Surge in demand for managed services driving European Communications Sector sales

  • 67.5% of resellers now offering managed service solutions
  • Fragmented market and political/economic threats such as Brexit could undermine future growth

[London – 1 June 2016] The increasing popularity of managed service delivery models is fuelling European Communications Reseller sales of data and communications networks and everything from security to mobility and videoconferencing solutions with 67.5% of resellers now offering managed service solutions. Yet the market remains highly regionalised and fragmented with 95.2% of communication resellers providing solutions only within their own or neighbouring countries. These are amongst the trends emerging from European Communication Resellers – the Top 750, a new database report from IT Europa which is published today.

The European Communication Resellers – the Top 750 report provides detailed profiles of the leading 750 European Communication Resellers across 36 countries. Between them the companies post sales of €25.39 billion ($26.88 billion) and employ 122,742. In terms of activities, 88% of companies are providing Data Communications/Networks solutions; 84% are providing Telephony/VoIP; 66% providing Security solutions; 61% are offering Mobility; and 57% are providing Video Communications/ Videoconferencing. Sales operations span a number of vertical market sectors the most common being the Public Sector (44.7%), Bank/Finance/Insurance (37.5%) and Manufacturing/Industry Vertical Market (33.3%).

The largest geographic markets covered in terms of companies profiled within the report are: UK (251 companies), Germany (51), Netherlands (51), Russian Federation (41), France (38), Spain (37), Italy (31), Switzerland (28), Turkey (24), Poland (23) and Sweden (23).

“It is good to see the European communication reseller community grasping the managed services opportunity, but there are several other challenges that will need to be addressed for the sector to achieve its full potential,” says Alan Norman, Managing Director of IT Europa. “A lack of standards in such growth areas as IoT (the Internet of Things) and national differences in terms of regulations will limit the potential for pan European growth. While recent agreements in areas such as roaming charges should help, these gains could be very swiftly undermined by potential political/economic events – for example Brexit.”

The European Communication Resellers – the Top 750 database report spans 36 countries and represents the most detailed view available of this key market sector. It has been compiled from detailed interviews by IT Europa’s own research team. The company profiles include sales figures for each company in local currency and US dollars; contact details for key executives, hardware, software, database and programming languages supported; horizontal and vertical markets addressed, ownership details and company overview. The report is available from IT Europa (www.iteuropa.com) costing from £2,550. Data can also be extracted and supplied by country, region or on a bespoke basis.