Press Release 012611
New MIDIOR Consulting Research Study Finds Financial Services Lags Technology Sector in Focus on New Products

Cambridge, MA – January 26, 2011 – A new research study released today by MIDIOR Consulting presents a snapshot of product development and product management practices in financial services and technology companies. The study highlights how product organizations prioritize investment, allocate resources across development and commercialization activities and track and measure performance. Participants in the study were senior executives with global responsibility for products and services in mid-to-large sized financial services and technology companies. Among the findings:
  • Technology companies put greater focus on new product development while financial services firms prioritize extending and maintaining existing products.
  • The majority of participants rely on internally developed technology for new product development (70% in financial services; 60% in technology). Less than 15% use a partnering model or acquire technology from external sources to develop new products.
  • Understanding the market is identified as an under-resourced activity. Although 78% of participants rank market research as a priority, most report that not enough time is spent on this effort.
  • 70% of product teams use social media to gather exchange and share information. LinkedIn is the most frequently used application.
  • According to Susan Loconto Penta, Partner and Co-Founder at MIDIOR, “Our second annual benchmark study finds that technology and financial services firms are more alike than they are different with respect to product development and product management. However, the lower priority placed on new product development in the financial services industry makes us question how well companies are positioned to rebound from the current economic challenges.
About MIDIOR Consulting
MIDIOR is a professional services firm delivering value for clients by unleashing the power of their products and platforms. MIDIOR supports product and platform teams through insight and analysis, product development and management expertise, and technology and data services. Our integrity, candor and diligence set the standard for service delivery and our deep respect for people, complemented by our dedication to the community, are woven into the fabric of our culture.

Media Contact: Rachael Mindich
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