Forrester Research

To help leaders use customer obsession to accelerate growth by becoming the world's most influential research and advisory firm.

Forrester Research SWOT Analysis

Updated: October 4, 2025 • 2025-Q4 Analysis

How to Use This Analysis

This analysis for Forrester Research was created using Alignment.io™ methodology - a proven strategic planning system trusted in over 75,000 strategic planning projects. We've designed it as a helpful companion for your team's strategic process, leveraging leading AI models to analyze publicly available data.

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The Forrester SWOT Analysis reveals a company at a pivotal crossroads. Its powerful brand and the strategic shift to the Forrester Decisions platform are significant strengths, providing a foundation for future growth. However, this potential is currently capped by stagnant revenue, concerning client retention rates below 80%, and intense competitive pressure, particularly from Gartner. The primary challenge is to translate its differentiated 'Customer Obsession' methodology into tangible, profitable growth and improved client loyalty. The key priorities underscore a critical need: Forrester must urgently prove the ROI of its premium platform in a budget-constrained environment, enhance client onboarding and success to boost retention, and innovate faster than AI-native disruptors to secure its long-term market position and return to profitability.

Gartner IDC Accenture McKinsey & Company Bain & Company

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To help leaders use customer obsession to accelerate growth by becoming the world's most influential research and advisory firm.

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Strengths

BRAND: Strong 40-yr brand equity equates Forrester with quality research.
PLATFORM: Forrester Decisions provides a sticky, integrated client value.
CLIENTS: Deep, C-level relationships within Fortune 500 tech buyers.
METHODOLOGY: 'Customer Obsession' is a clear, differentiated framework.
EVENTS: High-margin events business provides brand halo and lead gen.

Weaknesses

GROWTH: Stagnant revenue growth and negative net income in FY2023.
RETENTION: Client retention rate of 74% trails top-tier SaaS benchmarks.
PRICING: Perceived high cost vs. niche competitors in a tight economy.
COMPLEXITY: Portfolio can be complex; articulating platform value is key.
SCALE: Smaller sales force and marketing budget compared to Gartner.

Opportunities

AI INTEGRATION: Embed GenAI into platform to boost analyst productivity.
VERTICALS: Expand industry-specific content to drive higher ACV & TAM.
PARTNERSHIPS: Forge alliances with tech vendors and implementation partners.
MID-MARKET: Tailor a lighter, lower-cost offering for mid-market clients.
CX LEADERSHIP: Capitalize on growing executive focus on customer experience.

Threats

COMPETITION: Intense competition from Gartner's scale and consulting giants.
ECONOMY: Macroeconomic pressure constricting client research/tech budgets.
DISRUPTION: AI tools offering 'good enough' free market research summaries.
BUYING SHIFTS: Decentralized buying decisions reducing large central deals.
TALENT: Battle for top analyst and data science talent is intensifying.

Key Priorities

GROWTH: Reignite growth by doubling down on the Forrester Decisions platform.
RETENTION: Systematically improve client retention from 74% to over 85%.
DIFFERENTIATION: Sharpen value prop vs. Gartner and AI-driven disruptors.
EFFICIENCY: Drive operational efficiency to return to sustained profitability.

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Forrester Research OKR

Updated: October 4, 2025 • 2025-Q4 Analysis

This Forrester OKR plan is a focused and potent blueprint for a necessary turnaround. It rightly prioritizes the twin pillars of growth and retention, recognizing they are two sides of the same coin. The objectives are inspiring and directly address the core challenges identified in the SWOT analysis. The Key Results are strong, blending outcome-based metrics (retention rate, margin) with clear output drivers (new logos, AI tool launch). This plan provides the clarity and alignment needed to rally the organization around what matters most: proving the platform's value, delighting customers into staying, differentiating with AI, and restoring the company to sustainable, profitable growth. It is an executable strategy.

Gartner IDC Accenture McKinsey & Company Bain & Company

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To help leaders use customer obsession to accelerate growth by becoming the world's most influential research and advisory firm.

ACCELERATE GROWTH

Reignite growth via the Forrester Decisions platform.

PLATFORM: Increase Forrester Decisions ACV from 65% to 75% of the total research ACV portfolio.
NEW LOGOS: Acquire 120 net new enterprise logos by focusing on our core value proposition and ROI.
SALES: Reduce the average sales cycle for new platform deals from 90 days to 75 days via new tools.
VERTICALS: Launch two new industry-specific content packages to drive platform upsell revenue by $5M.

BOOST RETENTION

Create loyal clients who renew and grow with us.

ONBOARDING: Decrease new client time-to-first-value from 30 days to 15 days with a revamped process.
ADOPTION: Increase monthly active users (MAU) on the Forrester Decisions platform by 25% across all clients.
RETENTION: Improve the overall client retention rate from 74% to 82% through proactive success plans.
WALLET: Grow wallet retention (net dollar retention) from 92% to 98% by focusing on upsell paths.

LEAD THE FUTURE

Differentiate our value in the age of AI.

AI PRODUCT: Launch 'Izzy 2.0' with enhanced summarization and query features to 100% of platform clients.
AUGMENTATION: Reduce average time-to-publish for core research reports by 20% using internal AI tools.
MESSAGING: Achieve a 15% increase in marketing-qualified leads from campaigns focused on AI-era value.
BRAND: Secure 50 media placements in top-tier outlets highlighting our unique AI-augmented research.

DRIVE PROFITABILITY

Achieve operational excellence and financial health.

MARGIN: Increase adjusted operating margin from 7.5% to 11.0% through disciplined cost management.
EFFICIENCY: Lower customer acquisition cost (CAC) by 10% by optimizing marketing channel spend.
DELIVERY: Reduce consulting project overhead by 8% by standardizing methodologies and asset reuse.
G&A: Maintain general and administrative expenses as a flat percentage of total company revenue.

METRICS

Annual Contract Value (ACV) Growth: 5%
Client Retention Rate: 82%
Adjusted Operating Margin: 11%

VALUES

Client-Obsessed
Courageous
Collaborative
Objective
High-Performance

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Forrester Research Retrospective

AI-Powered Insights

Claude

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Forrester Q4 2023 Earnings Report & Conference Call Transcript
Forrester 2023 10-K SEC Filing
Forrester Investor Relations Website
Forrester Corporate Website (Leadership, About Us)
Publicly available financial data for FORR (Market Cap, etc.)
Analysis of competitor (Gartner) performance and market positioning

Gartner IDC Accenture McKinsey & Company Bain & Company

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To help leaders use customer obsession to accelerate growth by becoming the world's most influential research and advisory firm.

Toggle Theme

What Went Well

CONSULTING: Consulting business showed resilience and growth in key areas.
COSTS: Disciplined cost management helped protect margins amid revenue dip.
PLATFORM: Continued client migration to the Forrester Decisions platform.
EVENTS: Events business met expectations, showing post-pandemic stability.
CASH FLOW: Maintained positive operating cash flow despite challenges.

Not So Well

REVENUE: Overall revenue declined year-over-year, missing guidance.
RETENTION: Client retention rate of 74% remains a significant concern.
ACV: Total Annual Contract Value (ACV) saw a slight decline.
SALES CYCLE: Elongated sales cycles for new business due to budget scrutiny.
PROFITABILITY: Net loss recorded for the full fiscal year.

Learnings

ROI: Clients require an undeniable, quantitative ROI case in this economy.
INTEGRATION: Value is in the integrated platform, not just individual reports.
RETENTION: Proactive client engagement is critical to prevent churn.
EFFICIENCY: Operational efficiency is key to navigating economic headwinds.
VERTICALS: Industry-specific expertise drives higher-value conversations.

Action Items

SALES: Equip sales with stronger ROI calculators and value messaging.
SUCCESS: Overhaul client onboarding to accelerate time-to-value.
MARKETING: Launch campaigns highlighting Forrester Decisions' unique value.
PRODUCT: Fast-track high-demand features and AI capabilities on platform.
FINANCE: Continue rigorous expense control and resource allocation.

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Organization	SWOT Analysis	OKR Plan	Top 6	Retrospective

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Forrester Research Market

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Claude

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Forrester Q4 2023 Earnings Report & Conference Call Transcript
Forrester 2023 10-K SEC Filing
Forrester Investor Relations Website
Forrester Corporate Website (Leadership, About Us)
Publicly available financial data for FORR (Market Cap, etc.)
Analysis of competitor (Gartner) performance and market positioning

Founded: 1983
Market Share: Est. 5-7% of addressable market.
Customer Base: Global enterprises, mid-market firms across various industries.
Category:
Research, Advisory
SIC Code: 8742 Management Consulting Services
NAICS Code: 541613 Marketing Consulting Services
Location: Cambridge, Massachusetts
Zip Code: 02142 Boston, Massachusetts
Congressional District: MA-7 BOSTON
Employees: 2100

Competitors

Gartner View Analysis

IDC Request Analysis

Accenture View Analysis

McKinsey & Company Request Analysis

Bain & Company View Analysis

Products & Services

No products or services data available

Distribution Channels

Forrester Research Business Model Analysis

AI-Powered Insights

Claude

Gemini

GPT

Forrester Q4 2023 Earnings Report & Conference Call Transcript
Forrester 2023 10-K SEC Filing
Forrester Investor Relations Website
Forrester Corporate Website (Leadership, About Us)
Publicly available financial data for FORR (Market Cap, etc.)
Analysis of competitor (Gartner) performance and market positioning

Problem

Making high-stakes tech/biz decisions
Struggling to understand customer needs
Aligning teams on a common strategy
Justifying strategy with data/ROI

Solution

Forrester Decisions platform access
Actionable research reports & data
One-on-one analyst guidance sessions
Strategic consulting engagements

Key Metrics

Annual Contract Value (ACV) Growth
Client & Wallet Retention Rates
New Business Bookings
Adjusted EBITDA Margin

Unique

Customer Obsession methodology
Integrated platform with research/tools
Future-looking, bold predictions
Holistic view across CX, tech, marketing

Advantage

40+ year brand trust and reputation
Proprietary benchmark data and models
Embedded C-suite relationships
Network effects of its client councils

Channels

Global direct sales organization
Digital marketing and website
Forrester-hosted events and webinars
Strategic partnership programs

Customer Segments

Large global enterprises (G2000)
Mid-market companies ($500M-$2B)
Tech vendors and service providers
Public sector agencies

Costs

Employee compensation (esp. analysts)
Technology and platform development
Sales and marketing expenses
Event production and logistics

Forrester Research Product Market Fit Analysis

Updated: October 4, 2025

Forrester helps leaders accelerate growth by putting the customer at the center of everything they do. It provides the data, insights, and frameworks needed to align technology, marketing, and strategy teams to win, serve, and retain today’s empowered customer, mitigating risk and ensuring every investment drives a quantifiable business outcome. This is customer-obsessed growth.

Accelerate growth with customer-obsession

Mitigate risk with data-driven decisions

Align teams to win, serve, retain customers

Before State

Siloed teams with conflicting priorities
Decisions based on gut-feel, not data
Slow to adapt to market/customer shifts

After State

Aligned teams on customer-led strategy
Data-driven decisions across functions
Agile response to customer needs, trends

Negative Impacts

Wasted technology and marketing spend
Poor customer experience and high churn
Missed growth opportunities, lost share

Positive Outcomes

Accelerated revenue growth, higher ROI
Increased customer loyalty and lifetime value
Sustainable competitive differentiation

Key Metrics

Client Retention Rate

74% (FY 2023)

Net Promoter Score (NPS)

Est. 35-45

User Growth Rate

Flat to low single digits

Customer Feedback/Reviews

200+ on G2

Repeat Purchase Rates

High within contract

Requirements

Executive buy-in for customer obsession
Access to reliable, actionable insights
Frameworks to align strategy & execution

Why Forrester Research

Forrester Decisions platform integration
Expert guidance from analysts & consultants
Peer networking and shared best practices

Forrester Research Competitive Advantage

Unified platform vs. fragmented sources
Future-focused vs. rearview mirror data
Holistic view across tech, CX, marketing

Proof Points

Case studies showing client growth
Client testimonials on Forrester website
Industry awards for research quality

Forrester Research Market Positioning

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Forrester Q4 2023 Earnings Report & Conference Call Transcript
Forrester 2023 10-K SEC Filing
Forrester Investor Relations Website
Forrester Corporate Website (Leadership, About Us)
Publicly available financial data for FORR (Market Cap, etc.)
Analysis of competitor (Gartner) performance and market positioning

Strategic pillars derived from our vision-focused SWOT analysis

Embed customer-led strategy in every client.

Drive integrated value via Forrester Decisions.

Lead with generative AI in research delivery.

Grow high-margin consulting and advisory services.

What You Do

Provides research and advisory on customer-obsessed strategy.

Target Market

Business, marketing, and technology leaders at large enterprises.

Differentiation

Focus on 'Customer Obsession' methodology
Integrated 'Forrester Decisions' platform
Actionable, future-focused research

Revenue Streams

Subscription-based research platforms
Project-based consulting services
Event ticket sales and sponsorships

Forrester Research Operations and Technology

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Claude

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GPT

Forrester Q4 2023 Earnings Report & Conference Call Transcript
Forrester 2023 10-K SEC Filing
Forrester Investor Relations Website
Forrester Corporate Website (Leadership, About Us)
Publicly available financial data for FORR (Market Cap, etc.)
Analysis of competitor (Gartner) performance and market positioning

Company Operations

Organizational Structure: Functional structure aligned to research, sales, and product.
Supply Chain: Primarily digital; key inputs are data, talent, and technology.
Tech Patents: Primarily trademarks and copyrights on research methodologies.
Website: https://www.forrester.com

Top Clients

Board Members

Forrester Research Competitive Forces

Threat of New Entry

MEDIUM: While building a trusted research brand takes decades, AI-native startups can enter niche markets with low overhead and targeted solutions.

Supplier Power

LOW: Key suppliers are employees (analysts, sales) and data providers. While top talent is competitive, there is no single supplier concentration.

Buyer Power

HIGH: Clients have significant power due to high contract values, budget scrutiny, and the availability of credible alternatives (Gartner, etc.).

Threat of Substitution

MEDIUM: Free online content and generative AI tools provide 'good enough' substitutes for basic research, though not for deep, contextual advice.

Competitive Rivalry

HIGH: Dominated by Gartner's massive scale. Intense pressure from large consulting firms and a growing number of niche players.

Analysis of AI Strategy

Updated: October 4, 2025 • 2025-Q4 Analysis

The Forrester AI SWOT Analysis highlights a significant opportunity balanced by existential threats. Forrester's core strength lies in its vast repository of proprietary data and analyst expertise, a crucial asset for training differentiated AI models that public LLMs cannot replicate. The strategic imperative is to leverage this advantage to create an augmented intelligence system—fusing AI's speed with human expertise's context—directly into the Forrester Decisions platform. This will enhance the value proposition and create a defensible moat. However, the company must act with urgency. The primary risks are cultural inertia, legacy tech debt, and the rapid emergence of low-cost, AI-native competitors. Success hinges on Forrester's ability to invest decisively in talent and technology, transforming its operational core to deliver AI-powered insights faster and more personally than anyone else in the market.

Gartner IDC Accenture McKinsey & Company Bain & Company

No past cycles

Mission & Vision SWOT Analysis OKR Plan Retrospective AI Strategy Data Acquisition

To help leaders use customer obsession to accelerate growth by becoming the world's most influential research and advisory firm.

Strengths

DATA: Decades of proprietary research data provide a unique training asset.
EXPERTISE: Analysts can guide AI tools with deep domain and context.
FRAMEWORKS: Existing methodologies can structure AI-generated insights.
CLIENT ACCESS: Direct access to leaders to test and validate AI use cases.

Weaknesses

LEGACY TECH: Potential for outdated internal systems to slow AI integration.
TALENT GAPS: Need to rapidly upskill or hire specialized AI/ML engineering.
CULTURE: Analyst culture may be resistant to AI-driven workflow changes.
CAPEX: Significant investment required for AI model training and infra.

Opportunities

PRODUCTIVITY: AI to augment analysts, speeding up research creation by 40%.
PERSONALIZATION: Deliver hyper-personalized insight streams to clients.
IZZY: Develop 'Izzy' chatbot into a powerful, interactive research tool.
NEW PRODUCTS: Create AI-powered diagnostic and benchmarking tools for clients.

Threats

DISINTERMEDIATION: Clients using public LLMs instead of paid research.
STARTUPS: Agile, AI-native startups launching low-cost niche alternatives.
DATA PRIVACY: Navigating client data usage for model training is complex.
HALLUCINATIONS: Risk of AI-generated errors eroding brand trust in quality.

Key Priorities

AUGMENTATION: Prioritize AI tools that augment and scale analyst expertise.
PLATFORM: Embed AI features in Forrester Decisions to increase client value.
EFFICIENCY: Use AI internally to lower cost of research production/delivery.
TRUST: Establish clear governance to ensure AI output accuracy and trust.

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Forrester Research Financial Performance

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Forrester Q4 2023 Earnings Report & Conference Call Transcript
Forrester 2023 10-K SEC Filing
Forrester Investor Relations Website
Forrester Corporate Website (Leadership, About Us)
Publicly available financial data for FORR (Market Cap, etc.)
Analysis of competitor (Gartner) performance and market positioning

Profit: -$1.2 million (Net Income FY 2023)

Market Cap: $350 million (approx. Q2 2024)

Stock Performance

Annual Report: Available on Forrester Investor Relations website.

Debt: $100 million (Revolving Credit Facility)

ROI Impact: Economic uncertainty has compressed client tech budgets, impacting ACV.

SWOT Index

Composite strategic assessment with 10-year outlook

/ 100

Market Challenger

ICM Index

STRATEGIC ADVISOR ASSESSMENT

Forrester has a strong brand and a clear, ambitious vision (Ambition: 85). However, its path is constrained by significant competitive pressure and internal execution challenges, reflected in a moderate Achievability (0.61) and a SWOT score where downside risks slightly outweigh upside potential. The OKRs are solid and category-shaping (70), but the overall Iconic Index suggests a challenging path to market leadership. The low Growth Multiplier reflects these headwinds.

SWOT Factors

Upside: 64.0 Risk: 78.0

OKR Impact

AI Leverage

Top 3 Strategic Levers

BOOST CLIENT RETENTION: Lift from 74% to >85% to stabilize base.

ACCELERATE AI INTEGRATION: Use AI to deepen moat and value prop.

PROVE PLATFORM ROI: Sharpen sales messaging on tangible outcomes.

AI Disclosure

This report was created using the Alignment Method—our proprietary process for guiding AI to reveal how it interprets your business and industry. These insights are for informational purposes only and do not constitute financial, legal, tax, or investment advice.

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