Top 9 software
investment trends to watch in 2023
Get your copy of the
2023 Global Software Buying Trends Report
The software market is expected to reach more than
$1 billion by 2025, making it clear that demand for software isn’t going away. But where, how and why businesses are spending on technology is changing.
Source: Gartner Market Databook, 3Q22 Update
Economic uncertainty is putting pressure on buyers to make
a strong case for investing in digital transformation.
The digital transformation dilemma
Trend No. 1
Economic uncertainty is the No. 1 business challenge in 2023.
In tough economic situations, buyers will need to do more with less without slowing down.
Top business challenges in 2023:
#1
#2
#3
Economic uncertainty or geopolitical situations
Training and
upskilling employees
Managing projects efficiently and effectively
Source: Gartner Digital Markets’ 2023 SMB Tech Trends Survey; n = 1,526
Q28: As a business decision maker, what are your biggest challenges heading into 2023?
Source: Gartner Digital Markets’ 2023 SMB Tech Trends Survey; n = 1,526
Q29: How important is technology to achieving your organization’s goals?
Technology is critical to our growth and success
Technology adds value to every part of our organization
Technology plays an increasing role in our success
89
One-third of businesses think technology is critical for growth, while almost half think it adds value to every part of the organization.
Nearly 90% of businesses think technology is critical for achieving organizational goals.
Trend No. 2
11
30
46
13
Source: Gartner Digital Markets’ 2023 SMB Tech Trends Survey; n = 1,526
Q25: Please select the top three challenges that your organization faces when planning investment in new technologies.
Justifying and funding the investment
69
Navigating the rising cost of technology far outweighs other challenges when planning investment.
69% of buyers struggle to justify and fund new technology investments.
Trend No. 3
Compatibility with existing systems
41
Identifying the right technology
40
Security concerns
37
Businesses are turning to technology to increase efficiencies
and reduce costs.
Technology investment is increasing
Source: Gartner Digital Markets’ 2023 SMB Software Buying Trends Survey; n = 1,513
Q23: Does your organization plan to spend more, less or the same for technology and software in 2023 compared to 2022?
Most businesses will increase their technology investment in 2023
to drive efficiencies and cost savings.
Over two-thirds of businesses plan to spend more on technology and software in 2023.
Trend No. 4
Spend somewhat more
54
15
Spend much more
Source: Gartner Digital Markets’ 2023 SMB Software Buying Trends Survey; n = 1,513
Q37: Select the top five most important factors when your company is searching for new software. (Max 5 responses allowed)
Concerns about cyberattacks have made software security more important than factors like functionality and cost.
Security is the most important factor for software purchases.
Trend No. 5
Security
42
Ease of use
38
37
%
%
%
%
%
%
%
%
%
%
%
%
%
%
Functionality of
the software
Cost
Ability to integrate with other technology
Emerging technology plays an integral part in the IT strategy of 57%
of buyers, and most businesses are comfortable early adopters of
new technology.
More than half of buyers are early adopters of emerging technology.
Trend No. 6
57
%
53
%
Emerging technologies play an integral part in our organization’s IT strategy
Our company is an early explorer of emerging technology compared to industry peers
Source: Gartner Digital Markets’ 2023 SMB Tech Trends Survey; n = 1,526
Q33: Please indicate to what extent you agree/disagree with the way it describes your company’s approach to emerging technology.
Buyers’ preferences, priorities and motivations are shifting the software buying journey.
Disruptive dynamics in software buying
Source: Gartner Digital Markets’ 2023 SMB Tech Trends Survey; n = 1,526
Q34: How often does your organization invest in new technology?
Most businesses purchase new technology “very often” to drive
organizational success.
Over three-fourths of businesses frequently purchase new technology.
26
%
16
%
Trend No. 7
Purchase new technology “somewhat often”
Purchase new technology “continuously”
34
%
Purchase new technology “very often”
Source: Gartner Digital Markets’ 2023 SMB Software Buying Trends Survey; n = 1,513
Q29: How much time, in total, does your business usually spend to evaluate, select and finalize a purchase for new software? Note: percentages may not equal 100% due to rounding.
63% of buyers spent less than six months evaluating and purchasing software in 2022, compared to 55% in 2021.
The software purchase journey is shrinking.
Trend No. 8
55
%
63
%
2021
2022
Spend less than six months buying software
Source: Gartner Digital Markets’ 2023 SMB Software Buying Trends Survey; n = 1,513
Q36: Which of the following types of content have you ever used to help make a purchase decision?
Buyers rely on reviews to obtain information about user experiences with software, and more than 50% find reviews’ qualitative commentary as the most important factor for software evaluation.
Customer reviews are the No. 1 content type buyers use to make a software purchase decision.
Trend No. 9
#1
#2
#3
Customer ratings
and reviews
Personalized product demonstrations
Product documentation
or user guides
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Gartner Digital Markets is the world’s largest software and services marketplace. Every month, more than 9 million people globally visit our review sites — Capterra, Software Advice, GetApp and UpCity — to research and choose the best solutions for their business. Thousands of B2B companies partner with Gartner Digital Markets to reach active buyers, build their brand reputation and grow their business.
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