SEATTLE, Nov. 29, 2016 /PRNewswire/ -- Onvia (NASDAQ: ONVI), leading commerce intelligence in business-to-government (B2G), today released its latest market research report, The State of Government IT: Buying and Selling Technology in B2G. The report examines leading trends in IT contracting and provides insight and guidance, both for agency buyers and for businesses selling into the B2G marketplace.
Information Technology is Vital for all Government Agencies
Despite a fiscal environment of relatively slow growth, IT vendors have been growing their government sales at a much higher rate than other industries. Government agencies within state, local and education (SLED), as well as within federal, continue to prioritize IT purchasing. Data from Onvia's B2G Intelligence System (B2GIS) indicates that while most of the largest IT contracts come at the federal level, contracts issued by SLED agencies actually make up the majority of formal, advertised bids and RFPs.
"IT is one of the larger and more dynamic sectors in government contracting," said Paul Irby, B2G Market Analyst. "State, local and education agencies spend tens of billions of dollars in IT each year, and while federal IT contracts may grab headlines, those issued by SLED agencies make up nearly 68 percent of formal competitive bids."
Key takeaways for government buyers and sellers include:
- Opportunity for Smaller Businesses – The top 10 vendors in SLED only win 15% of all IT contracts, leaving vast opportunity for small to midsize businesses to target both entry-level and larger contracts.
- Areas of Growth Within Information Technology – The overall IT market is experiencing slow, steady growth, but hotspots like cyber security, mobile, open data, cloud and business intelligence are growing at much faster rates.
- Bids for Services and Telecom Well Represented – Hardware is the main driver of IT procurement, but services and telecom represent 46% of bids as well, including consulting and implementation work.
- Vendors Succeeding in SLED – Most IT vendors that serve the SLED marketplace are growing their government business, outpacing other industries.
"This research challenges misconceptions that government IT is only for large players in the Federal space," said Alberto Sutton Senior Vice President of Marketing. "Technology in government opens opportunity for vendors of all sizes at all levels of government, and government buyers are challenged to keep up with new and emerging technologies such as cybersecurity and cloud."
This report includes indispensable information to help performance-minded buyers and sellers to confidently navigate IT procurement in B2G. Access a copy of the report here.
Onvia (NASDAQ: ONVI) is the leading commerce intelligence company at the core of the business-to-government (B2G) marketplace. Applying advanced technologies and domain expertise, Onvia curates data about millions of exchanged contracts, agencies and decision makers, vendors and channels, projects and investment plans, awards records and market trends. Our B2G Intelligence System (B2GIS) delivers quality leads, process agility and strategic foresight, equipping companies of all sizes to grow their public sector business and government agencies to gain procurement efficiency. Resolving the friction in this vital, complex, multi-trillion-dollar marketplace, we create mutual value for private and public sectors, taxpayers and society at large.
Visit http://www.onvia.com to explore what makes business, government and media trust Onvia for B2G market insights.
SOURCE Onvia, Inc.