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Total Economic Impact of App Innovation on Microsoft Azure (Download)

Written by Analytium | May, '24

Analysing the Economic Impact of Cloud-Based Application Modernisation

Key Benefits of Application Modernisation

The study identified several key benefits for organisations that undertake cloud-based application modernisation:

  1. Increased Operational Efficiency
  2. Cost Savings
  3. Enhanced Agility and Scalability
  4. Improved Time-to-Market
  5. Strengthened Security and Compliance

*To understand benefits, costs, and risks, Forrester interviewed 11 representatives from six organisations and surveyed 191 respondents with experience using Azure app innovation solutions. For the purposes of this study, Forrester aggregated all of these results into a single composite organisation.

Case Study: Real-World Impact

A notable example from the study involves a global retail company that modernised its applications by migrating to the cloud. The company experienced:

  • Significant Reduction in IT Costs: By moving to a cloud-based environment, the retailer reduced its IT operational costs by 40%.
  • Enhanced Performance and Reliability: The new cloud architecture improved application performance and reliability, leading to better customer experiences.
  • Faster Innovation Cycles: With modern development tools and continuous integration/continuous deployment (CI/CD) pipelines, the retailer accelerated its innovation cycles and brought new features to market more rapidly.



The economic impact of modernising applications and migrating to the cloud is substantial, offering increased efficiency, cost savings, and enhanced business agility. As demonstrated by the case study, organisations that embrace these changes can achieve significant operational improvements and drive innovation.

For businesses seeking to stay ahead in an evolving market, application modernisation is not just an option but a strategic imperative. By leveraging cloud technologies and following best practices, companies can unlock new opportunities and achieve sustained growth.