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South Africa is currently experiencing a difficult monetary policy environment that is leading to high inflation rates and weakening growth. However, the government is looking at encouraging SMEs and at improving the education system to boost performance and inclusion. Furthermore, local industries such as manufacturing, mining, and quarrying are expected to contribute significantly towards the GDP of the country.
- Kable's survey shows that South African enterprises are investing significantly across core areas of enterprise ICT expenditure, including hardware, software, and IT services, while increasing their expenditure on software and communications, in order to cut costs and improve their varied business processes.
- The survey further reveals that South African enterprises' hardware budgets are primarily dominated by expenditure on network and communications equipment in order to support the growing needs of the organization.
- Enterprises are also shifting aggressively toward on-demand cloud models to create flexible and low-cost environments for their users and are thereby investing in software as a service (SaaS) and platform as a service (PaaS) platforms to create more flexible environments in order to innovate and build applications and services that will drive sales and growth of the organizations.
ICT investment trends in South Africa presents the findings from a survey of 47 South African enterprises regarding their Information and Communications Technology (ICT) investment trends. The survey investigates how South African enterprises currently allocate their ICT budgets across the core areas of enterprise ICT expenditure: hardware, software, IT services, communications, and consulting. The report illustrates the core technologies that enterprises are investing in, including IoT, cloud computing, business intelligence, and communications and collaboration. The survey also highlights the approach to purchasing technology adopted by enterprises in South Africa. Through Kable's survey, the report aims to provide a better insight to ICT vendors and service providers when pitching their solutions to enterprises in South Africa.
In particular, it provides an in-depth analysis of the following:
- How ICT budgets are set to change in 2016 in terms of their overall size
- Allocation across the core elements of IT spend, including hardware, software, services, communications, and consulting
- Distribution of ICT Rand in areas such as the networks, applications, service desk, and data centers
- Which ICT functions South African enterprises are interested in outsourcing
- South African enterprises' investment priorities based on their budget allocations across core technology categories such as IoT, cloud computing, business intelligence, and communications and collaboration
- Factors that are influencing South African enterprises' investments in each technology category
- How South African enterprises' IT budgets are currently allocated across various segments within a technology category
- South African enterprises' distribution of their ICT budget across various segments within a technology category
- Vendor satisfaction ratings for various core and advanced technology categories
- Insight into South African enterprises' preferred buying approaches
- Business objectives that South African enterprises are looking to achieve through their IT investment strategies
- Factors that are influencing South African enterprises' decisions to select an ICT provider
Reasons To Buy
- Understand how the South African enterprises' ICT landscape is set to change in 2016 to prioritize your target market
- Comprehend how ICT Rand are being allocated by South African enterprises in specific geographies and size bands to improve your market penetration
- Make effective business decisions by recognizing the opportunities within each of the core areas of ICT spend (hardware, software, IT services, telecommunications, and consulting)
- Realign your sales initiatives by understanding the current strategic objectives of South African enterprises
- Enhance your market segmentation with the included, detailed breakdown of opportunities within selected technology categories (IoT, cloud computing, business intelligence, and communications and collaboration)
- Prioritize your focus areas by understanding which factors are influencing South African enterprises' decisions when selecting an ICT provider
- Understand the changes in customers' priorities and identify the business and objectives that South African enterprises are looking to achieve through their ICT investment strategies
- Amazon Web Services
- MTN Group