OnForce Services Marketplace Index Shows IT Repair Services on the Rise
In a troubled economy, consumers and businesses are spending less on new equipment and opting to “fix it first.”
By Cara Oxendine††
Lexington, Mass.-based OnForce, a provider of information technology (IT) and consumer electronic (CE) services, released its Q1 2009 comprehensive analyses of approximately 70,000 service events reported since Q4 2008. †
The report shows a 10 percent increase in total work order volume year over year and a trend toward a “break-fix” policy, meaning businesses and consumers opt to repair old equipment rather than purchase new, low-cost IT and CE equipment. The “break-fix” sector grew significantly, increasing from 59 percent in Q4 2008 to 63 percent of total work orders in Q1 2009.
“Our marketplace index gives us a unique view into the current and future IT and CE landscape, and we’re seeing businesses and consumers continue to look for innovative ways to save money during these challenging times,” says Peter Cannone, CEO of OnForce.
Companies are cutting expenses by conducting meetings via video conferencing and are, in turn, making larger investments in projector technology. Outsourcing IT service and joining online networking and marketing communities is another way companies are looking to cut costs. †
TV and video services, along with desktop computers and network services, were reported among the highest volume service categories, and Point of Sale (POS) services dropped 50 percent.
The report says VARs continue to test competitive pricing but face a 20†percent year-to-year decline in average work order price. It cites California, Texas, Illinois, and Florida as the largest onsite service economies, and Chicago, Houston, and New York as the busiest.
OnForce is a network of more than 12,000 onsite service providers connecting service demand with local supply through one online marketplace. It also provides onsite support services like rollout, installations, training, and repairs.
