Driving Successful Servitization

Monetize your installed base and drive new revenue through Servitization

Industrial Manufacturing Challenges The Benefits of Servitization Overcoming Barriers Customer Stories Resources
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Overcoming the erosion of industrial profit margins

Industrial manufacturers face a critical squeeze as global competition and rising costs thin profit margins on machine sales. This traditional model is highly cyclical, making growth vulnerable to economic shifts. Compounding these external pressures, legacy IT silos fragment data across business units, slowing innovation and hindering transparency. To remain resilient in a growing market, organizations must move beyond a reliance on equipment sales alone and find new ways to generate revenue.

The benefits of servitization

Servitization transforms product-focused OEMs into service-centric partners, shifting the business model from one-time transactions to long-term, high-value relationships. By bundling equipment with maintenance, performance monitoring, and support, companies can diversify revenue and deliver continuous value throughout the asset’s lifecycle.

Servitization transforms product-focused OEMs into service-centric partners, shifting the business model from one-time transactions to long-term, high-value relationships. By bundling equipment with maintenance, performance monitoring, and support, companies can diversify revenue and deliver continuous value throughout the asset’s lifecycle.

30-50% Profit Margins

Companies that prioritize aftermarket services generate over one-third of their total income from these offerings, typically with gross margins of 30–50%, significantly higher than equipment sales. – BCG

Companies that prioritize aftermarket services generate over one-third of their total income from these offerings, typically with gross margins of 30–50%, significantly higher than equipment sales. – BCG Read More

29% of Income from Service

29% of industrial company income now stems from services, with scalable, proactive service management and integrated technologies as cornerstones of this transformation

29% of industrial company income now stems from services, with scalable, proactive service management and integrated technologies as cornerstones of this transformation Read More

70% Fewer Unplanned Failures

When real-time condition monitoring is fused with automated service execution and dynamic parts planning, companies report up to 70% fewer unplanned failures

When real-time condition monitoring is fused with automated service execution and dynamic parts planning, companies report up to 70% fewer unplanned failures Read More

The cost of falling behind

Industrial manufacturers that delay servitization don't just miss an opportunity—they actively cede ground. Product-centric models leave recurring revenue on the table and limit the ability to meet customer expectations for uptime and outcomes. As competitors shift to service-led growth, the cost of standing still compounds: higher churn, weaker loyalty, and shrinking margins.

Navigating the path to servitization


Industrial manufacturers know they need to evolve — but the shift from selling products to delivering outcomes demands a fundamental transformation of business models, operations, and technology.

Legacy systems, fragmented data, and limited asset visibility make it hard to build a coherent service model. A widening skills gap makes consistent execution even harder.

The right technology foundation changes this. By connecting engineering and service data, automating workflows, optimizing parts management, and equipping technicians with live asset data in the field, manufacturers can overcome these barriers and turn servitization from ambition into execution.

Building a foundation for success

Break Down Silos & Modernize Systems

Replace fragmented legacy systems with a unified foundation — connecting engineering, manufacturing, and service data, and leveraging AI to surface insights, streamline workflows, and drive the asset uptime and service profitability your business demands.

Replace fragmented legacy systems with a unified foundation — connecting engineering, manufacturing, and service data, and leveraging AI to surface insights, streamline workflows, and drive the asset uptime and service profitability your business demands.

Improve Asset Visibility

Gain real-time visibility into your installed base to drive proactive service across the full asset lifecycle — detecting anomalies early, minimizing unscheduled downtime, and enabling faster response through automated alerts and remote service actions.

Gain real-time visibility into your installed base to drive proactive service across the full asset lifecycle — detecting anomalies early, minimizing unscheduled downtime, and enabling faster response through automated alerts and remote service actions.

Drive Workforce Efficiency

Empower technicians and service teams with mobile tools, digital work instructions, and AI-driven guidance — reducing errors, accelerating resolution times, and delivering consistent, high-quality service across every job, every location.

Empower technicians and service teams with mobile tools, digital work instructions, and AI-driven guidance — reducing errors, accelerating resolution times, and delivering consistent, high-quality service across every job, every location.

The power of servitization: unlocking efficiency and growth

Discover how service is transforming industrial business models and fueling new revenue streams. Hear directly from industry leaders as they reveal how servitization drives growth and strengthens customer relationships.

Customer stories

Metso’s inventory optimization success saves EUR 41.6 million

<p>Discover how Metso implemented Servigistics service parts management in the cloud to unearth value from its global supply chain.</p>

Marel’s Global Service Transformation With ServiceMax at the Hub

<p>With ServiceMax at the hub of their global service transformation, Marel is able to unify their brands, establish a global standard, and keep their customers up and running 24/7.</p>

Schneider Electric Sparks a Global Business Transformation

<p>Schneider Electric is leading the digital transformation of energy management and automation in homes, buildings, data centers, infrastructure, and industries.</p>

Metso’s inventory optimization success saves EUR 41.6 million Discover how Metso implemented Servigistics service parts management in the cloud to unearth value from its global supply chain. Marel’s Global Service Transformation With ServiceMax at the Hub With ServiceMax at the hub of their global service transformation, Marel is able to unify their brands, establish a global standard, and keep their customers up and running 24/7. Schneider Electric Sparks a Global Business Transformation Schneider Electric is leading the digital transformation of energy management and automation in homes, buildings, data centers, infrastructure, and industries.

Join PTC at Hannover Messe 2026

Discover how PTC’s solutions drive operational efficiency for industrial manufacturers. Visit our booth to learn how to break down data silos, streamline processes, and enable real-time collaboration across your operations. Connect with PTC representatives to learn how you can accelerate your digital transformation and achieve higher productivity. 

Learn More and Register

Get started with servitization



Evaluating SLM & FSM: Analyst Perspectives for Industrial Leaders

An expert-driven guide to choosing SLM and FSM platforms for service-driven manufacturing.

/en/resources/industrials/ebook/slm-fsm-vendor-assessment-collection

Why Unlocking Full Field Service Revenue Potential Requires Transformation

Margins are shrinking. Costs are rising. Talent is scarce. And yet, hidden within these challenges lies a massive opportunity—service revenue.

/en/blogs/service/how-to-increase-field-service-revenue

The Servitization Advantage: ROI Insights from Industrial Leaders

Transform service into a strategic growth engine for industrial companies—boosting ROI, optimizing operations, and fostering lasting customer loyalty.

/en/resources/industrials/ebook/the-servitization-advantage-roi-insights-from-industrial-leaders

Connect with our industrials experts

Our dedicated industrials team brings decades of industry expertise to help you accelerate your digital transformation journey and achieve servitization excellence.

Dr. Florian Harzenetter

Senior Director and Global Advisor, Industrials

Dr. Florian Harzenetter is the Senior Director and Global Advisor for Industrial customers at PTC. In this role, Florian identifies the specific needs of customers and helps align their roadmaps and strategies to ensure successful adoption of PTC technologies. From this perspective, he also helps to align PTC's offerings with customers' needs.

Today, Florian serves as a global expert representing the voice of the customer in the PLM product segments and developing thought leadership for Industrial customers.

Mike Marshall

Director of Growth Marketing, Industrials

Mike Marshall is a Director of Growth Marketing for Industrials, where he leads campaigns and content designed to help industrial organizations drive efficiency, quality, and measurable business impact. He works closely with crossfunctional teams to translate complex industry challenges into clear, actionable insights for executives and practitioners alike. If you have any questions about this content or want to learn more about upcoming events, you’re encouraged to contact Mike directly.

Alyanna Ilyadis

Senior Principal Industry Marketing Manager, Industrials

Alyanna Ilyadis is a Senior Industry Marketing Manager at PTC, where she develops messaging and positioning that connects PTC's software solutions to the business outcomes industrial leaders care about most. She translates market trends and technical capabilities into value-based insights for executives, helping industrial organizations turn technology into a driver of growth and operational excellence. If you have questions about PTC's industry strategy or solutions, you're encouraged to contact Alyanna directly.