We're all techies now say enterprises

Three years on from the pandemic forcing businesses to digitize in a hurry, more and more enterprises now identify as 'tech companies.'

Research from product experience platform Pendo finds nearly 49 percent of 'traditional' enterprises in the UK now consider themselves as technology companies, and are adopting more 'tech-like' strategies, roles and tools to drive innovation and growth.

Based on a survey of more than 500 R&D leaders and senior leadership at large companies with 500+ employees outside of the IT, software and hardware industries, the study finds that despite 56 percent of those who consider themselves a technology company not even having a digital product or app live yet, the mindset focus and desire for the tech label shows these companies' strategic trajectory and the first step of widespread cultural change.

This shift shows in recruitment patterns too. In the last two years, there's been a strong focus on hiring data analytics roles, but companies are nowhere near filling their analytics teams fully -- almost half (44 percent) of product teams in traditional enterprises say data analytics roles are most needed. The even greater need is for product management and growth roles, which over half of respondents (51 percent) say are key hires to achieve their business goals.

"The lines are blurring between traditional and technology companies. While the pandemic certainly encouraged -- or in some cases, forced -- traditional enterprises to think more seriously about digital, it's evident from our research this trend is only continuing to grow and traditionally 'tech' strategies, tools and talent are driving this digital acceleration forward," says Spencer Earp, MD of EMEA at Pendo. "Digital product is no longer a nice-to-have but an increasingly essential source of revenue and an invaluable customer touchpoint whatever your business sells or does. Any enterprise looking to survive or even thrive during the downturn does well to do so by putting product at the front of their strategy and investing in the right tools and talent to strengthen both their business and their bottom line."

Product analytics tools rank highest among product teams in non-tech companies in terms of return on investment -- 75 percent that have already adopted these have seen a positive impact, with four in five valuing the ability to make informed decisions and 78 percent finding that product data and analytics are increasing efficiency when building digital products.

The jury is out on AI, however, product teams rank these tools as the least important in the UK and very few are leveraging AI/ML tools today. This is in contrast to the US which is more advanced in the excitement for and adoption of AI/ML tools, with 77 percent of US product teams already seeing these have a positive effect on their product development.

Interestingly, there is an expectations gap between senior leadership and R&D teams on-the-ground around AI skills too, with 51 percent of top enterprise leaders seeing these as important skills to realizing business goals versus just 26 percent of middle managers and contributors.

You can get the full report from the Pendo site.

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