01/06-04   -   Pressemeldinger

IDC Identifies ERP Opportunities in SMB Segment of Sluggish Norwegian IT Market

Enterprise resource planning (ERP) players in Norway should focus on the less mature SMB segment, according to a new IDC study. "Because of the structure of Norwegian business, with many small and medium-sized businesses already taking enterprise solutions to heart, understanding this segment has become key in the battle for market share in ERP solutions," said Rasmus Andsbjerg, associate analyst with IDC Nordic.

Despite general negative market growth in IT, the Norwegian enterprise solution market increased 3.7% in 2003, reaching a total value of NOK 5,527 million. "To date the market has been driven by a need for cost savings, and companies are investing heavily in IT-solutions that create efficiency in basic processes," said Andsbjerg. "Therefore, the most successful solutions are those with easy to prove business cases, such as finance management and supply chain management; ROI has historically been shown in these efficiency-focused solutions."

IDC´s study of the Norwegian software and services market for enterprise solutions analyzes the markets for finance management, human resource management, customer relationship management, and supply chain management, and forecasts the development up till 2008. The study analyzes the short and long-term potential of the major players in the market, focusing on their alignment with existing opportunities and their ability to gain market share, the results of which are published in a leadership grid. With 7% market share, EDB is market leader in enterprise solutions, followed by ErgoGroup, with a 6% share. These shares are really not that large, so there are no clear, dominant leaders.


"The grid shows the total market for enterprise solutions and the major players in the field," Andsbjerg said. "As the enterprise segment accounts for 61% of the market, it does not depict the opportunities in the SMB segment. The SMB segment is much less mature than the enterprise segment, which is already at second- and third-generation implementation stages. This means that companies gaining a foothold in this segment might reshape the total picture of the future market."

The SMB segment leaves room for smaller players with a narrower focus. "Although business suites have a strong position in both the enterprise segment and in the midmarket, best-of-breed and industry-specific solutions are far from out of the game. Opportunities are certainly there, and in this segment in particular the competition will be interesting to follow," said Andsbjerg. "The market is especially fragmented on the services side, and IDC believes that solution providers will have to differentiate themselves much clearer on this side of the market to gain share."

To purchase the study Norway Enterprise Solutions 2003 Vendor Shares and 2004–2008 Forecast (IDC #N0560444L), contact your local IDC office or visit www.idc.com.