New research from MHR Analytics has revealed that nearly two thirds of UK companies are planning to significantly increase their investment in IT next year in response to fears surrounding the impact of Brexit.
The company's new report entitled “Business Insight: The Data Surge' surveyed 200 senior decision makers across large and medium sized UK businesses about their investment plans.
When questioned as to which factor would most likely trigger a drop in revenue for 2018, the majority of respondents said it would be Brexit at 57 per cent followed by reduced customer spending at 22 per cent. Surprisingly only ten per cent of those surveyed cited GDPR as a factor that would have an impact on revenue while just seven per cent said no factor would trigger a drop in revenue.
MHR Analytics' survey also found that businesses were boosting investment in key areas to tackle the revenue drop with IT leading the charge by a significant margin. Of those surveyed, 59 per cent of businesses said they will increase IT spending, 48 per cent believe marking will also see an increase and 46 per cent plan to boost investment in sales.
A majority (96%) of business chiefs said they understood the importance of data for their company's future. However, one in 10 businesses have yet to implement big data strategies and less than a third regularly conduct big data projects.
SVP at MHR Analytics, Nick Felton offered further insight on the findings of the report, saying:
“It’s clear that businesses are braced for significant turbulence next year and are planning major investment in key areas to power through an anticipated drop in revenues. Despite these fears, companies are adopting a combative approach to this problem, with departments such as IT, marketing and sales all set for a cash injection. With unpredictable market conditions, data management and analytics are critical for helping organisations deliver significant cost savings by enabling accurate decision-making. Despite a potential revenue dip, companies are still planning major investments, of which data management is a good choice in uncertain times.”
Image Credit: Everything Possible / Shutterstock