Digitalization in the informal sector, specifically through the use of startups, is an important phenomenon for improving sales and revenue. Palembang City has specifically experienced an increase in the development of digitalization in this sector. Therefore, this study aimed to investigate the dynamics of shifting digitalization patterns among informal sector startup users in Palembang City. A quantitative method was used with a survey as the main approach, while data were obtained through questionnaires and GPS. The sample comprised 384 respondents selected through proportional random area sampling in 18 districts of Palembang. Subsequently, data were analyzed using cross-tabulation and spatial analysis with Average Nearest Neighbor (ANN). This is a spatial analysis technique for measuring spatial proximity or geographic distribution patterns of a collection of points in an area and Getis Ord General Gi. The results showed an increase in income among users, with digitalization patterns that consistently increased over time. Moreover, startup users in the informal sector of Palembang City mostly dominated the sale of goods.