This week, Forrester finally published my (Peter O'Neill here) reports based on its Q1 2011 US And European B2B Social Technographics® Online Survey For Business Technology Buyers, which marks the third year we've conducted this survey. These are the reports promised in my blog back on July 1st and they complement my colleague Kim Celestre’s insightful review of the worldwide numbers by examining the European data in more detail, as well as investigating that common adage cited by many tech marketers: “Most of the social media behavior is due to younger buyers, and they're not involved in BT decision-making.”
The European data is clear evidence that social is now routine for European tech buyers, and this is the headline that has been passed around the twittersphere all week now. As I write in the Recommendations section:
FIRST, VENDORS MUST LISTEN……AND BE SEEN……TO BE HEARD
As one of Forrester’s European-based analysts, Peter O'Neill here, I like to show a little continental patriotism every now and then. I work on a worldwide basis, but it is always great fun to discover a European startup, or even established vendor, and help it out into the big wide world. I actually did this in the early 1980s in a previous work-episode – any of you know of SAP? Now to put myself into perspective e, I also championed the cause of Intershop and Softlab in those years, which were not that successful, so I am not claiming any credit for SAP’s prominence.
So I am always watching out for news about the European IT industry, and I was initially tempted to tweet or retweet a recent report by the German VC firm Earlybird that argues that although the European venture industry is a quarter of the size of the US market, proportionally speaking, it is outperforming the US VC industry in returns. But I found that I didn’t understand it well enough to attach my name so I left it untouched. The report is actually quite controversial as it twists statistics around this way and that so that it remains ambiguous at best. TechCrunch has now had a real go at it, calling it “nothing more than wishful thinking” !
Before becoming an analyst serving technology marketers and focusing on the organization and automation of marketing processes, I (Peter O'Neill) had the more traditional orientation of covering a specific market — IT management software (ITMS) in my case. I remember being engaged with several ITMS vendors in the last months of that previous life discussing the same thing: how to address other market segments. Many of them selling in the enterprise segment tended to be tempted into what they call the "midmarket," which is companies with 500 to 999 employees and is perhaps more enterprise-like than small-business-like, so it seems like a safer bet. Forrester names this the "medium-large" segment in our data reports. Some were even ambitious enough to consider the SMB segment.
I was always pretty clear in my recommendations on how to market to the midmarket or SMB segments if you’re an established enterprise software vendor: Develop segment-specific solutions; use a different brand if possible; and know your channels well. None of these things are easy though and, to be honest, most enterprise vendors take the easy way out. They merely:
· Design some cut-down version of their enterprise products
· Tweak their pricing model but then worry obsessively about “cannibalizing” enterprise sales
· Go looking for channel partners but usually end up with the same ones from their enterprise segment
For this reason, enterprise software vendors that have failed miserably to scale down their products or sales channels litter the tech industry.
I’ve had a difficult year, business-wise (this is Peter O'Neill). Oh, I have certainly been busy and travelled a lot — I‘m not complaining about that. But I have found myself too often in the position of “let’s shoot the messenger.” Remember? I already complained about this back in May 2010, but the situation still hasn’t changed yet: Many tech marketers still refuse to believe our numbers. Well, our 2011 Business Technology Social Technographics® results are now ready: I presented the European data in a Forrester Teleconferencea few weeks ago and soon our excellent English-language editors will finish off two reports from me:
Showing the 2011 European data (see below).
Discussing the question: Does age matter in social media usage?
Some of you were looking for me, Peter O’Neill, at Forrester’s IT Forum 2011 in Las Vegas last week. My apologies; I was originally advertised as speaking at this event, but we decided to keep me in Europe after all, where I contributed to the first of a series of two-day partner trainings being run by Dell around the region (see my previous blog post on the topic). I will definitely be at the Forrester’s IT Forum EMEA 2011 in Barcelona next week though: I have four presentations to make and look forward to many interesting one-on-ones with tech marketers in between that packed schedule.
I wasn’t too upset about missing Las Vegas; ‘tis not my favorite place — did you know that I am invited to visit Las Vegas around six times a year? Clearly, I cannot attend everything as I must also do my day job: working inquiries, writing reports, and providing advisory; so my rule is to visit each vendor’s event every two years. Missing Las Vegas also meant I could go to the Ariba Live 2011 customer conference in London last Wednesday, which fascinated me because Ariba was one of the software vendors I worked with very closely back in my HP days in the late 90s. I was involved in several exciting eBusiness joint ventures then (BroadVision, Intershop Communications, and Yahoo were my other projects) most of which were really too visionary for those times. Ariba’s, and HP’s, vision was of an electronic procurement process running as an intranet application supported by Internet-wide directories and exchanges of suppliers.
This is Peter O'Neill (often the name is not displayed when you get a blog alert). I was in Austin, Texas, last week, meeting Dell executives at their 2011 Analyst Conference. We analysts always compare notes and discuss our impressions at these meetings and we were pretty unanimous this time about Dell’s consistency and clarity of message. Some of my illustrious research colleagues were quicker than I in documenting our impressions, so I’d refer you to Ray Wang’s comments. Colleague Roger Kay even got his blog into Forbes.com! My personal highlight was the fact that the whole event was introduced and moderated by Dell’s SVP and chief marketing officer, Karen Quintos. This is not a given at these events — often I get the impression that marketing is not really part of the vendor’s story or strategy at all. Karen even had a keynote presentation on her plans for the Dell brand and marketing initiatives in 2011 — I have never heard the word “brand” used so often by a tech vendor in the B2B context. Kudos to Karen.
This is Peter O’Neill and I had a very busy Forrester Marketing Forum last week in San Francisco: two presentations (well, two halves, I suppose, because I was the co-presenter) plus dozens of one-on-ones with Forrester clients. While I would have preferred to talk about differentiation in the customer lifecycle, the theme of my first Forum presentation and my most recent report, the incorporation of social media into the marketing mix continues to be the hottest topic for most tech marketers. It was exciting to be able to share our brand new Tech Buyer Social Technographics data which has just come in. BTW, the level of social media activity in European buyers is still ahead of American buyers – I will be presenting the European data in my planned Forrester teleconferences on May 9th: once in German for local clients, prospects and press; and once in English for other Forrester clients.
As you’d expect from a Forrester analyst, this is Peter O'Neill by the way, I travel a lot— about 40% of my working days. But it is also amazing how a full week spent in the home office can still feel so busy! These days, social media keeps you in the discussion mainstream – perhaps even more so than if you are on the road because you have more time to engage. Bob Apollo, at the UK-based consultancy even tweeted me privately this week with the message, “And you a VP at Forrester, reading my stuff, an 'umble blogger... I'm not worthy...” after I told him that I enjoyed his tweets and found them useful. Well, even as a fully fledged analyst for tech marketers, I continue to be eager to learn from anybody else. And I do this without any fear of appearing to copy others — here in Germany a popular government minister has now resigned because he plagiarized the majority of his doctorate dissertation years ago; bad enough itself, but he initially denied it when discovered.
I was invited to speak at the annual Distree XXL event in Monte Carlo last week. Now in its ninth year, Distree XXL gathers together top executives from tech industry vendors and distributors plus, in recent years, retailers from around EMEA for three days that include a trade show, presentation sessions, and meetings to discuss industry-specific channel topics. The 2011 event drew 950 delegates from 127 tech vendors and over 400 distributors. One of the event highlights for everybody is a process to request and set up formal one-on-one meetings between the various players, similar to our own one-on-one sessions at the Forrester Forums (only their software is better). A total of 5,000 such sessions were scheduled: some at tables in larger rooms around the trade show, many others in private meeting rooms elsewhere in the conference center.
The keynote presentation I gave was a clone of my recent Forrester Teleconference , where I use the word “changes” both as a noun and a verb: I describe what changes we see happening in the channel due to recent industry trends, and I propose how channel resellers and distributors must also change their business model for continued success. The most common comment I heard from attendees after I presented was, “It was good to hear somebody outside our business make these points. We’ve been discussing this for a while now, but not everybody is convinced this is happening or knows what to do about it.” I must say, I have never, ever collected so many business cards after a presentation where I must follow up by sending slides as well as two relevant reports (one on channel resellers and one on distributors) by my esteemed colleague Tim Harmon and myself.