Information technology outsourcing Industry

Information technology outsourcing Industry Growth is back on the agenda for Information technology outsourcing providers, according to a survey by I T research and advisory firm Gartner survey, Inc. Sixty-two per cent of respondents identified growth as the top strategic goal this year, with aggressive marketing plans and investments in cloud, utility and ‘as a service’ offerings, it said in a statement. “It is clear that providers are optimistic despite considerable uncertainty in the global economies,” said RolfJester, v.p. and distinguished analyst at Gartner. “However, we predict the I T outsourcing services market will reach USD 313.2 billion in 2011, a growth of 6.9 % from 2010, and will reach 4.6 % compound annual growth rate through 2015.” Gartner conducted an online survey in the first quarter of 2011 among 47 I T outsourcing providers, accounting for 62 per cent of the total I T outsourcing market. The respondents represented the full range of providers, all major geographies and all types of ITO services including infrastructure (data centre, network, desktop, and storage), applications and cloud computing services. “Many Information technology outsourcing providers are intending to commit serious marketing funds and target new accounts to outgrow the market, He said Mr.BryanBritz, research director at Gartner survey. The survey found at least 50 per cent of outsourcing providers said they would spend two to five per cent revenue on marketing in year of 2011, which is higher than the historical norm for marketing expenditure as a per cent of revenue (which has tended to be one per cent to three per cent for Information technology services providers in india). At the same time, Information technology outsourcing providers continue to invest significantly more in sales than marketing as demonstrated by 2/3 of providers indicating sales expenses are greater than six (6) per cent of revenue”,.