News | August 5, 2010

Price Emerges As Leading Enterprise Mobility Software Selection Criteria

VDC Research report indicates that overall cost currently the number one selection criteria for IT executives charged with evaluating mobile applications for the enterprise.

A new study on mobile application software to be released by VDC Research indicates that organizations deploying mobile applications to their workforce are more price sensitive in 2010 than they were one year ago; where ease-of-use and integration were the topmost concerns among end-users.


"It's not surprising, given the still-unstable economy, that the overall cost of a mobile application has jumped to the top of the list of mobile application selection drivers," said David Krebs, Director of the Mobile & Wireless Solutions Practice at VDC. "Given this jump, however, enterprise mobility software vendors need to do a better job with their pricing models and practices."

While 'user friendliness' and 'backend integration with existing enterprise applications' remain critical requirements, the emphasis on price is certainly a reflection of the current state of the economy.

However, it may also be indicative of the state of mobile software pricing practices. Lacking commonly accepted best practices around mobile software pricing, vendors' mobile software pricing models and strategies for their enterprise offerings vary greatly.Additionally, the recent success and ubiquity of mobile "app stores" has significantly lowered expectations of mobile software pricing - but at the same time - the pricing of many solutions available today are cost prohibitive based on the applications and functionality they are supporting.

"As this market continues to mature, it will be imperative for mobile software vendors to develop clearer pricing models," indicated DavidKrebs. "Also frequently lacking are strong business cases and ROI models that further justify the price points and illustrate the benefits of these solutions."

For more information, visit: http://www.vdcresearch.com/market_research/mobile_wireless/product_detail.aspx?productid=2626

About VDC Research
VDC Research Group (VDC) is a technology market research and strategy consulting firm that advises clients in a number of technology markets including: Automatic Identification and Transaction Automation, Embedded Hardware and Systems, Embedded Software and Tools, Industrial Automation and Control and Mobile and Wireless. Using rigorous primary research and analysis techniques, the firm helps its clients identify, plan for, and capitalize on current and emerging market opportunities. We strive to deliver exceptional value to our clients by leveraging the considerable technical, operational, educational and professional experience of our research and consulting staff. During our nearly four decades of ongoing operation, we have had the pleasure of serving most of the world's leading technology companies, many high-profile start-ups, and numerous blue-chip early and later stage investors. Our products and services consist of research reports, annual research programs, and custom research and consulting services. Founded in 1971, the firm is located in the Boston area.

SOURCE: VDC Research Group