Nearly 80% of Indian businesses regret recent tech buys: Report

As digitalisation has become an essential requirement for businesses, it has also given headache to them as well. Purchasing tech products is a need for digitalisation, but nearly 80% of Indian businesses regret over their recent tech buying. It is not because the product but the implementation, revealed a new survey by software selection platform Capterra — a legacy brand of Gartner.   

Surprisingly, most businesses (38%) see big growth ahead, with another 53% expecting steady growth. Only a tiny 2% fear a downturn in 2024. Tech advancements (40%) are a big player in shaping these expectations, followed closely by economic growth (37%) and skilled workers availability (32%). 

But, it's not all sunshine. Nearly a third (32%) find it tricky to pick the right tech for their needs in 2024. The challenges include training staff (33%), engaging online with customers (31%), delivering quality service (31%), and finding skilled talent (31%). 

IT management and security stole the show with 35% having them for over a year. Some new players on the scene in the last year include learning management systems, supply chain software, and maintenance management tools. And guess what's on everyone's shopping list lately? Accounting and finance tools (17%) and business intelligence and data analytics (16%). 

Most businesses are planning to spend more on software. Around 40% are looking at a 10–20% increase, and a whopping 44% are eyeing jumps over 20%. The shopping list includes accounting and finance tools (41%), followed by business intelligence, data analytics, call center, and customer service software. 

Talking about businesses’ purchase of softwares. A whopping 82% of businesses form teams (usually with tech experts) for these decisions. These teams aren't in a rush; 61% spend 3 to 6 months figuring out what's what. 

Everyone starts with a list of preferred vendors (99%), and most have 3 to 6 options in mind (72%). Where do they get info? Customer reviews (45%), online searches (35%), trials (35%), and vendor presentations (32%) are the go-tos. 

Despite all the homework, 90% feel super confident during purchase time. But, here's the twist. 

Almost 79% of businesses regret some tech buys from the past 18 months. Surprise! It's not the product that's the problem, but the implementation. Hidden costs and struggles to blend with existing tools are the villains here. 

Vendor behaviour is also under the microscope. Over half (51%) had trouble moving from sales to actual use, and 47% felt vendors promised the moon but delivered less. It's like ordering a pizza and getting a salad. Not cool. 
Regret hits hard, affecting 57% of businesses' long-term plans. But don't worry; businesses are fighters. 37% talk to the vendor to fix things, 37% swap the tech for something else, and 37% try to renegotiate the deal. 

What do they expect from vendors? Quick responses (58%), dedicated helpers (58%), and better setup help (52%).