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14 Tech Predictions
for 2014

Dec

2013
2014 Predictions
1.

SaaS Will Become Table Stakes

8.

Snapchat Turns Down a $50B Acquisition Offer

1.

Focus Will Shift from Customer Acquisition to Customer
Retention

9.

Uber Will Start a Self-Driving Car Service

1.

Say Goodbye to Your Wallet

10.

Yahoo! Employees Will Work From Home Again

1.

Wearable Computing Becomes Socially Acceptable

11.

Drone Delivery Becomes a Standard E-Commerce Practice

1.

People Stop Saying Big Data and Start Meaning It

12.

Businesses Get Proactive by Leveraging Customer Data

2.

Big Year for Enterprise Tech IPOs

13.

Tech CEOs Buy More Weird Shoes, While 90‟s Bands Thrive at
Tech Conferences

3.

Hacking Life: Health-as-a-Service

14.

Amazon‟s „Mayday‟ Button Spurns Awesome
Copycats
1

SaaS Will Become Table Stakes
What was once considered a security
hazard will become standard
practice.
All technology providers will need to develop a cloud
strategy in order to stay competitive.
• “The worldwide cloud computing market will grow at a
36% CAGR through 2016, reaching a market size of
$19.5B by 2016.”
• “69% of enterprises who have separate budgets for
cloud computing are predicting spending increases
into 2014.”
• “The median enterprise cloud computing budget is
$675,000 and the mean enterprise cloud computing
budget is $8,234,438.”

Research findings courtesy of:
TheInfoPro Wave 5 Cloud Computing
Study
Focus Will Shift From Customer Acquisition to Retention
Sales will become easier, while
retention will become more difficult.
The maturity of the subscription economy will cause
businesses to think more strategically about how they
retain their existing customers.
• “Companies with a dedicated Customer Success team
have a 24% lower churn rate than companies without
Customer Success.”
• “A 2% gain in retention rate equals a 20% bump in
valuation.”
• “77% of subscription businesses agree that the most
effective way to reduce churn is to identify at-risk
customers earlier.”

Research findings courtesy of:
[Infographic] Diagnosing Churn via
Gainsight

2
3

Say Goodbye to Your Wallet
Your wallet will finally be replaced by
your mobile device.
The intersection of NFC device adoption and innovation in
mobile payment technology will finally make the case to
ditch your bi-fold.
• “It‟s estimated that 1 in 5 smartphones worldwide will be
NFC enabled by 2014.”
• “The mobile payment industry is forecasted to account
for as much as $1 trillion in global transactions by 2015.”
• “61% of US consumers believe that smartphone
payments will eventually replace credit card payments
for must purchases at stores.”

Research findings courtesy of:
Juniper Research, Heavy Reading
Networks Insider and Harris
Interactive.
Wearable Computing Becomes Socially Acceptable
Walking into a bar with something Wi-Fi
enabled strapped to your body, totally
normal.
Connected bracelets, smartwatches and eyewear will
help improve health, career development and overall selfconfidence.
• “We see global annual wearable device shipments
crossing the 100 million milestone in 2014, and reaching
300 million units five years from now.”
• “82 percent of Americans said that cloud-powered
devices have enhanced their lives.”
• “Fitness and medical wearables, taken together, will
account for roughly 60% of the wearables market this
year, and even larger share in the future.”

Research findings courtesy of:
Business Insider and Rackspace.

4
People Stop Saying Big Data and Start Meaning It
It may be have been cool in 2013 to
drop the “big data” buzzword, but
next year it‟s table stakes.
Every cloud application provider will evolve their backend
infrastructure to support “big data” principles.
• “64 percent of organizations have invested or plan to
invest in big data technology compared with 58
percent in 2012.”
• “39 percent of media and communications
organizations said that they have already invested in
big data, followed by 34 percent of banking
organizations and 32 percent of services firms.”
• “Among those planning to invest during the next two
years, 80 percent are in the earlier stages (knowledge
gathering and strategy phase).”

Research findings courtesy of:
Gartner.

5
Big Year for Enterprise Tech IPOs
More millionaires will be made in
Silicon Valley on the heels of Twitter‟s
debut in 2013.
A number of venture-backed, high-profile tech
companies valued at $1 billion or more are rumored to be
eyeing public offerings in 2014.

6
7

Hacking Life: Health-as-a-Service
Healthcare.gov will finally be fixed and
the digital health revolution will thrive.
Google is taking on aging, but a wealth of digital health
startups will change the way we manage (and improve)
our health.
• “Funding of digital health companies continued to
grow overall, totaling $849M in the first half of 2013 (12%
growth in investment and 25% growth in deals YoY.”
• “90 digital health companies each raised more than $2
million dollars in the first half of 2013.”
• “With few seed investors ($250k - $1M range), crowd
funding has become an attractive option for digital
health entrepreneurs.”

Research findings courtesy of: Rock
Health | Digital Health Funding
Midyear Update
Snapchat Turns Down a $50B Acquisition Offer
This slide will disappear in 10… 9… 8…
Alright, maybe not $50B, but expect everyone‟s favorite
private photo sharing service to keep M&A rumors a buzz
throughout the year.
• “Snapchat recently said that it now processed upward
of 350 million messages a day. In February, the
company was processing only 60 million a day.”

• “Recent reports say its board turned down a $3B buyout
offer from Facebook, even though Snapchat makes no
money.”
• “The app‟s core audience is the age group from 13 to
25 years old, with 70 percent of those members being
women.”

Research findings courtesy of: New
York Times, AllThingsD and
PandoDaily.

8
Uber Will Start a Self-Driving Car Service
Rumors that surfaced as a faux report
on TechCrunch gain momentum.
A strategic $258M investment by Google Ventures bind
the two companies together, which can only lead to
driverless Lexus GX3200‟s on the roadways soon.
• “…with billions of users on an incredibly complementary
product suite ranging from Google Maps to Android to
self-driving vehicles.”
• “We look to Google for the strategic connectivity to
their product initiatives alongside the expertise that
comes with evangelizing new technology with
governments and regulatory bodies around the world.”
• “David Drummond, Google‟s SVP of Corporate
Development and Chief Legal Officer, will be joining
Uber's board.”

Research findings courtesy of: Uber
Blog

9
Yahoo! Employees Will Work From Home Again
Innovation in video presence solutions
make dialing-in a bit more productive.
The momentum behind video conferencing leaders like
Blue Jeans Network and the rise of presence robots
(what?) are bridging the gap between home and office.
• “[Blue Jeans Network] is also seeing greater than 25%
growth month over month and has recently closed
$50M in new funding to invest aggressively in sales and
marketing, international expansion, and continued
product innovation.”
• “While 94% of respondents state that face-to-face
communications improve business relationships, the vast
majority (91%) have never seen many of the people
they work with on a daily or weekly basis.”
• “Beam goes beyond video conferencing
technology, enabling users to travel instantly to remote
locations, with the freedom of mobility, over a Wi-Fi or
cellular 4G LTE connection.”

Research findings courtesy of: Blue
Jeans Network and Telepresence
Options.

1
0
Drone Delivery Becomes a Standard E-Commerce Practice
Buy a book online, have it delivered in
minutes via autonomous flying drone
robots.
Jeff Bezos, CEO of Amazon, recently unveiled Amazon
Prime Air, a service that delivers packages into customers
hands within 30 minutes of the time they place an order.
• “The package is pulled off the lines by the
octocopter, and then using GPS it is directed to the
delivery address.”
• “The hardest challenge in making this happen is
demonstrating to the standards of the FAA that this is a
safe thing to do.”
• “Because the octocopter has eight blades, if one broke
the drone would still be able to safely drop off a
package.”

Research findings courtesy of: ABC
News

1
1
Businesses Get Proactive by Leveraging Customer Data
Data analytics provide business value
to more than just your BI team.
Customers are leaving a digital breadcrumb trail as they
interact with products and services online – companies
are monitoring closely.
• “Customer data drives business performance and while
multiple systems all have data sets, they need a definite
home for real-time use.”
• “Only 16% of the businesses surveyed indicate full
integration among their various business systems
compared to 15% in 2012.”

• “44% of business respondents share plans to invest more
in their customer systems in 2013, a 10% increase since
2012.”

Research findings courtesy of: Industry
Report: The State of Customer Data
Integration in 2013 by Scribe Software

1
2
Tech CEOs Buy More Weird Shoes, 90‟s Bands Thrive
Executives get adventurous on
footwear, not on music.
Marc Benioff, Aaron Levie and others continue to rock
gaudy shoes on camera while your favorite artists of the
90‟s find a home at technology conferences.
• At the Dreamforce 2013 keynote, Salesforce CEO Marc
Benioff sported a custom pair of Christian Louboutin
sneakers (pictured right) called “Cloud Walkers.”
• Aaron Levie on his sneaker choice: “Tigers and Pumas
are the best shoes in the world. It should be mandate
that everyone has to own a pair, and Zappos should
get a Nobel Prize for awesomeness.”
• Tech conferences in the past few years have included
Green Day, Blink-182, Third Eye Blind and Matchbox
Twenty amongst others.

Research findings courtesy of: The
Verge

1
3
Amazon‟s „Mayday‟ Button Spurns Awesome Copycats
The new Kindle Fire HDX raises the bar
for tech support.
Amazon‟s new „Mayday‟ button gives Kindle Fire HDX
users live, visual tech support no matter where they are.
• Users can “connect with a customer service
representative via a video feed” where the rep can
“then talk you through your problem, draw on your
screen, or even take control of your device.”
• “The 24/7 service comes free with the device, and
Amazon said representatives should respond within 15
seconds of requests for support.”

• “Amazon wants customers to feel like they are having
human interaction without having to visit a physical
store.”

Research findings courtesy of: CNET

1
4
What did we miss? Tell us at info@gainsight.com

Happy 2014.

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14 Tech Predictions for 2014

  • 1. 14 Tech Predictions for 2014 Dec 2013
  • 2. 2014 Predictions 1. SaaS Will Become Table Stakes 8. Snapchat Turns Down a $50B Acquisition Offer 1. Focus Will Shift from Customer Acquisition to Customer Retention 9. Uber Will Start a Self-Driving Car Service 1. Say Goodbye to Your Wallet 10. Yahoo! Employees Will Work From Home Again 1. Wearable Computing Becomes Socially Acceptable 11. Drone Delivery Becomes a Standard E-Commerce Practice 1. People Stop Saying Big Data and Start Meaning It 12. Businesses Get Proactive by Leveraging Customer Data 2. Big Year for Enterprise Tech IPOs 13. Tech CEOs Buy More Weird Shoes, While 90‟s Bands Thrive at Tech Conferences 3. Hacking Life: Health-as-a-Service 14. Amazon‟s „Mayday‟ Button Spurns Awesome Copycats
  • 3. 1 SaaS Will Become Table Stakes What was once considered a security hazard will become standard practice. All technology providers will need to develop a cloud strategy in order to stay competitive. • “The worldwide cloud computing market will grow at a 36% CAGR through 2016, reaching a market size of $19.5B by 2016.” • “69% of enterprises who have separate budgets for cloud computing are predicting spending increases into 2014.” • “The median enterprise cloud computing budget is $675,000 and the mean enterprise cloud computing budget is $8,234,438.” Research findings courtesy of: TheInfoPro Wave 5 Cloud Computing Study
  • 4. Focus Will Shift From Customer Acquisition to Retention Sales will become easier, while retention will become more difficult. The maturity of the subscription economy will cause businesses to think more strategically about how they retain their existing customers. • “Companies with a dedicated Customer Success team have a 24% lower churn rate than companies without Customer Success.” • “A 2% gain in retention rate equals a 20% bump in valuation.” • “77% of subscription businesses agree that the most effective way to reduce churn is to identify at-risk customers earlier.” Research findings courtesy of: [Infographic] Diagnosing Churn via Gainsight 2
  • 5. 3 Say Goodbye to Your Wallet Your wallet will finally be replaced by your mobile device. The intersection of NFC device adoption and innovation in mobile payment technology will finally make the case to ditch your bi-fold. • “It‟s estimated that 1 in 5 smartphones worldwide will be NFC enabled by 2014.” • “The mobile payment industry is forecasted to account for as much as $1 trillion in global transactions by 2015.” • “61% of US consumers believe that smartphone payments will eventually replace credit card payments for must purchases at stores.” Research findings courtesy of: Juniper Research, Heavy Reading Networks Insider and Harris Interactive.
  • 6. Wearable Computing Becomes Socially Acceptable Walking into a bar with something Wi-Fi enabled strapped to your body, totally normal. Connected bracelets, smartwatches and eyewear will help improve health, career development and overall selfconfidence. • “We see global annual wearable device shipments crossing the 100 million milestone in 2014, and reaching 300 million units five years from now.” • “82 percent of Americans said that cloud-powered devices have enhanced their lives.” • “Fitness and medical wearables, taken together, will account for roughly 60% of the wearables market this year, and even larger share in the future.” Research findings courtesy of: Business Insider and Rackspace. 4
  • 7. People Stop Saying Big Data and Start Meaning It It may be have been cool in 2013 to drop the “big data” buzzword, but next year it‟s table stakes. Every cloud application provider will evolve their backend infrastructure to support “big data” principles. • “64 percent of organizations have invested or plan to invest in big data technology compared with 58 percent in 2012.” • “39 percent of media and communications organizations said that they have already invested in big data, followed by 34 percent of banking organizations and 32 percent of services firms.” • “Among those planning to invest during the next two years, 80 percent are in the earlier stages (knowledge gathering and strategy phase).” Research findings courtesy of: Gartner. 5
  • 8. Big Year for Enterprise Tech IPOs More millionaires will be made in Silicon Valley on the heels of Twitter‟s debut in 2013. A number of venture-backed, high-profile tech companies valued at $1 billion or more are rumored to be eyeing public offerings in 2014. 6
  • 9. 7 Hacking Life: Health-as-a-Service Healthcare.gov will finally be fixed and the digital health revolution will thrive. Google is taking on aging, but a wealth of digital health startups will change the way we manage (and improve) our health. • “Funding of digital health companies continued to grow overall, totaling $849M in the first half of 2013 (12% growth in investment and 25% growth in deals YoY.” • “90 digital health companies each raised more than $2 million dollars in the first half of 2013.” • “With few seed investors ($250k - $1M range), crowd funding has become an attractive option for digital health entrepreneurs.” Research findings courtesy of: Rock Health | Digital Health Funding Midyear Update
  • 10. Snapchat Turns Down a $50B Acquisition Offer This slide will disappear in 10… 9… 8… Alright, maybe not $50B, but expect everyone‟s favorite private photo sharing service to keep M&A rumors a buzz throughout the year. • “Snapchat recently said that it now processed upward of 350 million messages a day. In February, the company was processing only 60 million a day.” • “Recent reports say its board turned down a $3B buyout offer from Facebook, even though Snapchat makes no money.” • “The app‟s core audience is the age group from 13 to 25 years old, with 70 percent of those members being women.” Research findings courtesy of: New York Times, AllThingsD and PandoDaily. 8
  • 11. Uber Will Start a Self-Driving Car Service Rumors that surfaced as a faux report on TechCrunch gain momentum. A strategic $258M investment by Google Ventures bind the two companies together, which can only lead to driverless Lexus GX3200‟s on the roadways soon. • “…with billions of users on an incredibly complementary product suite ranging from Google Maps to Android to self-driving vehicles.” • “We look to Google for the strategic connectivity to their product initiatives alongside the expertise that comes with evangelizing new technology with governments and regulatory bodies around the world.” • “David Drummond, Google‟s SVP of Corporate Development and Chief Legal Officer, will be joining Uber's board.” Research findings courtesy of: Uber Blog 9
  • 12. Yahoo! Employees Will Work From Home Again Innovation in video presence solutions make dialing-in a bit more productive. The momentum behind video conferencing leaders like Blue Jeans Network and the rise of presence robots (what?) are bridging the gap between home and office. • “[Blue Jeans Network] is also seeing greater than 25% growth month over month and has recently closed $50M in new funding to invest aggressively in sales and marketing, international expansion, and continued product innovation.” • “While 94% of respondents state that face-to-face communications improve business relationships, the vast majority (91%) have never seen many of the people they work with on a daily or weekly basis.” • “Beam goes beyond video conferencing technology, enabling users to travel instantly to remote locations, with the freedom of mobility, over a Wi-Fi or cellular 4G LTE connection.” Research findings courtesy of: Blue Jeans Network and Telepresence Options. 1 0
  • 13. Drone Delivery Becomes a Standard E-Commerce Practice Buy a book online, have it delivered in minutes via autonomous flying drone robots. Jeff Bezos, CEO of Amazon, recently unveiled Amazon Prime Air, a service that delivers packages into customers hands within 30 minutes of the time they place an order. • “The package is pulled off the lines by the octocopter, and then using GPS it is directed to the delivery address.” • “The hardest challenge in making this happen is demonstrating to the standards of the FAA that this is a safe thing to do.” • “Because the octocopter has eight blades, if one broke the drone would still be able to safely drop off a package.” Research findings courtesy of: ABC News 1 1
  • 14. Businesses Get Proactive by Leveraging Customer Data Data analytics provide business value to more than just your BI team. Customers are leaving a digital breadcrumb trail as they interact with products and services online – companies are monitoring closely. • “Customer data drives business performance and while multiple systems all have data sets, they need a definite home for real-time use.” • “Only 16% of the businesses surveyed indicate full integration among their various business systems compared to 15% in 2012.” • “44% of business respondents share plans to invest more in their customer systems in 2013, a 10% increase since 2012.” Research findings courtesy of: Industry Report: The State of Customer Data Integration in 2013 by Scribe Software 1 2
  • 15. Tech CEOs Buy More Weird Shoes, 90‟s Bands Thrive Executives get adventurous on footwear, not on music. Marc Benioff, Aaron Levie and others continue to rock gaudy shoes on camera while your favorite artists of the 90‟s find a home at technology conferences. • At the Dreamforce 2013 keynote, Salesforce CEO Marc Benioff sported a custom pair of Christian Louboutin sneakers (pictured right) called “Cloud Walkers.” • Aaron Levie on his sneaker choice: “Tigers and Pumas are the best shoes in the world. It should be mandate that everyone has to own a pair, and Zappos should get a Nobel Prize for awesomeness.” • Tech conferences in the past few years have included Green Day, Blink-182, Third Eye Blind and Matchbox Twenty amongst others. Research findings courtesy of: The Verge 1 3
  • 16. Amazon‟s „Mayday‟ Button Spurns Awesome Copycats The new Kindle Fire HDX raises the bar for tech support. Amazon‟s new „Mayday‟ button gives Kindle Fire HDX users live, visual tech support no matter where they are. • Users can “connect with a customer service representative via a video feed” where the rep can “then talk you through your problem, draw on your screen, or even take control of your device.” • “The 24/7 service comes free with the device, and Amazon said representatives should respond within 15 seconds of requests for support.” • “Amazon wants customers to feel like they are having human interaction without having to visit a physical store.” Research findings courtesy of: CNET 1 4
  • 17. What did we miss? Tell us at info@gainsight.com Happy 2014.