A Positive Close to 2023, Despite the Forecasts

2023 began with not very promising predictions, due to the economic challenges generated by geopolitical tensions, the rise in fuel prices, as well as interruptions caused by the rise of prices in the supply chain against a scenario of business uncertainty. 

For Mexico, the International Monetary Fund revealed, among their main concerns, the climbing cost of living for most of the population. The organization estimated a rise of 1.2%, a level that is still extremely low for a post-pandemic recovery.

However, as the year went by, the forecasts improved. For the second half of 2023, the Organization for Economic Cooperation and Development (OECD) showed better expectations for gross domestic product (GDP). In November, the organization elevated its projection of economic growth for Mexico to 3.4% for 2023, a 10th of a point above the previous predictions, derived from “resilient” internal consumption and investment attracted by nearshoring.

In this area, Hubspot, as part of our commitment to support business, undertook the task of measuring the pulse of the business sector and ran a survey on 250 companies (with +500 employees) in four countries, three in Latin America (Mexico, Colombia, and Chile) and Spain, called “Perspectives for the end of the year 2023”. In addition to the document, we are looking forward to empowering businesses and decision-makers with valuable information offering a unique vision for businesses to confront the challenges of the year and projections for 2024.

To begin with, we confirm the forecasts of the international organizations.  Fortunately, 84% of the businesspeople we surveyed expressed optimism regarding the end of 2023, stressing the resilience and adaptability of the business sector in the face of the ever-changing challenges. This optimism has its roots in the goals achieved throughout the year. More than 40% of the companies said that they accomplished all of their organizational goals proposed at the beginning of the year. Nevertheless, this performance wasn’t the significant challenge in a setting where the rise in costs (73.2%), inflation (73.2%) and economic and political uncertainty (48.4%) were the principal obstacles. Despite this, 66.4% fulfilled growth in accordance with what was expected.

Sales, the Headliner of 2023

According to our study, salesforces grew strategically in 2023; 88% considered there was an increase in their company’s sales during 2023 versus 2022. The difficulty from the rise in prices of products and services (77.2%), and the challenges related to the excess of offer, decrease in the power of acquisition and sales channels traffic became the major challenges. However, 42% of the businesses said that technological tools, like artificial intelligence, were a key advantage that benefited the salesforce and 69% of these considered that artificial intelligence had a positive effect on their strategies for 2023. In general, 95% considered that AI gave a competitive advantage in the market and elevated the sales number and efficiency of the company.

Positive Vision for 2024 

The growth in budget and technological investments will be key in 2024. According to our analysis, 84.4% of businesses plan to increase their growth goals from 2023, while 76.8% project an increase in  their budget, strongly betting on innovation and technology. Investment in technological tools (78.4%) and the adoption of artificial intelligence (83.20%) will be key strategies during the year. 

This 2024, companies in Mexico will face a challenging business panorama, marked by a series of crucial challenges and strategic decisions. The increase in sales (38%) is a priority as is stressing the need to push economic growth. Similarly, the decrease in costs (14.8%) will be a challenge, wherein companies look for operational efficiency without endangering quality. The change in political and economic outlook (13.20%) adds complexity, demanding adaptability, and anticipation. Technological transformation (44%) emerges as a key element to remain competitive in the face of innovation.  The increase in productivity (27.60%) and business sustainability (22.80%) are among the challenges Mexican companies preview for 2024 as well, which reflects the search for a balance between growth and corporate responsibility. 

At HubSpot, we share the positive end for 2023 and the start of 2024 with good expectations. The results of our study confirm the important steps we need to take toward innovation and operational efficiency in the country; as well as the importance of having strategic alliances. In this new year to come, we renew our commitment to support companies in Mexico with integral technological solutions that not only allow them to surpass current goals, but also to be prepared for a 2024 full of opportunities.