Press Release

IDC Government Insights Releases New Market Segmentation Model For IT Vendors in the Public Sector

MILAN, August 10, 2012 IDC Government Insights today announced the release of a new study that describes how IT vendors targeting the Western European government sector should evolve their segmentation approach to fine-tune solution marketing. The study suggests applying segmentation that analyzes the causes of IT purchases by understanding if governments are driven by innovation or risk.

IDC's market segmentation model classifies government organizations into two groups based on their attitude and differences toward innovation and risk, by using a cluster statistical analysis. IDC Government Insights recommends vendors should start by applying a variety of segmentation approaches that enriches their knowledge of the customer base. They should strive to understand the job that government IT executives hired a piece of technology to do.

For IT vendors that are interested in starting with the innovation versus risk segmentation dichotomy, early findings indicate that they should:

  • Sell flexible and agile products that reduce the rigidity of proprietary platforms to the most innovative governments
  • Sell safe and standard solutions that comply with mandatory requirements to the most risk-focused governments

"More refined market segmentation is key in the current environment, where budget constraints are driving down IT spending in the Western European government sector, making it harder for vendors to gain market share," said Massimiliano Claps, EMEA research director, IDC Government Insights and IDC Health Insights.

More insights are revealed in the study Business Strategy: Bending the Rules — A Different Way to Segment the Western European Government Sector (IDC Government Insights #GIPP07U, August 2012). For more information or to arrange a one-on-one briefing with IDC Government Insights analysts, please contact Kanupriya at kanupriya@idc.com.

About IDC Government Insights



IDC Government Insights assists government policy, program, and IT leaders, as well as the suppliers that serve them, in making more effective technology decisions by providing accurate, timely, and insightful fact-based research and consulting services. Staffed by senior analysts with decades of government and IT industry experience, our global research analyzes and advises on business and technology issues facing the federal/central and local/provincial governments. International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology market. IDC is a subsidiary of IDG, the world's leading technology, media, research, and events company. For more information, please visit www.idc-gi.com, email info@idc-gi.com, or call 571.296.8060. Visit the IDC Government Insights Community at http://idc-insights-community.com/government.

For more information, please contact:

Kanupriya
kanupriya@idc.com
+44 20898 77111