Software Spending Insights
News, insights and updates from the team at Bloom Equity Partners
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Software Spending Remains Strong in 2022
This past week the team at battery ventures released their annual cloud software spending survey. The survey queried over 100 CXOs from across industries to understand their software spending habits and changes. You can check out the comprehensive report: here. Our team had a great time reading it and wanted to share some key takeaways:
Tech budgets remain strong even during an economic downturn
54% of CXO respondents expect to increase their total tech budget for 2022.
Over the next 6 months, fewer than 10% of respondents predicted increasing their tech spending across security, data, dev tool and AI/M.
Data and security remain the top software spending priority for enterprises
31% of respondents named security as their number one priority.
Software offerings relating to workflow improvements and automation saw increased demand.
Enterprises that are focused on reducing their budget are looking to do so by consolidation.
45% of respondents are focused on consolidating their vendors versus headcount reductions and optimizing licensing.
Finance and tech businesses have a higher inclination to invest across entire tech stack
TLDR: Enterprise software buying remains strong even during the market downturn. It is also clear that builders are prioritizing security and data software as a spending priority. And finally…
tech spending across all major categories is likely to increase over the next five years–which should be encouraging for enterprise-focused software sellers, including the early-stage founders.
Huge shoutout to the team @batteryventures for putting this report together. It gives us SaaS investors and builders a better understanding of the current market demand!
What We’re Reading and Listening To…
📚 Stripe: Thinking Like a Civilization
Favorites from the Ecosystem
Investors👇…..
Founders👇…..
Operators👇….
News from the Industry: deals, deals, and more deals 💰
Thoma Bravo-backed workplace software firms merge
Why aren’t we seeing more aggressive SaaS M&A
Vista Co-Founder Plans Software Comeback With $3 Billion Haveli Fund
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About Bloom Equity Partners
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