Marketers In Latin America Need Competitive Prices for Unified Communications To Penetrate SMBs

The increase in usage of connected devices in Latin America has led to a rise in competitively-priced custom solutions that will draw the proliferation of the small- and medium-sized business user sector.

In 2015, Latin America will be home to more than one billion Internet-connected devices, so the demand for content management and complex systems that support voice, data, and video traffic will rapidly increase.

Together with this explosion in number of connected devices, the increase in SMBs and better brand awareness to users, due to benefits from unified communications and collaboration solutions, will lead to more opportunities for participants in the Latin American market.

New research and analysis from Frost & Sullivan reveals high demand for onsite unified communications, even with rising competition from UC providers that use cloud-based systems.

Titled The Latin American Unified Communications and Collaboration Solutions Market, the study finds that the market earned $1.01 billion in revenues in 2012 and current expectations will see it reach up to $1.83 billion in 2019, and market growth estimates will peak at 10.1 percent from 2017 to 2018.

Workers and employees of organizations across all industries anticipate more ways and means and supported types of content for communication within the workplace, especially due to the increase in smartphone and tablet use, encouraging businesses to implement sophisticated unified communications and collaboration solutions.

Other than providing employees with the tools they need, the increase in productivity after the deployment creates a persuasive reason for companies to invest in these advanced communications systems.

Francisco Rizzo, Information and Communication Technologies research analyst at Frost & Sullivan, said market participants deviate from niche sectors to provide a broad range of unified communications and collaboration solutions, so the potential for the Latin American market will continue to expand.

He added that determining licensing options according to user types – desktop or mobile – has developed higher value for companies and driven market revenues.

Nevertheless, without the sufficient infrastructure to match higher bandwidth requirements of the online users in the market, the reliability and quality of UC solutions will suffer.

Even though Internet service providers continue to create and design efficient solutions that require less bandwidth, the current systems and solutions are limited to the public network provided by the ISPs.

In addition, the increase in free alternative solutions will make it harder for ISPs to gain traction in the budget-conscious SMB sector, and the highly taxed imported goods limit development in the Latin American market.

Rizzo said marketers in Latin America have to offer competitive but reasonably priced high-quality solutions customized for SMBs to gain approval from companies with limited budgets.

Cloud-based models with lesser hardware will facilitate market expansion, he added.


Featured image: Dell’s Official Flickr Page / Flickr

Author: Francis Rey Balolong

A coffee junkie who spends most of his time writing about the latest news on social media and mobile technology. I would definitely consider myself a nerd (in the coolest most hipster way possible). That being said, I love technology, music, writing, and all things mobile.

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