This study assesses the impact of digital transformation on business operations through a case study of Zivame, an Indian SME in the retail sector. The research aims to explore how digital technologies improve operational efficiency, customer engagement, and financial performance. Using qualitative research methods, semi-structured interviews were conducted with key decision-makers at Zivame. Thematic analysis was employed to analyze the data. The results indicate significant operational improvements, including a reduction in order fulfillment time and increased inventory turnover. Customer satisfaction and repeat purchase rates also improved substantially following the implementation of Customer Relationship Management (CRM) systems and other digital tools. Zivame faced challenges such as employee resistance to change and high initial investment costs, which were mitigated through targeted employee training programs. The financial analysis revealed a growing return on investment (ROI) from 31% in 2020 to 44% in 2023. The study’s findings underscore the importance of digital transformation for Indian SMEs, showing that, with strategic planning and investment, businesses can improve their competitiveness and achieve long-term success. These findings contribute to the broader literature on digital transformation in emerging markets and offer practical insights for SMEs embarking on similar journeys.