Easier. Faster. Smarter.
Those three goals capture the focus of a wealth of effort from businesses around the world. As we approach the end of 2023, most business leaders are balancing year-end execution with strategic planning to drive growth in 2024.
As the marketplace where businesses go to discover and purchase the software and services that underpin these strategies, G2’s Market Research team lives in the unique G2 data and insights we gather from real users.
We put these insights to work and developed a set of predictions to aid 2024 planning, spanning the taxonomy of 2,200+ B2B software and services categories on G2.
This year, our analysts focused on three macro technology trends that will shape how businesses bring those business strategies to life: Automation, Simplification, and Consolidation.
Throughout our history, humans have sought to automate work, dating back thousands of years to water wheels and mills to make flour. Automation isn’t new, but advances in generative AI, triggered by OpenAI’s release of ChatGPT 3.5 in November of 2022, completely changed the conversation about modern automation—and business leaders in every industry quickly took notice.
And with good reason.
A recent McKinsey report detailed the impact of 63 generative AI business use cases that could deliver a total value in the range of $2.6 trillion to $4.4 trillion in economic benefits annually, when applied across industries.
G2 predicts the impact of generative AI across the B2B software landscape will be profound.
Whether it be in sales, marketing, or other functions, business leaders seek to deliver transformative capabilities, but they don’t want to be bogged down by the complexity of stitching different software platforms together themselves.
G2’s 2023 Software Buyer Behavior study found that 82% of buyers stated it’s important that the software they purchase integrates with the tools they already have. However, 84% of buyers would prefer to purchase one tool to solve multiple business problems rather than multiple products.
Buyers prefer to work with fewer vendors—78% like to buy complimentary products from a single vendor.
To ensure they can remain nimble and fund new initiatives, business leaders are still seeking to consolidate and rationalize their tech stacks.
That same data highlights how businesses are approaching consolidation. But as Gainsight CEO Nick Mehta shared, “For #CustomerSuccess in single product companies, know that your clients are constantly wondering at senior levels if they can consolidate you into a larger existing vendor. Acknowledge this and be more proactive. CS is more important than ever.”
Here are our predictions for what lies ahead in B2B software and services in 2024, fueled and supported by G2 data:
In 2024, accounts payable (AP) software providers will prioritize automating the entire AP process for their customers, from receiving and capturing invoice data to approving and authorizing payments to vendors. - Nathan Calabrese
In 2024, AI assistants integrated into office suites will accelerate office application ROI by speeding up content creation and allowing more time for workers to focus on other tasks. - Marina Schlosser
Companies will invest more in employee engagement, team building, and other employee experience software in 2024 to simplify workers' lives and combat loneliness – a sapping force to employee wellness in an attempt to retain top performers and keep them productive. - Grace Savides
In 2024, sales tech will see further convergence of features to expand and centralize capabilities. This will provide a consolidated solution for sales execution and revenue intelligence. - Blue Bowen
In 2024, the event management software space will foresee a growing demand for automation and consolidation. - Alanna Iwuh
In 2024, we'll see more consolidation of marketing products in two forms—either the breakout of one-off solutions that can be individually purchased for efficiency's sake or single, more robust platforms that integrate with existing technology. - Victoria Blackwell
In 2024, smaller businesses (SMBs) customer service teams will experience a faster return on investment (ROI) from adopting generative AI solutions than mid-market and enterprise-sized businesses. SMBs willing to adopt these platforms into their tech stacks will experience less risk, faster financial return, and lower team resource consumption. - Jeffrey Lin
Economic factors and increasingly innovative threat actor tactics will drive optimization and consolidation of security investments in 2024. - Chase Cunningham
In a quest to simplify the software development process in 2024, many development teams will adopt web framework tools. - Michael Pigott
Security solutions will protect organizations through human behavior, not AI capabilities, in 2024. - Brandon Summers-Miller
By 2025, more than 50% of cloud solutions will have automation capabilities to enhance simplicity and usability, as vendors that prioritize these attributes in addressing enterprise challenges will outpace their competitors. - Rachana Hasyagar
Generative AI will help users learn how to use AIOps software, increase user adoption, and reduce system complexity. G2 expects at least 80% of AIOps software vendors to integrate generative AI by 2024. - Tian Lin
In 2024, some software vendors will realize that the AI they are incorporating into their solutions isn’t making a tremendous difference – and we will see the less-than-useful AI disappear and the helpful AI stay. - Matthew Miller
In 2024, businesses of all sizes will use generative artificial intelligence (GAI), but enterprise adoption will lag other segments. GAI will be mainly used for content creation and not complex operations like manufacturing or supply chain. - Gabriel Gheorghiu
2024 will be the year of widespread, formal AI adoption among software development teams. - Adam Crivello
In 2024, data fabric platforms will reduce human intervention in data management processes, with consolidation and automation occurring in this market in the next year and beyond. - Shalaka Joshi
In 2024, with hybrid work here to stay, automation between applications will play a critical role in reducing low-value work and overcoming challenges related to app sprawl. - Brianna Bajwa
In 2024, digital experience platforms (DXP) will focus on expanding their range of third-party integrations rather than on consolidation. - Priya Patel
In 2024, G2 predicts a growth in the integration of computer-aided design (CAD) software with configure, price, quote (CPQ) solutions to automate the creation of CAD drawings, allowing users to configure digital models of products based on customer specifications. - Anindita Sengupta
In 2024, AI-powered personalization, or hyper-personalization, will outstrip traditional personalization in e-commerce. Software vendors will actively incorporate AI into personalization software to unlock growth potential for brands and retailers. - Subhransu Sahu
In 2024, there will be an uptick in educational users of generative AI on a regional scale, particularly in the AMER region. - JaKayla Lathon
In 2024, healthcare organizations that make smart investments in AI-powered solutions will see improved ROI. - Dominick Duda
In 2024, B2B software buyers will prioritize breadth over depth when selecting ecosystem service providers. - Cody White
Looking to stay ahead of the curve in the tech industry? G2's 2024 Technology Trends series has got you covered.
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