View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
March 31, 2010

Tech sales, marketing expenses to grow faster than revenue in 2010: IDC

Executives may continue to seek greater sales and marketing alignment

By CBR Staff Writer

Global sales and marketing expenses are expected to grow at 4.7% and 3.5%, respectively in 2010, exceeding the forecast growth of IT global revenue of 3.2%, according to market research firm IDC.

The firm said that the expense gains will lead tech executives to accelerate their initiatives to improve the productivity and cost efficiency of sales and marketing.

In addition, executives may continue to seek greater sales and marketing alignment through organisation and reporting changes, as a way to solve the costly misalignments, which have continually undermined sales and marketing integration and efficiency.

According to the research, over 20% of tech organisations with revenues of more than $1bn have witnessed significant organisation change during the past twelve months. Majority of senior tech sales and marketing executives expect the trend to continue throughout 2010.

Content from our partners
Unlocking growth through hybrid cloud: 5 key takeaways
How businesses can safeguard themselves on the cyber frontline
How hackers’ tactics are evolving in an increasingly complex landscape

IDC said that executives have numerous opportunities for savings and efficiency within the typical tech marketing organisation.

Michael Gerard, vice president of sales advisory service at IDC, said: With sales costs increasing, the number of leads necessary to close a deal increasing, and the length of sales cycles increasing, sales organisations will have no choice but to ramp up their productivity to ensure survival in an highly competitive environment.

“Sales operations must be considered a strategic driver of process improvements across the sales organisation in addition to its more tactical support function. Key areas of focus include sales enablement, customer intelligence, account planning, and pipeline health.

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU