Research finds technology sector robust in face of COVID-19 pandemic

We conducted research into the buying intentions of UK IT decision makers to determine the current state of innovation within the tech sector.

The study, conducted between 7^th and 9^th April 2020, found that, despite the uncertain economic conditions, many organisations are progressing their IT purchases. While 55 per cent have put their buying on hold, significantly 38 per cent of businesses are still reviewing their IT needs and progressing buying decisions.

The study of 100 UK IT decision makers, which focused on current buying intentions against the backdrop of the global pandemic, found that 67 per cent of those actively seeking solutions have increased their urgency to implement solutions.

The reasons provided for the increase in urgency included:

• To support remote working: 59 per cent
• To ensure the organisation can cope with increased demand: 30 per cent
• To ensure systems are stable: 28 per cent
• To increase security of systems: 27 per cent

The top solutions organisations are currently focused on are:

• Cyber security: 34 per cent
• Business process management: 24 per cent
• Productivity software: 21 per cent
• Business intelligence / data analytics: 15 per cent
• CRM: 11 per cent

Tom Fry, Head of Analytics at Resonance, said: “While there is an inevitable slowing of buying decisions as organisations assess their positions in light of the current economic outlook, the wheels of business continue to turn and technology – a mission-critical part of everyday business – is still needed. Indeed, Resonance’s research illustrates that, during this new working environment, where offices are forced to shift to working from home, the need for technology has never been so great.”

Simon Ratcliffe, Virtual CIO and Board Advisor said: “As the coronavirus outbreak develops, businesses will likely move through several buying stages. The first, largely reflected in this research, is survival stage. Businesses have had to radically shift how they operate. New solutions and systems in critical areas such as remote working are critical to keep operations afloat.The second stage is the emergence of an optimisation stage. Relatively small organisational tweaks are made to make things as ‘comfortable’ as possible in the new normal.

The third stage, and what is yet to properly materialise, is the final transformation stage. This is where businesses recognise that where they are now is largely irrelevant, and that they need now to think long term. The most ambitious will be assessing how they can emerge from this period competitively – and their buying priorities will begin to evolve and mature to reflect this.”

Aurelien Mottier, CEO, Operatix, said: “As this research shows, for many companies, coronavirus has put the brakes on new technology spending. Nevertheless, it’s clear that many others are still in buying mode, and for some, that need has increased, not decreased. This means that, importantly, there are still ways to fuel the sales funnel, and salespeople will need to adapt what channels they sell through.

“While physical events are an obvious no-go, we’ve typically seen companies switching their focus to two channels: Digital — webinars, digital advertising, online content; and proactive outreach / outbound prospecting with a more tailored, human approach to getting in touch with prospects via phone, email, or social.”

For more details on the research, you can download the full findings in our new whitepaper here: https://insights.resonancecrowd.com/en-gb/buying-decisions-in-the-time-of-covid-19