ITASCA, Ill., Nov. 16, 2023 (GLOBE NEWSWIRE) — Revenera, maker of leading solutions that help technology companies build better products, accelerate time to value and monetize what matters, today released Revenera Monetization Monitor: Software Piracy and Compliance 2023 report. This report, part of an annual series in its fifth year, examines trends in unlicensed use of software. It illustrates opportunities for software vendors to strengthen their license compliance initiatives to minimize software piracy, overuse and abuse.
“Profitability and stable growth are important characteristics of a well-run software company. By fleeing to SaaS and modern business models, many vendors are missing out on significant revenue opportunities from piracy, overuse and abuse. Those who have and act on insights into unlicensed use often have better growth rates to report and more funds available to ignite innovation and new offerings,” said Nicole Segerer, SVP and General Manager at Revenera. “Many suppliers are still not even aware of how much revenue is being lost. These gaps must be closed with effective rights management and software license compliance initiatives.”
Highlights from Revenera Monetization Monitor: Software Piracy and Compliance 2023 the report includes:
- Piracy is the number one software license compliance issue that contributes to revenue leakage.
- 40 percent of respondents cite piracy as a major problem, 26 percent cite overuse as a major problem, and 30 percent cite abuse as a major problem in 2023. 37 percent also cite the more recognized challenge of customer churn as a major problem, highlighting the missed revenue opportunities for vendors who ignore piracy.
- Many suppliers are unaware of the prevalence of revenue leakage: On average, 15 percent do not know how much revenue is lost due to piracy, overuse or abuse.
- Among those who are aware of the prevalence of revenue leakage in their organizations, the losses are significant: Nearly 10 percent report that piracy, overuse and abuse are responsible for losses of more than 30 percent of revenue.
- Clarity on software piracy, overuse and abuse is necessary for monetization.
- More than 1 in 5 (21 percent) are unaware of how they are losing revenue due to piracy, overuse or abuse. Among those aware, anecdotal reports from the sales/support organization are used by 52 percent, audit programs are used by 50 percent, whistleblower reports are used by 36 percent, and telemetry/phone home data is used by 34 percent.
- More than a third of respondents (37 percent) plan to change monetization models to tighten enforcement/compliance to help eliminate revenue leakage.
- There are significant new licensing revenue opportunities for software vendors. Aggregated data from Revenera’s Compliance Intelligence clients used to create the Top 20 list of piracy and license compliance hotspots reveals a $16.2 billion revenue opportunity in countries with strong IP laws and a track record of successful license compliance programs.
Methodology
Revenera conducted 2023 Revenera Monetization Monitor Software Industry Survey from March to July 2023. The job levels of the 454 survey respondents were C-level/director (16 percent), SVP/VP (13 percent), director (34 percent), manager/team leader (27 percent), and individual contributors/consultants (10 percent). This report, the third in Revenera Monetization Monitor 2023 series, focuses on software piracy and compliance; it also incorporates aggregated data collected from Revenera’s Compliance Intelligence clients. The first report focused on software monetization models and strategies; the other focused on software usage analysis.
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About Revenera
Revenera helps product managers build better products, accelerate time to value, and monetize what matters. Revenera’s industry-leading solutions help software and technology companies drive top-line revenue with modern software monetization, understand usage and compliance with software usage analytics, empower open source usage with software composition analytics, and deliver an outstanding user experience – for embedded, on-premises, cloud and SaaS products. Visit www.revenera.com to learn more.
