Research released earlier this month has shown that the behaviour of consumers and markets in the technology sector is being driven by a number of factors, with several trends being observed in this space.
The research was conducted by market analysts IDC to examine the ways businesses can boost their relationships with their customers by better identifying their desires and expectations of their products and services.
“Technology is causing massive shifts in the way consumers live their lives, and technology companies, from hardware vendors to software developers to service and infrastructure providers, must think hard about how these shifts will impact their future offerings,” IDC group vice president of devices and consumer research Tom Mainelli said.
“IDC believes that organisations must redefine their mission to be more relevant to the individual to drive toward that successful future,” Mainelli added, explaining that “this new approach requires rethinking company operating models and cross-industry business models with an eye toward better understanding and enabling cooperation and collaboration with adjacent companies and industries”.
Under this approach, the IDC research identified a number of trends in the technology sector that are propelling the change in consumer behaviour.
One of the trends is the emergence and subsequent prevalence of new pricing and models, including the rise of subscription-based services, bundling services or products together, as well as a focus on customer loyalty.
“Hardware products, in addition to media and services, are moving toward a subscription model,” the research noted.
Regarding the ongoing proliferation of Augmented Reality (AR) and Virtual Reality (VR) technology, the research found that companies have struggled with utilising them in a way to truly capture the imagination of the public.
However, it also expects that improvements will be made over the coming years, during which time companies will “crack the code on augmented audio, improve AR for phones, smart glasses, and VR goggles”.
Other trends identified by the study include wearable technology and its better integration in the future; smart products and IoT (internet of things) technology; as well as the increased popularity of digital currencies.
“Asian consumers are already deep into super apps for payment, while the pandemic pushed Western consumers away from currency to cards, tap-to-pay, and digital wallets, but not into super apps,” the research said, adding that more changes are imminent.