Rising adoption of online services and mobile devices as well as swelling private investment in computer networks have driven up the demand for EMM software, which has allowed suppliers to gradually raise their prices
Los Angeles, CA (PRWEB) April 12, 2015
Enterprise mobility management (EMM) software has a buyer power score of 3.4 out of 5, which reflects positive negotiation conditions for buyers. During the past three years, low geographic barriers have allowed suppliers to reach virtually any buyer in the market and, in turn, have helped maintain competition. Furthermore, because cloud computing lowers the up-front costs associated with procurement and reduces dependence on complementary equipment, the adoption of cloud computing technologies has reduced the market's historically high switching costs. In turn, buyers have been better able to try out multiple suppliers, which has further boosted market competition. This market’s top suppliers include SAP SE, Good Technology, Mobile Iron Inc. and Microsoft Corporation. Together, low geographic barriers and the development of cloud computing technologies have curbed price growth during the past three years, which has helped buyers maintain leverage in negotiations.
Buyers have also benefited substantially from low supply chain and vendor financial risk. “High competition among upstream vendors has reduced the risk of input price shocks. In turn, suppliers have had minimal difficulty managing their supply chains and maintaining consistent pricing strategies,” according to IBISWorld business research analyst Andrew Krabeepetcharat. Moreover, supply chain stability and high market profitability have alleviated vendor financial risk, thereby better ensuring supplier continuity. Thus, low financial risk has boosted the viability of long-term contracts, which has further aided buyer power.
Nonetheless, a number of factors have hurt buyer power. During the past three years, the adoption of mobile devices has skyrocketed, services have increasingly shifted online and businesses have increased their spending on computer networks. Together, these forces have driven up the demand for EMM software and allowed market prices to rise, costing buyer's leverage. “This trend is projected to continue through 2017, while acquisition activity grows and further alleviates competitive pressures. Without any effective substitutes, IBISWorld anticipates that buyers will become increasingly dependent on large suppliers with substantial power in the market, and buyer power will continue to slowly erode,” Krabeepetcharat says. For more information, visit IBISWorld’s Enterprise Mobility Management Software procurement category market research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of enterprise mobility management (EMM) software. EMM software connects mobile devices to a network. There are three main components to EMM software: device management, application management and information management. Examples of EMM software include mobile device management (MDM) programs and mobile enterprise application platforms (MEAP). This report excludes networking software not pertaining to mobile devices.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.