ISOTECH Vendors Aren’t Worried by Recession
“Recession? What recession?” This seemed to be the attitude of many of the show floor vendors who attended the recent ISOTECH insurance technology conference in Las Vegas, where displays of wealth are certainly not uncommon.
As I roamed the exhibit area at this annual tech gathering, I informally asked many of the exhibiting companies how the recession was affecting their businesses. To my surprise, most of those I spoke with told me that the economic slowdown has had very little effect on their bottom lines–at least so far.
One veteran insurance tech salesman told me, “I have more orders than ever.” Other firms said there has been no slowdown in the pace of business for them within the insurance industry. “Insurers still need software,” said another salesman. Indeed, since some software programs claim to provide cost savings for their users, it shouldn’t be surprising that carriers and others in the insurance value chain would continue to purchase, maintain and update such programs.
It also occurred to me, however, that these vendors probably would not want to tell a reporter–even if it was “off the record”–that their business was off. On the other hand, many of those I spoke to had no clue that I was part of the “media,” despite the visible evidence of my badge.
Undoubtedly, some I spoke to were not completely forthcoming in their statements about the economy’s effects on their companies. Even if they thought I was a customer, rather than a reporter, they would not be likely to admit that business was slowing. Still, based on the almost unanimous response, I have to think that, overall, our tech vendors are not yet feeling the squeeze that is all-too-evident to many on Main Street.
About the only vendors who admitted to any slackening of business were a couple of systems integrators. Those folks indicated that companies were putting a hold on some time-limited projects until they could take stock of the economic impact. Even these people, however, said business was not taking a nosedive.
Perhaps in another six months, the story may be different. Insurance as an industry does tend to lag behind business trends, especially those involving technology. For the moment, however, it seems that life as an insurance tech vendor is good.
What are you hearing? What’s the buzz at your own company? Share your thoughts here!
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