This is the third of several studies under the IHL Insight Market View series of research that is part of the Retail Executive Advisory Program (REAP) at IHL. This study looks at top vendors and what their customers are saying about them for their investment plans in 2016.
This data is the result of a primary research study and was collected from 80 different larger retail chains with stores in 100 retail segments. This data was piggy-backed onto the survey we did that generated the Brave New World of Unified Commerce Study. The data is a cross-tabbed view of individual vendor’s customers and their responses. The manner in which it is written is recommendations from the data to each individual vendor represented based on their data, but there is GREAT competitive value in the data and insight for retailers considering each vendor. For it helps them understand why other customers buy their solutions and why.
Each profile is a series of charts and reviews of the data in the broader study. Here are some of the data points that you get on each vendor.
Business Increasing or Decreasing Among Core Segments – This measures purchase intent among this company’s customers and what percentage are increasing business, decreasing, not changing, don’t work, or won’t work with in 2016.
How Customers View Themselves in Tech Leadership – This is a picture of the vendor’s customers vs. everyone in their key segments as to whether they consider themselves a Leader, Quick Adopter, Late Adopter or Trailer in terms of adopting technology.
Key Store Priorities – Looking at the top Store Priorities in the Brave New World of Unified Commerce study, how do this vendor’s customers prioritize these items verses the entire market. This shows where this vendor wins and doesn’t win. There is great insight in this data.
Customer 2016 Growth Plans – This looks at the vendor’s customers vs. the market in terms of plans for growing store count, enterprise IT spend and store level IT spend. Together with the first measurement, this shows how their overall business is likely to grow, indicating potential takeover targets and updated competitive positioning.
For Core Segments, % of Software Spend Cloud-Based for 2016 – By key line of business categories and in the segments this vendor operates, what percentage of software budget in 2016 is being spent in cloud technologies of total software budget.
Customers Spend on Emerging Technologies – This looks at differences between this vendor customer’s plans for budget growth in emerging technologies verses the overall market in their segments. Are their customers more or less bullish on Beacons, Predictive Analytics, and Data Visualization?
Who Are Prospective Customers Increasing Business With – This is an Apples-Apples comparison in this vendor’s core markets. For instance, if this vendor is only in Dept. Stores and Specialty, this data is limited only to that view. But what is shows is how a vendor stacks up against competitors in their core market based on the percentage of how each vendor’s customers are increasing their business with that vendor or decreasing. So for instance if the profile is for Aptos and it says JDA – 16%, that means in the segments that Aptos operates, 16% of the customers currently using JDA are increasing their business with JDA. This compares to 20% for percentage of Aptos customers increasing their business with Aptos in those segments. What this data shows is level of influence, level of customer engagement when comparing like vendors.
Internal Software Development On The Rise – This table does not share any competitive data, but rather how in the segments this vendor operates, what percentage of Leaders/Quick Adopters are increasing or decreasing internal software development and how that compares to Laggards/Trailers. For instance, in General Merchandise segments Leaders/Quick Adopters are Increasing Internal Software Development at a rate 88% faster than Laggards/Trailers.
Your Customer’s and Competitor’s Customer’s Plans on Internal Software Development – This looks are how this vendor’s customers look at increasing spending on internal software development verses the overall average and other competitors. This figure is a proxy for how much customers trust and affordability of the entire software stack of this vendor. If the numbers are higher than overall, this means that customers are having to do a bit more customization and internal development to bolt on other applications. If it is lower it demonstrates that customers tend to trust the comprehensiveness of that vendor’s stack.