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Which pockets have $100 million or more to spend on IT, but aren’t in IT?

by Rolf Jester  |  June 2, 2013  |  1 Comment

 

Today, I’m introducing a guest blogger, my colleague Derry Finkeldey, who specializes in vertical industry go-to-market strategies.  Here is her post.

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If your conversations are anything like the ones I have, you’ve been hearing a lot lately about “the growth of the business buying center for IT”, and you may be wondering whether this is an opportunity worth further investigation. This month we ran a quick poll of 99 of our clients, and found that 97% of them have at least one person in the organization outside of IT that controls 10% or more of their company’s IT spending. Now, to put that into some kind of perspective, in your average tier one financial institution, 10% of IT spending amounts to around $100 million. Hardly rats and mice.

Furthermore, 60% of those respondents named only one person outside of IT with a chunk of 10% or more, but that leaves a decent 40% who have 20% or more of their IT spending controlled by significant buyers outside the IT department. So, who are these people, I hear you clamour?

  

 There’s a lot of focus these days being given to the office of the CMO/ Marketing – but what about product development? The other consideration is that some of these roles, especially those outside of finance and purchasing, will often be the market for a solution, rather than signing off on periodic PC purchases or desk-top software upgrades, so they’re good people to know and to know what’s making them tick.

This is what we’re planning to dig further into this year. There’s some great existing research by Laura McLellan and other folks on the marketing buying center (Key Findings From U.S. Digital Marketing Spending Survey, 2013 and High-Tech Tuesday Webinar: Profile of Marketing as a Technology Buyer), and we have another in depth survey of buyers in the business by vertical industry in field as we speak. Watch this space.

 

These posts will continue to discuss the business of IT Services.

 

 

 

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Tags: buying-centers  it-spending  marketing  

Rolf Jester
Vice-President, Distinguished Analyst
16 years at Gartner
46 years IT Industry

Rolf Jester researches the business of IT services, particularly business and marketing strategy and best practices for IT services providers. He focuses on the IT outsourcing business globally, and also on the IT services market and service providers in the Asia/Pacific region. Read Full Bio


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  1. […] Which pockets have $100 million or more to spend on IT, but aren’t … Rolf Jester Vice-President, Distinguished Analyst 16 years at Gartner 46 years IT Industry. Rolf Jester researches the business of IT services, particularly … blogs.gartner.com/…/which-pockets-have-100-million-or-mor… […]



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