Abstract
This IDC study looks at small and medium-sized business (SMB) behaviour and
demands when purchasing telecommunications products and services as well as
preferred service provider (SP) interaction methods and mediums. As the New
Zealand telco market undergoes a period of drastic disruption and change, and
as telcos and Internet service providers (ISPs) devise strategies to compete in
this new environment, it is important to determine how SMBs operate and how
they wish to interact with the SP. As competition grows in the New Zealand
telco industry, all SPs are increasingly focusing on SMB customers. This study
gives an insight into requirements and demands of the SMB customer.
"The New Zealand economy is heavily skewed towards SMBs, a target audience
becoming increasingly saturated as all SPs shift focus towards these customers.
The large enterprise market allows little opportunity for SPs to acquire new
customers and remains reasonably static. The consumer space is becoming less
profitable, resulting from both increased competition and the rise of
less-profitable technologies. All SPs see the principal segment of growth
coming from the SMB market. To be successful in such a highly competitive
environment requires challengers to have a deep understanding of SMB
operations. This includes their preference for interaction, key organisational
stakeholders, and the challenges faced by SMBs," says Tim Shepheard, Market
Analyst, Telecommunications, IDC New Zealand.
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