Forrester’s team of Asia Pacific (AP) analysts released our top 10 predictions for the Asia Pacific tech market in 2014 this week. The most critical overarching trend for the region in 2014 will be the strengthening age of the customer, which we define as a 20-year business cycle in which the most successful enterprises will reinvent themselves to systematically understand and serve increasingly powerful customers.
The age of the customer will manifest itself in AP through 10 major trends that will fundamentally alter or disrupt regional tech markets in 2014. Here’s a preview of five of them:
Technology spending will remain flat. Forrester expects IT spending growth in AP to remain flat in 2014, with regionwide growth of 4%; the regional growth rate rises to 6% if we exclude Japan. We see China rebounding and generating healthy growth, but expect that local vendors will see more benefit than multinational brands. India is expected to rebound as well, in spite of an election in the first half of the year; once that’s over, we expect pent-up demand to be released. More details are offered in my colleague Fred Giron’s blog post.
CIOs’ IT spending will decline as the clout of the business grows. We’ve been writing about the growing clout of business buyers for more than a year now. But with continued business gains, we are now seeing CIO spending decline as business leaders and workforces take over more IT strategy and spending decisions. We expect to see this shift in spending power continue out to 2016 at a minimum.