Cloud computing which is often termed as cloud “is basically the delivery of computing service including servers, storage, databases, backup, SaaS, networking, software, analytics and more over the Internet for individuals and organizations.
Different Companies are offering these computing services and we called them “cloud providers” they usually charge for cloud computing services based upon the intensity of usage, just like how you are billed for electricity or water at your home.
According to a Gartner study, in future several firms will lose their market positions due to the lack of digital competence – but understanding the future of technology and trends will turn it right.
As the face of cloud and IT is going to transform quickly in the next five years, and the enterprise have to take actions accordingly to continue and maintain their market positions in the future.
These trends are going to shape what cloud computing solutions in coming years, enterprises selection and how they develop their cloud strategies.
The enterprises are using a variety of on-premises, off-premises and hybrid cloud solutions. It is relatively new industry; but the popularity of cloud is rising every year.
There are a number of key themes which will outline the face of cloud by 2020.
Cloud turn out to be the platform for the next transition:
As an alternative of being the “end state” and on-premise solution for business services and operations, the cloud will change into the “new place to begin,” and will become a lesser of about technology and more about business revolution.
The face of cloud is predictable to revolutionize into a hybrid IT solution which will be conveyed as a service for conventional IT, private, public and hybrid cloud solutions, as a result, end users would act more like service providers.
According to reports, cloud technology will ultimately become a supple, scalable and cost-effective platform for businesses of next generation based on mobile, social and Big Data.
By the time, 75% of IT organizations will have a bimodel capability:
As companies adopt cloud computing, they will be going to face a problem that how to manage the operations and “be flexible while trying to innovate.” In other words, in an attempt to be flexible and to deliver a variety of products and services, businesses will focus on two speeds; with cloud technology to innovate at the same time upholding a price-for-performance strategy to keep their target consumers and customers happy.
The importance of digital skills with respect to market position
A number of organizations will lose their market position due to lack of Digital business skill by 2017.
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According to a Gartner analyst, every company in the world is in “some way an IT company” but at the time of expanding cloud products and services, firms should keep in mind that their main the focus should be on business. But, Bova (Gartner analyst) thinks many within the enterprise are intended to make a mess of this, and will lose their market positions in the next few years as a result.
The (IoT) will be the driving force behind business and technological change:
In upcoming days the driving force behind the cloud computing would be (IoT) Internet of Things (which is actually the concept behind connected devices and networks).It is predictable that IoT will drive forward cloud computing in the next five years.
However, it is pertinent to mention here that companies must remember that data for data’s sake doesn’t achieve any extra – and accordingly adopting cloud technology must come to pass with deep analysis and refinement of business practices and plans.
Focus on target customer rather than the Technology:
In this era, although Technology is significant factor behind the successful cloud business and enterprise but the disruptive thing in the cloud market today is not actually “technology” but rather it is the “customers”.
Due to the Internet and mobile technology the level of consumers’ power and bargaining level goes beyond e-commerce. More or often, consumers will have direct approach to the products they want without any third person before contacting vendors.
That’s why corporations can’t own a buyer’s journey as they used to, although they can manage it to some extent but not have fully control. Keeping this scenario in mind, cloud service providers must perk up the customer experience and try to find out new ways to retain their user pool.
Competitive forces model suggest that now success is slowly moving from products to customer experience innovations. And according to experts of business and cloud computing “experience economy” will drive companies forward in the upcoming days.
Customers will more focus upon experience, value in return of cost rather than sales pitches and price. Now days, the Customer purchase decisions are based upon the brand value or the promise of what products and services can do.
Thus enterprise really needs to create a connection between business and consumer to maintain revenue generation and to build strong relationship with target customers. And for this businesses need to have database to store the data of their customers with the help of cloud computing.
Trust and strong lines of communication:
These two things are important for any kind of business in the world, but when we talk about online services “trust factor” is really important. People need more security, confidence rather than conventional approaches.
So, strong communication line and trust between business and consumer can pave the path for cloud firms to maximize the value of existing investments.
Although the fundamentals of sales tactics are based in the 1800’s, but for expansion and growth of cloud companies, they must get rid of old tradition and must invest in latest training, commission plans and managerial structures.
CLOUD COMPUTING ADOPTION
According to a recent survey of Forrester Research, following are the statistics of cloud computing adoption:
38% of enterprises are building private cloud solutions
32% are also adopting public cloud services
59% are adopting a hybrid cloud solution
Forrester also revealed that adoption rate is increasing as the enterprises need extra flexibility and capabilities to balance the changing customer demands. Thus Cloud computing solutions are the means to achieve their goals.
I have only touched the surface of what the ecosystem of cloud computing will deliver in the future. Now, it is up to business leaders to recognize the impact of market forces and business model upon sales strategies in the future.”
In future enterprises need to invest in what we called “evolving needs and wants of customer demand. To adopt a differentiation strategy, focus on “how cloud solutions are packaged up to the consumer experience” and customization. These strategies will certainly settle on a company’s future market position.