are strengthening cyber resilience to counter rising threats as digital assets continue to grow in the sector
- Delivering operational scalability and connected digital ecosystems is now imperative for higher education institutions
- Driven by evolving student expectations, the higher education industry is turning to digital technologies to provide personalized experiences
- Sustainability focus and efficiency requirements are accelerating green transformation in higher education
Key contacts (Page 14)
Read the Research Byte based on this report. Please refer to Avasant’s Higher Education Digital Services 2025 RadarView™ for detailed insights on the service providers and supply-side trends.