1. Capability Creativity Maturity 14 September 2011 Sofia, Bulgaria Bulgarian Association of Software Companies (BASSCOM) Bulgarian IT Industry Barometer 2011

2. www.basscom.org www.basscom.eu Introduction Participants Financial Statistics Human Resources Forecasts Contents

3. www.basscom.org www.basscom.eu Overview Bulgarian IT Industry Barometer 2011 Third edition of the Bulgarian IT Industry Barometer Provides statistics for the period 2008-2010, and forecasts for 2011 Conducted by GOPA Consultants, Germany for the Bulgarian Association of Software Companies (BASSCOM) Survey conducted in the period March – May 2011 Participants: 38 BASSCOM and Bulgarian Web Association (WBA) member companies

4. www.basscom.org www.basscom.eu Introduction Participants Financial Statistics Human Resources Forecasts Contents

5. www.basscom.org www.basscom.eu Participants Barometer participants represent ~1/3 of the Bulgarian software industry *Data provided by the Bulgarian National Statistics Institute (NSI) for sector Software development (code 62.01) for 2009 ** Data provided by Barometer participants for 2009

6. www.basscom.org www.basscom.eu Participants by Stakeholder 74% of the companies have a majority of Bulgarian ownership 13% of the companies have stakeholder control outside Bulgaria The same number of companies (13%) work only for their parent company

7. www.basscom.org www.basscom.eu Introduction Participants Financial Statistics Human Resources Forecasts Contents

8. www.basscom.org www.basscom.eu Average Sales Average sales per company (BGN 000’s): 2.6% increase between 2008 and 2009 5.3% increase from 2009 to 2010

9. www.basscom.org www.basscom.eu Average Profit Average net profit per company (BGN 000’s): 3%-increase from 2009 to 2010

10. www.basscom.org www.basscom.eu Export Export (% of Total Sales) ~ 50% of total sales come from exports Distribution between Domestic market and Export is rather stable through the years

11. www.basscom.org www.basscom.eu Export Destinations Export destinations (% of exports): Approx. 60% to Europe (declining) Approx. 35% to North America (increasing)

12. www.basscom.org www.basscom.eu Export by Product/Service Export Product/Service (% of exports): Increasing share of software product exports indicates a mature IT industry

13. www.basscom.org www.basscom.eu Introduction Participants Financial Statistics Human Resources Forecasts Contents

14. www.basscom.org www.basscom.eu Number of Employees Number of employees NSI – data provide by the National Statistics Institute for sector Software development (code 62.01). No data for 2010. Barometer respondents – number of employees remains unchanged from 2009 to 2010.

15. www.basscom.org www.basscom.eu Salary Change Average monthly salaries change (%) : +5.9% (2009/08), +2.3% (2010/09), and +8.1% total

16. www.basscom.org www.basscom.eu Introduction Participants Financial Statistics Human Resources Forecasts Contents

17. www.basscom.org www.basscom.eu Sales Projections 2011 Sales projections - expected change in 2011 compared to 2010 (% of respondents) Overall positive expectation for sales (domestic market and exports): 81% of companies expect growth in total sales for 2011 Most (54%) expect a moderate increase of up to 15%

18. www.basscom.org www.basscom.eu Employee Projections 2011 Expected change in number of employees for 2011 compared to 2010 (% of respondents) Majority (70%) expect an increase in the number of employees: Most (44%) forecast an increase of up to 10%

19. www.basscom.org www.basscom.eu Salary Projections 2011 Change in average salaries in 2011 compared to 2010 (% of respondents) IT Specialists 87% of companies expect an increase in the salaries of IT Specialists, ¾ forecast increase up to 10% Non-IT professions: companies expect less change NO company expects decrease of salaries.

20. www.basscom.org www.basscom.eu Expected Impact of External Factors Most influential factors: Economic situation, both global and domestic HR Market

21. Capability Creativity Maturity Georgi Zahariev Board Member, BASSCOM Thank you for the attention!