The overall average for all industries is 3.28 percent (figure 1). An analysis of data collected for Deloitte’s 2016–2017 Global CIO Survey shows that technology spending as a percentage of revenue ranges from more than 7 percent in banking and securities to less than 2 percent in construction and manufacturing. IT costs vs. revenues. Digital economy is estimated to reach Rs 69,89,000 crore (US$ 1 trillion) by 2025. For electronics and scientific equipment, this ticks up to 1%. Investment levels can vary from sector to sector within the same industry. Average IT budgets vary from year to year, and are affected by things like industry, company size, and overall revenue. (In millions, except percentages) 2019: 2018: 2017: Percentage Change 2019 Versus 2018: Percentage Change 2018 Versus 2017: Research and development $ 16,876 $ 14,726 $ 13,037: 15%: 13%: As a percent of revenue: 13%: 13%: 13%: 0ppt: 0ppt IT Spending on the Rise. Of the 20 largest R&D spending industries in the world, the pharmaceutical industry makes up nearly half the list. Tech companies are the biggest spenders by this measure, allocating 13.8 percent of revenue to marketing compared with consumer packaged goods companies (10.9 percent). As of August 2020, the research consultancy IDC was projecting global revenue of $4.8 trillion for the year, compared to their original estimate of $5.2 trillion. This indicator is measured in terms of thousand USD per capita, and as percentage of GDP. General government spending provides an indication of the size of government across countries. Growth in retail spend is slowing amid Brexit concerns and an ever-challenging retail environment. Midsized companies spend $13,100 per employee on IT. Allocations within the marketing budget vary from company … The U.S. Small Business Administration advises that small businesses with revenue of less than $5 million should spend between 7 and 8 percent on marketing as a general rule. In considering IT spending as a percentage of revenue, the first important principle is that this metric varies greatly by industry. The fiscal year 2019 federal budget outlines U.S. government revenue and spending from October 1, 2018, through September 30, 2019. October 15, 2019 Kim Weins @flexera Subscribe. Total military spending Stockholm International Peace Research Institute (SIPRI) 2019 fact sheet. 2019 and 2020 are all about digital transformation.As in years past, global IT spending is expected to continue to grow in 2019, increasing 3.2 percent to over $3.8 trillion as enterprise software, cloud, and digital transformation projects boost growth. As of 2019, many of the largest pharmaceutical firms spend nearly 20% on R&D. Tell it to the CEO. We can see this in budget percentage statistics for 2019: Source: Computer Economics IT Spending and Staffing Benchmarks study 2019/2020 Overall, healthcare providers spend $40 billion annually on IT programs; Clinical healthcare IT spending alone reached $15.6 billion in 2014 This number increased by $1.5 billion compared to 2013. As shown in Figure 1, IT spending as a percentage of revenue in the financial services industry ranges between 4.4% at the 25th percentile to 11.4% at the 75th percentile. Financial services organizations also showed higher than average spend at 10 percent of revenue. Construction and real estate double this for 2%. However, as a percentage of total spend, hardware budget allocations get smaller as company sizes increase and managed service budget allocations get larger. Budget studies by Gartner and others can point you in the right direction for general guidelines. 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