Digital transformation has a potential to deliver numerous values for an organisation through transforming its business models, organisational processes, products and services, and customer engagement. Such a transformation assists organisations to create new capabilities to better serve customers, leading to the improvement of customer experience. As a result, numerous organisations have been investing in digital transformation in today’s dynamic environment. There is however, lack of a comprehensive framework for facilitating the implementation of digital transformation in organisations towards improving customer experience. This paper develops a capability framework for digital transformation in organisations with respect to improving customer experience. Such a framework consisting of analytics, business, customer, and digital is developed through a thematic analysis of qualitative data collected from experts in an organisation in Australia using semi-structured interviews. The paper contributes to digital transformation research by the development of a capability framework for better understanding digital transformation in organisations.