Businesses Set To Increase Software Spending In 2025, Despite High Levels Of Purchase Regret
admin November 27, 2024 ArticleMore than half (59%) of global businesses regret at least one software purchase they made in past 18 months, new research revealed. According to the “2025 Tech Trends Report” — fielded by B2B software and services reviews platform Capterra — more than half of businesses with regretful software purchases describe the financial impact as “significant” or “monumental.”
Beyond financial consequences, 42% reported increased costs and 34% said their bad purchase led to a competitive disadvantage. Interestingly, despite those findings, 75% of organizations are planning to increase their software spending in 2025, with a significant focus on IT systems and artificial intelligence (AI).
“Software is integral to business operations, yet many organizations still struggle to make the right purchasing decisions,” said Brian Westfall, Principal Analyst at Capterra, in a statement. “With software spending set to increase in 2025, especially in AI and IT, businesses have an opportunity to refine their evaluation processes and make more informed choices.”
Other key trends from the report included:
An Oversaturated AI Market Is Complicating Software Purchases
Just under one-third (31%) of companies are prioritizing AI with software budgets in 2025. But with the number of AI software listings on Capterra nearly doubling in the past year alone, buyers are overwhelmed. All told, the number of buyers who said it’s difficult to assess the value and risk of generative AI tools has increased 70% year-over-year.
Software Regret Persists Due To Unclear Goals
Regretful buyers say the top changes they’d make with future purchases is clarifying goals and desired outcomes at the outset (36%) and ensuring alignment among stakeholders (32%).
Successful Software Purchases Are Made In The ‘Goldilocks Zone’
Delaying a purchase decision is unlikely to increase odds of success, as most successful buyers (57%) take 3 months or less to evaluate their software options, while most regretful buyers (54%) take 5 months or more.
Prior Software Experience & User Reviews Guide Successful Software Purchases
Successful buyers build their initial lists of options based on vendor reputation and product experience, while regretful buyers tend to prioritize ads and social media. In fact, successful buyers are 50% more likely to factor in previous product experience when putting together their initial lists.
Businesses That Take Advantage Of Product Trials See More Success
Free product trial periods offer companies the best opportunity to test out a product’s functionality and ease of use before purchase. Product trials go beyond demos, which are vendor-driven and generally limit businesses from getting to know product features specific to their needs on an intimate level. Successful buyers are 25% more likely to factor product trials in their final purchase decision than regretful buyers.
To unlock all the findings from the “2025 Tech Trends Report,” download the report now.
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