Autotask Survey also Details IT Hiring Plans, Billing Rates and What's Driving Demand for IT Services
IT companies say tighter security tops the list of their clients' concerns, rating even more important than mobile-device management, support for the cloud and data management, according to a new Autotask survey of IT companies.
The survey also found that the expansion of cloud services is the biggest factor driving demand for IT services, surpassing the headline-grabbing but less critical areas of mobile connectivity and "always-on" environments. Forrester forecasts that spending on cloud software, platform and infrastructure services will grow from $28 billion today to $258 billion in 2020, reaching 45% of total IT services spend.1
"The expansion of the cloud is a golden opportunity for managed service providers," said Len DiCostanzo, SVP of Community and Business Development at Autotask. "To capitalize on the cloud's growth, IT service providers need to focus on expanding their managed service offerings to include cloud services, increasing security and evolving their business model to be more consultative, where they deliver integrated business solutions and trusted service, not just IT support."
The Autotask 2014 IT Service Provider Benchmarking Survey was conducted by the research firm Decision Tree Labs and included responses from 1,300 IT service providers in North America, Europe and around the world.
IT companies are predicting continued growth this year, the Autotask survey found. 87% of IT companies plan to do the same or more hiring this year compared to last year, according to the survey. In the southwestern U.S., 94% of companies plan the same or more hiring in 2014, the highest rate of any region in the country. Even in the U.S. regions least bullish about hiring – the East, West and Midwest – 87% of IT companies plan the same or more hiring this year.
The recovering economy isn't the only factor boosting the hiring of information technology workers. IT companies cited new client requests (78%), the need for new skills (45%) and geographic expansion (25%) along with the improved economy as the factors driving their hiring plans in 2014.
The Autotask survey, which was conducted in February 2014, also found:
54% of IT companies say security tops their clients' concerns, ahead of support for the cloud (52%), mobile-device management (46%) and data management (45%).
IT companies say they most value their technicians' technical knowledge (34%), followed by how much customers like them (20%) and how many hours they bill (18%).
IT companies' billing rates appear to be rising. Last year, 51% of companies said they billed an hourly rate of $100 to $150. This year, that number jumped to 62%.
