What is the market opportunity? What is the market size?

There are about 30 million industrial workers in Europe alone. Globally, around 100 million. With an average IT & software spending of 1.3K euro per worker per year, it's a 39 billion market just for Europe. By industrial workers we mean industry + logistics + construction.

How can the market be segmented into logical customer/user groupings?

Very roughly, market can be segmented into :

• Very Big Companies (1000+FTE) : slow buying cycles (9months+) but a lot of factories. They are very reluctant to change but starving for innovation. They make up about 20% of the total ;
• Mid Companies (200 to 1000 FTE) : somewhat faster buying cycles (6 months) and usually 1 to 3 factories. They are digitally illiterate but open to change and most importantly, return on investment. They make up about 60% of the total ;
• Small companies (10 to 200 FTE) : very hard to reach, have huge digitalization needs but usually low willingness to pay. They make up about 20% of the total.

What are the key sector trends that are inspire our success? What sector trends can inhibit our success?

1. Everyone is moving to the Cloud and to SaaS.

According to everyone from Gartner and strategyzers, ERP is slowly dying. ERP (SAS, Oracle, ...) made the unspoken promise for industrial companies to be always up to date and coherent across the board in their organizations. The promise failed, so everyone is moving to the Cloud, and moving to a SaaS-enabled IT suite.

2. Nobody has cash to implement in 24 months.

Traditional cycle of IT implementation are going to get heavily disrupted. Fast implementation will become a must-have. 3. Manufacturing reshoring is going to be massive

With the current production debacle, Europe will be massively reshoring production and manufacturing capabilities. We are going to be there to tool them, IT-wise.

What is the economic climate now and in the next couple of years? How will the economic climate

affect our organisation/service?

We are going through a deep recession which will last anything from 12 to 36 months. We are not affected as our solutions are simpler, cheaper than the alternative, and IT spending will keep very strong.