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5 Predictions For The Enterprise Software Market in 2019

We make 5 predictions for the enterprise software market for 2019, including the arrival of Google in the software review market.
5 Predictions For The Enterprise Software Market in 2019

Google will enter the software review market

Yelp was king of the hill in the local review space until Google came in. We see this happening in the software review market. G2 Crowd, Capterra, Trustradius have all benefited from aggressive SEO but what Google giveth, Google taketh away.

Google is beta testing a software app schema and its own review system has slowly been building first party data. Once Google has enough data, it will be in a position to build its own review and software recommendation service. If you hated the binary nature of reviews before, you'll be hard pressed to find balanced opinions when Google throws its full weight behind it.

Google's interest in software review metadata

LinkedIn will acquire G2 Crowd

LinkedIn is investing in monetizing their walled garden of business profiles. First to recruiters, then sales and bd people, and finally advertisers. A crucial source of information missing from LinkedIn profiles is software usage. This is an important signal and LinkedIn fully intends to capitalize on it to force vendors to engage on their platform and give advertisers new targeting capabilities.

The below shows that LinkedIn is already collecting this information and more noteworthy is their investment in the Series B of software review site G2 Crowd.

LinkedIn product review

Containers will become an alternative to standard SaaS distribution

Despite the rise of SaaS, the majority of software are still on-premise. SAP's revenue from cloud is only this year going to exceed license revenue. In most companies, a successful one year project is migrating from Microsoft Exchange to Outlook.com.

The advance of container technologies like Kubernetes and Docker are creating an opportunity for companies to offer their software as containers to be deployed within private clouds or on-premise.

Google, Amazon and Microsoft are very invested in this area to drive adoption of their cloud infrastructure. Upgrading the software would be as simple as downloading a new image and uploading it to a cluster. AWS recently released Fargate which lets you run containers without managing servers or clusters and gives a glimpse of a world where installing software in a cloud will be as easy as installing software on a desktop.

To bridge that gap, Google has already announced the SaaS initiative to help facilitate adoption of SaaS solutions.

Amazon Fargate

Single Sign On Adoption will help companies slim software budget

Okta went public in 2017 and with it, the confirmation that IT departments are looking to regain control over the explosion of software in their organization.

Tools like Okta, Bitium, OneLogin are offering real usage statistics to IT directors giving them the ability to negotiate contracts down or cancel renewals altogether. More than ever, software companies will have to demonstrate their value to retain their place on the corporate network.  

Okta's stock growth 2017-2018

Companies will miss on growth opportunities due to software

I am cheating here because this is an evergreen prediction. Most companies have more software than employees. Finding the right ones that fit your workforce remains a big lever of productivity and efficiency.

Here's a great Ted talk by BCG partner Nadjia Yousif discussing her experiment accelerating technology adoption at large financial institutions.

She offers that repositioning software as an employee/co-worker helps the organization adjust. We love it.