market research for IT and telecoms
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Information and Communications Technology Research

Information and Communications Technology (ICT) is a broad term which is frequently used to describe a large market (believed to be in excess of £40 billion in the UK) with an incredibly wide range of industries and activities including: hardware, software, infrastructure, services and telecommunications. Additionally, over the last two years, there has been a high degree of consolidation (driven by mergers and acquisitions) and convergence (primarily technological) in the market which has increased the degree of complexity and made the market more difficult to analyse and forecast. Telecomms Research

First the bad news. IT research is expensive, particularly if you want to research IT professionals who work in large enterprises as they are probably one of the most over researched groups in Europe.

Depressed? Don't be, we can and do research the IT market but, projects need to be: thought through, carefully structured and of course well managed. About 60% of our annual turnover comes from research with IT personnel and while we don't want to give away all the trade secrets a few thoughts:

Respondents

Think about the person and the type of organisation you are trying to get information from. Most IT vendors start off by saying they want to interview the CIO or IT Director in FTSE top 100 companies! Of course in some situations that is who you want talk to. However, it's unlikely that they will know much about cables, switches or routers (Network Managers tend to be better at this) and they probably aren't familiar with specific application challenges (end users or IT Managers are better at this). So think about who really has first hand knowledge of the issues you want to understand as you'll get more reliable information and it can be a lot cheaper.

Interest

Try to make the topic interesting (at least part of it) as people are far more inclined to take part in surveys that are: topical, interesting and above all relevant to them.

Sharing Results

Consider making the findings (or at least some of them) available to participants so they feel they are getting something back for their troubles. We have started benchmarking individuals' responses against those given by the survey group as a whole and feeding back tailored reports so participants can see how they compare to the market as a whole.

Segmentation

Don't automatically think you have to do a huge amount of interviews. Think about the segments you want to be able to analyse and structure the sample so it provides acceptable levels of statistical reliability with the minimum number of interviews. Researching IT professionals isn't the same as researching consumers.

Types of IT Research Undertaken

New Product or Service Introduction

Too few companies test the market for new ideas and the developments being considered. Good research can reduce development costs, minimise launch budgets, identify markets that hold the greatest potential and develop an understanding of optimal pricing points.

Client Satisfaction and Retention studies

Satisfaction in itself doesn't ensure loyalty but, it certainly helps. Understanding the issues that really matter to customers and how well you are delivering against these is a good start but understanding how you are delivering against these over time is even more important and it needs to be done regularly.

Channel Research

The IT sector is complex and quite often the delivery channel, VAR's, Distributors, ISV's etc. are as important as the software or hardware itself. Understanding the channels attitudes towards the supplier - the strengths and weaknesses - and the opinions of the ultimate end user give a complete picture of the supply chain. After all a chain is only as strong as its weakest link and good research facilitates appropriate action and better delivery.

Market Sizing

Accurate sizing of markets is difficult and analysts have a "horrible" habit of over estimating how large a market is or might grow to be (remember the predictions for E-Business or E-Procurement?). Original market research with people who might buy the solution is invariably more accurate although it can be time consuming and challenging. We have been sizing markets accurately since 1985.

Brand Evaluation

The value of the brand is critical to many IT vendors and understanding the elements that give the brand its strength is vital for effective marketing. Awareness levels, brand associations and values, market share, competitors profiles etc. all contribute to the brand's strength and a detailed understanding of the attributes helps to improve the effectiveness and focus of marketing.

PR Research

You'd be amazed how much coverage market research can secure in the media. When you haven't got news of your own a PR orientated study can help to keep your name in the public domain.

Merger and Acquisition Research

The M&A market is very important in the IT sector and we have worked with several companies as part of the due diligence process and we're much cheaper than lawyers! Research can add a depth of understanding: the real size of the user base, the loyalty of existing clients, the issues that need to be addressed that financial statistics can't give on their own. Research can help convince banks, reassure shareholders and boards of directors and provide a route map for activity post acquisition.

Email us for more information, or to discuss your needs in more detail.


Case Studies.

Owned by Rootdamages by FasT

Published on 13 September 2004

In 2002 Benchmark undertook a comprehensive survey of buyers' needs for ERP systems. The survey was repeated in 2004.
 
Owned by Rootdamages by FasT

Published on 13 September 2003

Steria commissioned Benchmark to review and compare the different approaches taken by the public and private sectors in respect of specifying and using external service providers in the UK.
 
Owned by Rootdamages by FasT

Published on 16 October 2001

A global IT vendor specified a market research programme as part of a wider promotional strategy in E business.
 
Owned by Rootdamages by FasT

Published on 16 October 2001

A solutions provider to engineering companies specified research to help it refine its marketing activities in the defence and aerospace sectors.