If there would be an era in the history of humanity where the software would become a necessity for every business, the era is now. In the wake of a pandemic-stricken world where we are learning to reset our priorities and ways of living, businesses must not only survive but thrive. And this thriving is enabled efficiently through digitization and software development outsourcing.
When software is outsourced to a third party, businesses can focus on growth, aggressive marketing and long-term strategies. Besides, the technologies enabled through software outsourcing aid in automation and faster deliveries.
Almost every sector today needs IT outsourcing services. However, there are six industries in particular, for whom software development outsourcing has become more urgent and pressing.
# 1 Retail
In 2019, many retail apparel brands including Forever 21, Barneys New York, Charlotte Russe and Gymboree had filed for bankruptcies due to being oversaturated and overstored. After the pandemic hit, the retail industry was forced to re-prioritize and shift a major part of their business and sales to online. That’s because a large part of the population was staying home that changed their priorities from travel, clothes, cafes, parties and clubbing to wellness.
However, amid the bankruptcies that prevailed in 2020 among brick-and-mortar focussed retail companies, two retail examples set the pathway for the entire industry. US-based Wayfair and Chewy were two retail companies that were earlier struggling to reach profitability due to mounting marketing costs. But they posted record results since the pandemic began. In fact, since 2014, Wayfair reported two consecutive quarters of profits benefiting from a surge in its online customers.
Chewy, on the other hand, posted “record” net sales while also taking its net customer count to 17.8 million. This happened because both the companies tapped into customer acquisition through software.
How has software development outsourcing transformed retail?
- Contactless payment apps and digital wallets such as Apple Pay, Google Pay etc.
- AI-powered analytics that suggest about customers’ buying habits and trends
- Voice shopping with assistants like Alexa or Siri.
- Augmented Reality (AR software) allows customers to virtually try on spectacles, clothes, shoes, hairstyles or try out furniture etc.
- Customized retail stores to enable better customer experience
The above technologies and advantages are made possible through software outsourcing where retail companies can hire a software expert third party equipped in building apps.
# 2 E-commerce
Software is the heart of the e-commerce industry. However, e-commerce retailers suffer from challenges such as site crashes, late deliveries or faulty discount codes.
An important e-commerce challenge
User experience (UX) is everything for an eCommerce business. A vital part of UX in this scenario is payment checkout. Domestic and international payments remain one of the biggest challenges for an e-commerce retailer due to different currency integrations, banks/credit and debit cards, payment gateway integrations and payments routed through devices and borders. When these integrations are outsourced to an IT company, such a company is able to ensure smoother payment checkout. In scenarios where one payment mode fails, the software enables a second route without having the customer to experience any disruption.
This is why e-commerce retailers especially need a software outsourcing company that would handle/automate the backend and customer support. Several businesses are ‘online only’ and they are in constant need of software that would enable website visitor tracking, analytics of consumer behaviour, enable seamless logistics services, shopping cart checkouts etc.
How has software development outsourcing transformed e-commerce?
- Online shopping, cart management, smooth checkouts etc.
- Inventory management
- Warehousing technology implementation
- CRM and sales management software
- Delivery/need fulfillment
- AI-enabled analytics to track visitor behaviour, reduce bounce rates etc.
- Customer support
- Augmented Reality (AR software) to give customers a physical experience of trying out products online
- Enabling payment gateways such as Razorpay, Amazonpay, Stripe, PayPal, Payza etc.
E-commerce IT outsourcing enables companies to save up to 85% upfront costs. A company is better off by outsourcing key e-commerce software needs that save them a lot of time, energy and resources that could be utilized towards marketing and more productive activities. The good news is more and more customers are now spending more time online, this can be a great opportunity for e-commerce retailers and online marketplaces as well as entrepreneurs to leverage software and delight their customers.
# 3 Healthcare
Being one of the most pivotal industries in the world, the healthcare sector manages enormous amounts of patient data, laboratory results and reports. This is why healthcare is fast becoming automated in order to deliver faster and more efficient services. Software outsourcing services have, to a great extent, made the lives of hospitals, clinics and healthcare providers easier through innovative software for management and operations.
In the first quarter of 2020 itself, the number of telehealth visits had increased by 50% in the United States [Source]. In fact, a report states that 69% of patients using telemedicine platforms were treated at home. Due to Covid-19, healthcare workers became frontline warriors battling the pandemic first hand. Around the world, the software has helped them manage data, reports and equipment efficiently.
How has software development outsourcing transformed healthcare?
- Telemedicine for catering to remote patients and contactless diagnosis
- Cloud-based Electronic Health Record (EHR) systems
- On-premise and cloud medical solutions
- Practice management software for physicians to see more patients
- Ambulatory software
- AI-enabled analytics for patient history
With ever new zoonotic viruses attacking our planet, the healthcare sector needs trustworthy offshore outsourcing that would operate with 100% confidentiality and data protection technology.
# 4 Edtech
Edtech platforms need to manage student subscriptions, online classrooms, learning tools, questions and quizzes, student-tracking systems, evaluation tools among other things. Roughly 95% of educational institutions worldwide were forced to switch to online education in 2020. Even before the pandemic, the Edtech industry was poised to grow due to a large part of the working population trying to upgrade skills by taking online weekend classes.
Software outsourcing further aids the Edtech industry in a variety of ways. Apart from virtual classrooms, there are e-learning applications that enable Edtech industries towards the teaching and evaluation of skills.
How has software development outsourcing transformed Edtech?
- Subscription-based E-learning platforms
- Technical support during online classrooms
- Cataloging of educational content and its accessibility
- Augmented Reality (AR software) supplements to engage students more deeply
- Machine Learning (ML) and Artificial Intelligence (AI)-driven assessments, group and individual analysis, lab experimentation etc.
- Multiple subscription packages
- Integration of learning tools and evaluation tools such as quizzes, question paper, answer keys
- Student-centered tracking system for managing classes and tests
Software outsourcing in the Edtech sector enables companies for customer support, live chat support apart from building web and mobile applications to enable learning. Famous Edtech platforms that have benefited from IT software outsourcing are Udemy, Coursera, Teachable, UpGrad etc.
# 5 Travel
The travel industry took a beating in 2020 for the most obvious reasons. However, people are now back at the airports, working from remote locales and exploring places. The travel industry almost entirely depends on customized software services because the visibility of any travel destination, resort, hotel or amusement park depends on its online presence. Travel agencies need to manage travel information, itineraries and search options for their customers. Also, there are many apps today that aid travelers to organize their own itineraries, accommodation and transport.
How has software development outsourcing transformed travel?
- Online itinerary builders for travelers
- Travel blogs, magazines that inform people about destinations, ways to travel, reach and tourist information
- Hotel and flight booking websites, apps and functionality
- Minimized order processing cost
- Controlled maintenance cost
- Greater visibility due to online apps
- Augmented Reality (AR) based apps that allow customers to visit places virtually before deciding to physically go there
Millennials and Gen-Zs today are travel-savvy who demand instant support, information and booking. In such a competitive scenario, travel software outsourcing can help businesses thrive. There’s enough room in the travel industry for striking gold as long as the services are seamless. Travel portals can substantially increase their sales and revenue through software outsourcing.
# 6 Crowdfunding
Most crowdfunding platforms are Internet-only and they need features of an e-commerce portal in order to function credibly. Crowdfunding is the new-age way of sourcing funds for charitable and business projects from people through an online portal or a platform.
Today, investors also look out for startup ideas on crowdfunding platforms for staking their investments. Crowdfunding platforms need to be scalable and customizable as needs and projects keep changing.
How has software development outsourcing transformed crowdfunding?
- Domain-based crowdfunding apps and portals
- Donation-based or equity-based crowdfunding software
- Donor support, reports and history of donation
- Payment gateway integrations
- Multilayer platforms with technical support
- Multi-currency support
Security features and seamless payment gateway integration are two key drivers of a thriving crowdfunding platform. When outsourced to a software company, the crowdfunding platform owner is able to focus on increasing reach and funds.
IT software equips businesses across industry verticals to accelerate sales and revenue. Software automates mundane tasks and helps in managing sales and growth better.
If you are looking to future-proof your business through smart software in any of the above industries or any other industry, do feel free to contact us.