IDC Forecasts Manufacturing, Banking, and Retail Will Drive CEE Mobility Spending
Mobility is one of the four pillars of IDC 's 3rd Platform, the latest generation of emerging technologies that have disrupted traditional business processes and continue to create transformative opportunities for vendors eager to engage a wider set of customers. As IDC closely tracks mobility market developments across regions, the extensive data gathered has led to the creation of a new Worldwide Semiannual Mobility Spending Guide. This guide provides an overview of enterprise and consumer spending on devices, software, and services, with results presented for industries, geographies, and company size.
Key forecasts stemming from the data include:
• CEE mobility vendors will find the greatest opportunity in Poland, the Czech Republic, and Hungary, as these countries are currently the most active mobility adopters in CEE — however, others (including Russia) are catching up.
• Mobility software is the fastest-growing technology category in the region; spending will jump from $183.0 million in 2015 to $309.5 million in 2019. Currently, the market is shifting from pure mobile device management toward enterprise mobile management (which includes management of devices, applications, and content management) and mobile security. More than one-third of CEE companies (primarily large companies) have developed, or plan to develop, one or more mobile applications (according to IDC Enterprise Mobility Survey).
• Manufacturing, financial, and retail organizations are among the early mobility adopters. Improvement of productivity and customer services rank among the top mobility drivers in manufacturing and retail. Adoption in the finance vertical is driven predominantly by the need to ensure a more secure mobile environment and to comply with regulations. Mobility spending (including hardware, software, and services) in manufacturing will grow from $3.4 billion in 2015 to $4.1 billion in 2019; in retail, it will increase from $1.7 billion to $1.8 billion. Mobility spending in the banking sector alone will increase from $1.6 billion to $2.1 billion during the same period.
"Mobility as a part of the digital transformation of CEE enterprises is on the rise,” notes Ina Malatinska, IDC’s program manager of mobility research in CEE. “That said, CEE vendors must bear in mind several region-specific factors. Price is usually a constant on the list of obstacles, with some markets, such as Poland and Russia, being more price-sensitive than others. Lack of skilled IT professionals, especially in smaller companies, is yet another challenge. Furthermore, in many cases, market education and raising awareness among enterprises remain essential to support growth, especially in less technologically mature countries.
IDC expects large businesses to continue investing heavily in mobility software; in 2015, organizations with over 500 employees accounted for 61.0% of such spending in CEE. Nevertheless, spending among small and medium-sized businesses is expected to grow strongly, as these companies are quickly realizing the benefits of mobility.
"In CEE, the mobility strategies of most enterprises are still largely driven by IT departments. We expect increasing involvement from business units in enterprise decisions aiming to add mobility to the overall business strategy. In addition, the role of the CIO will evolve as companies undergo digital transformation. The CIO will no longer be expected to act as a technology expert, but rather as a strategist and influencer," says Malatinska.
IDC's Worldwide Semiannual Mobility Spending Guide is designed to address the needs of technology organizations by assessing the mobile opportunity by country, industry, and use case. The spending guide provides subscribers with spending data on seven technologies across 19 industries, four company sizes, and 53 countries. Unlike any other research in the industry, the comprehensive spending guide can help IT decision makers to clearly understand the industry-specific scope and direction of mobility spending today and over the next five years.
About IDC Spending Guides
IDC's Spending Guides provide a granular view of key technology markets from a regional, vertical industry, use case, buyer, and technology perspective. The spending guides are delivered via pivot table format or custom query tool, allowing the user to easily extract meaningful information about each market by viewing data trends and relationships.
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