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Software and IT Service Firms Must Adapt to Survive
By Dennis
Sommer
The days of business as usual are gone. To survive in
the software and IT services industry, business owners
must adapt their business to the fast changing needs of
their customers.
A new study by technology research firm AMI Partners has
found that most business executives feel the economy has
stabilized. However, they will still focus on key priorities
like finding new ways to reduce costs and increase revenue
over the next year. This includes looking heavily into
IT software, services and staffing options that will directly
impact these key strategic priorities.
The survey found a drastic increase in businesses looking
at and buying managed services (60 percent), software
as a service – SAAS (40 percent) and an increase in plans
to outsource IT staffing needs for storage, security and
telecommunications.
These software and IT service solutions are attractive
to businesses because they offer flexible payment options
and pricing models are usage based. As long as business
executives are focused on cost reduction, these solutions
will be a key focus.
The study also suggests the changing dynamics in how businesses
are making their IT purchases. The IT software and service
buying process has become more formalized, and the decision
making timeframe has been lengthened. In addition, business
executives (not IT) are becoming more involved and are
exuding even greater influence of why, when and where
IT purchases are made.
For example, business executives are spending more time
assessing key business needs driving the IT purchase and
deciding on the specific type of IT product and service
to be purchased. Over the past year, influence from key
business executives has dramatically increased. In the
past, approximately 31 percent of businesses surveyed
stated their key business executives were involved in
software and IT service purchases. The most recent survey
has found their involvement has jumped to 83 percent.
Conclusion
– What worked in the past does not work today. To survive
and dramatically grow in this economy, software and IT
service firms must change their business strategy, offerings
and how they market and sell to their customers.
© Copyrighted by Dennis Sommer - CEO, Executive Business
Advisers. All rights reserved.
About The Author
- Dennis Sommer
Dennis Sommer
- CEO, Executive Business Advisers - provides the guidance
you need to take your business to the next level.
Dennis is a business improvement specialist.
Delivering quick, dramatic results has made Dennis a highly
sought after business consultant, CEO and executive adviser.
Dennis works with a diverse mix of product and professional
service companies. His clients include small start-ups,
medium sized businesses and large Fortune 100 companies.
He helps his clients find new strategies for stimulating
sales revenue growth, attracting new customers, increasing
profits, reducing costs without sacrificing service and
much more.
Dennis is also highly sought after keynote, seminar speaker
and author. His latest bestselling book is “Adviser
Secrets – How to Become a Top Performer”.
For additional information:
Company: www.executivebusinessadvisers.com
Bio: www.dennissommer.com
Contact Dennis Sommer at 800-627-6512.
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