Market Analysis
published on Oct 23, 2017
Report Overview:
NelsonHall’s “Impact of Digital on IT Services in the Transport Sector: 2017” 46-page report is based on global interviewing of senior executives across the transport sector in four geographies: the U.S., U.K., Continental Europe, and Asia Pacific.
The report identifies the principal business issues faced by transport firms over the period 2017-2019, the IT and digital initiatives planned in response to these issues, and their anticipated changes in IT spend and sourcing.
In particular, the report analyzes the importance of digital to transport firms and focuses on the nature of the digital initiatives planned by transport firms by application and technology, together with the key benefits required from digital by transport firms and their supplier selection criteria when purchasing digital services.
Who is this Report for:
NelsonHall’s “Impact of Digital on IT Services in the Transport Sector: 2017” report is a comprehensive market assessment report designed for:
- Sourcing managers investigating sourcing developments within the Transport sector
- Vendor marketing, sales and business managers developing strategies to target IT services (ITS) opportunities within the Transport sector
- Financial analysts and investors specializing in the IT services and BPS sector.
Scope of this Report:
The report is based on interviews with executives in the transport sector in the U.S., U.K., Continental Europe, and Asia Pacific.
The report analyzes the worldwide market for IT services within the transport sector and addresses the following questions:
- What are the principal business priorities faced by organizations in the transport sector?
- What IT initiatives are planned by organizations in the transport sector?
- How relevant are digital initiatives to organizations in the transport sector?
- What digital initiatives are planned by organizations in the transport sector?
- What business areas are targeted for digital initiatives by organizations in the transport sector?
- What digital technologies are planned to be introduced by organizations in the transport sector?
- What are the key selection criteria used by organizations in the transport sector to select suppliers to implement digital initiatives?
- What shifts in sourcing approach are expected by executives in the transport sector over the next three years?
- How do companies in the transport sector expect their spend on ITS services to change over the next three years?
Key Findings & Highlights:
The key business priorities of transport companies are primarily around reducing costs, particularly their administrative costs, and improving their route/operations planning to achieve supply chain optimization. Other key focus areas include improving their efficiency in marketing to compensate for falling returns on marketing spend, and improving their agility in introducing new services and routes.
Digital is a key mechanism for achieving these objectives and 84% of transport companies regard digital as highly relevant to their industry. Accordingly, transport companies are:
- Planning to use digital solutions both to increase operating efficiencies and to improve customer experience and drive incremental revenues
- Focusing their digital initiatives on online commerce and customer service, including improving and updating online reservation and electronic ticketing systems, expanding the use of mobile, and on supply chain optimization, e.g. using IoT/sensor applications in support of asset tracking and predictive maintenance
- Freeing up budget to fund digital initiatives through application modernization and cloud migration
- Increasingly seeking niche specialists to assist in implementation of digital initiatives.
