New Zealand Support Services

This IDC study looks at the hardware and software support services as one of the largest segments of the New Zealand IT services market. However, ongoing commoditisation and competitive pressure present challenges for vendors to develop profitable product portfolios, therefore, the relative shares of support services in the IT services market is expected to decline. In this regard, innovative vendors that develop new products for emerging technologies will be able to offer targeted solutions at low price points and gain a competitive advantage. The importance of partner networks is expected to increase in order to target smaller businesses and access specialised skills for certain aspects of the support services.

"A successful support services engagement may provide future opportunities to provide higher value-adding services as they are seen by clients as prerequisites for the outsourcing of more salient business functions,"says Stefan Nordbruch, associate analyst, Hardware Research, IDC New Zealand.