IT spending by Western European retailers and wholesalers to grow at 4.3% a year

IDC foresees a CAGR over the forecast period 2005?2009 of 4.3% in the Western European retail/wholesale industry, to reach an overall market value of approximately $40 bln in 2009. The research company expects the retail segment to register better IT spending growth compared to the wholesale segment, as retail is expected to have a CAGR of 5.1% (a 0.4% increase from May) and wholesale a CAGR of 3.2% over the forecast period. Software continues to be the fastest growing segment overall and is expected to account for a larger share of IT spending compared to the May forecast. IDC anticipates a CAGR for software spending in retail of 6.6% and in wholesale of 4.5% for the period 2005?2009. IDC foresees IT services spending achieving a CAGR of 5.7% in retail and 3.8% in wholesale over the forecast period, with greater opportunities arising for operational services. Hardware is still expected to show the slowest growth over the forecast period, with a CAGR of 2.7% in retail and 0.8% in wholesale.