Leaders provide mature offerings that meet market demand and have demonstrated the vision necessary to sustain their market position as requirements evolve. The hallmark of Leaders is that they focus on and invest in their offerings to the point where they lead the market and can affect its overall direction. As a result, Leaders can become the vendors to watch as you try to understand how new market offerings might evolve.
Challengers have a strong Ability to Execute but may not have a plan that will maintain a strong value proposition for new customers. Larger vendors in mature markets may be positioned as Challengers because they choose to minimize risk or avoid disrupting their customers or their own activities.
Visionaries align with the Gartner view of how a market will evolve, but their ability to deliver against that vision is less proven. In growing markets, this status is typical. In more mature markets, it may reflect a competitive strategy for a smaller vendor — such as selling an innovation ahead of mainstream demand — or a larger vendor trying to break out of a rut or differentiate itself.
Niche Players do well in a segment of a market, or they have a limited ability to innovate or outperform other vendors in the wider market. This may be because they focus on a particular functionality or geographic region, or because they are new entrants to the market. Alternatively, they may be struggling to remain relevant in a market that is moving away from them. Niche Players may have reasonably broad functionality but with limited implementation and support capabilities and relatively limited customer bases. Compared to other quadrants, they do not demonstrate a strong vision for their offerings.