In episode 46 of the CXO Minute, Tony Uphoff explains why the technology purchasing process, and the profile of the business technology buyer, is changing. Over the last decade, the range of those who make technology buying decisions has broadened to include cross-functional C-suite- and executive-level buyers.
00:13 — What makes Acceleration Economy so unique is that the technology analysis we deliver is done by practitioners, for practitioners. Our analysts are CEOs, CIOs, CTOs, CDOs, and more who have deep expertise in the buying and management of technology. Our analysts have collectively been involved in more than $2 billion in business technology purchasing.
00:42 — This collective wisdom gives Acceleration Economy a unique ability to advise business technology buyers, but also provides a critical window into the changes in the technology purchases process of today.
00:55 — Traditionally, the group that was responsible for the majority of modern technology purchasing was the information technology (IT) department. Fast forward a decade later, and that group now also includes a range of cross-functional C-suite- and executive-level buyers. Tony suggests that the days of “simple CIO- and CFO-led technology purchase processes are over.”
01:37 — Tony notes several reasons for this shift:
- Changes in technology and their innovations
- All companies have (fundamentally) become technology companies
- Managers with profit and loss (P&L) responsibilities are now a part of the technology purchasing process
03:16 — There is a new business technology buying committee in today’s business ecosystem that encompasses all IT and key business functions. This shift represents significant implications for businesses and the technology vendors who are selling products to organizations. CEOs must prepare their companies to be competitive in today’s tech-enabled business world.
03:47 — Additionally, the shift in the technology purchasing process has implications on a company’s budget, as new technologies may require deeper investments to stay ahead of their competition.
04: 11 — For tech vendors, this shift in technology purchasing processes may require a “wholesale change in marketing and sales strategies.” Vendors must “hit the reset button” and develop a comprehensive, customer-driven approach to their go-to-market strategies.
04:43 — For more insights on how B2B go-to-market strategies are changing, Tony recommends reading Acceleration Economy analyst Scott Vaughan‘s recent analysis.
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