What Is The Great Acceleration And What Does It Mean For Enterprise Tech Providers

Over the past 10 years there has been an emerging gap in performance between those at the top of their market and those at the bottom. 

The COVID-19 pandemic has fundamentally accelerated this gap beyond what many could have ever imagined, exposing those not able to react and enabling those who could adapt to take significant market gain. The impact will restructure business models and market structures without doubt. 

Those who understand the potential difference between the winners and followers and how to provide services and products to them, will equally be at an advantage.

To bring this into some form of reality, we looked at figures provided by McKinsey which stated that the combined profit of the top performing companies grew their total market-implied annual economic profit by $335billion, while companies in the bottom quintile lost over $303billion between December 2018 and May 2020 and this gap widened even further into 2021 as the pandemic continues.

Within this, and why it’s potentially valuable to understand these top-line figures, are three areas to give further food for thought when selling and marketing to enterprises within different industries:

  • Understanding industry reshuffling and which industries to focus to enable growth – The top most profitable industries [Semiconductors, Pharmaceuticals, Personal Products, Software, Technology hardware, Media] have added $275billion a year to their economic-profit pool while the bottom six [Capital goods, Insurance, Banks, Diversified financial, Utilities, Energy]  have lost $373billion
  • Understanding an accounts business model to best align to their situation and strategy  – Enterprises that were already pursuing continuous change strategies and developing future-ready business models have significantly outgrown their competitors who were more reliant on legacy business models and market structures
  • Understanding long-term trends and the extent of their acceleration patterns – many of the trends such as online shopping existed and were growing prior to the pandemic but growth accelerated growth has been incomprehensible such as online deliver volume growth growing more in two months than it had over the 10 previous years 

This is only a small snapshot of what we looked at to better understand and help our clients determine which account to target and how to personalise their positioning and approach to the specific context of an industry and the accounts strategy within the market. 

Register for our on-demand webinar ‘Navigating the Great Acceleration, where we’ll show you how to navigate and leverage the huge array of insight available to marketers. We’ll be joined by industry leaders who will share their experiences of pivoting their businesses across their target sectors: with guest contributors Cat Dutton, Deputy CMO, Atos and Matt Preschern, CMO, NTT to find out more.

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