September 18, 2014 by Leave a Comment
Vendors Embrace Mobile Technology
The adoption of mobile technologies is accelerating. Smartphones rocketed from a 10% adoption rate to 40% in just two and a half years, faster than any technology except television, and tablets are moving even faster, blowing away all previous adoption standards. Carriers are increasingly turning to their software vendors to create mobile access to core functionality for employees, agents, and customers. But where are the vendors? Do all vendors have mobile applications? Are they aligned with carriers on the importance of mobile apps? What challenges do vendors face and what are their plans for the future? I surveyed 39 vendors to provide answers to these questions as well as to understand pricing models, platform investments and their expectations of where the market is going. This report examines mobility attitudes among vendors, the status of mobile solutions, the methods and staffing models used for deployments, statistics around marketing including typical pricing models, and an assessment of the significance of the challenges vendors face as they move into the mobile market. IT leaders at software firms clearly recognize the importance of mobility to drive their businesses forward. Almost 70% see mobility as mission critical or important to their organization today. Today the majority of vendors do not generate revenue from mobile applications. Many are not yet charging for mobile solutions but include the product in the overall price of the software. Vendors clearly intend to change that practice. More than half expect mobile to generate 1-20% of their overall revenue within the next three years. This may be optimistic, but clearly, vendors see strong growth and market momentum for their enterprise mobility business. However, the explosive growth in the mobile technology landscape has created unmistakable challenges for vendors entering this market. Challenges fall into three categories – those related to the technology and the devices themselves; those that relate to the organizational changes and cultural issues inherent in mobile such as obtaining staff and managing changing organizations; and challenges that are focused on market acceptance and pricing models Increasingly, carriers are asking about mobile capabilities as part of their evaluation process when selecting new vendor solutions. Vendors looking to move into the mobility market can learn from those who have gone before them. Those who have not yet put their mobile plans together may want to begin to build a roadmap for the future.