Discussing How To Build The Business Case For Social Media

Peter O'Neill

I had the pleasure of hosting an IT Services Marketing Association (ITSMA) workshop, “Building the Business Case for Social Media in B2B Marketing” at our London office this week. There were 12 IT services marketers attending, and we all enjoyed very informative presentations led by Moira Clark, Professor of Strategic Marketing at Henley Business School. Moira has lots of practical experience and did extensive research work for Cisco in 2009. We also heard from DNX Ltd, a marketing agency with several tech vendor clients, as well from LinkedIn.

I certainly learned a lot personally about using social media - there was quite a bit of “hands-on” work: assessing a company’s social media strategy, comparing listening platforms, and launching a community. Here are some of the highlights that I remember most (and consider me an experienced tech marketer now trying to understand the impact of social media on the marketing mix).

Read more

Interview with ITSMA about Linking Global Strategy and Field Execution

Peter O'Neill

By Peter O'Neill

The IT Services Marketing Association (ITSMA) has just published this interview with me to its members to coincide with my presentation on this topic at the Forrester Marketing Forum here in Los Angeles. For those European members of ITSMA, I’d like to point out that I will be hosting and contributing to the ITSMA workshop “Building the Business Case for Social Media in B2B Marketing” in London on May 5th. Perhaps I will see you there  . Anyway, I’m enjoying our conversations, so keep your comments and emails coming.   

Always keeping you informed!

Peter

 

In this Viewpoint, Peter O’Neill, VP & Principal Analyst, Forrester, shares his research on and passion for international technology industry marketing, with a specific emphasis on field marketing strategy and execution, including the dynamics of interactions between headquarters and field marketing organizations.

ITSMA:What challenges do marketers face due to globalization?

O’Neill: Our clients often ask the basic question: What does it mean to "go global"? Well, going global really means having customers in multiple countries—i.e., in local geographic

Read more

Trip Report From Symantec's VISION Conference

Peter O'Neill

By Peter O'Neill (with some comments by colleague Jonathan Penn)

I spent a couple of days with Symantec executives this week in Las Vegas, attending their Worldwide Analyst Summit as well as day 1 of the VISION user group conference. My interest in Symantec is partly based on my research in the service management market - they bought Altiris a few years ago; and also because I watch their partner program work. Anyway, here are my highlights of the briefings.

Symantec has a very subdued style of presenting to analysts, but for users it was all show business

The presentations to us started very gently and modestly. Instead of egoistical VPs showing slides and speaking down to us from the stage, they led with a panel discussion moderated by their major entertainer, Steve Morton, VP of Product Marketing. That was much more pleasant to listen to and the required points were still all made. Also the tone of the questions was often very self-critical (“now Symantec is not renowned for having integrated its acquisitions well, how are we doing on that front now?”) - a good idea. I am sure it was easy to work out what critical questions were going to come and pre-empt those discussions.   

Now Steve is probably the reason they bought Altiris because the “keynote” session at VISION was a 90 minutes Tonight show with Steve performing more like Jay Leno than the man himself. Clearly very talented in this role, he was aptly supported by a band, videos and stage show. From his stage desk he hosted numerous guests on his couch in a humorous, chatty, and loosely-scripted format.  Again, all the points were made without boring anybody.

Read more

The Mathematical Inevitability Of The SMB-led Economic Recovery

Tim Harmon

[Co-authored with Zachary Reiss-Davis]

Back in February 2009, I wrote a report titled “A New SMB Market Phoenix Is Rising” which examines how small and medium businesses (SMBs) will be the initial source of job growth and creation which leads us out of the current recession, as they have in most previous recessions. The report also examines how SMBs use technology, and how technology vendors can best market to them - this figure highlights my conclusions.The Historic Employment Rate Performance Of Small Businesses And Enterprises

Today, Paul Kedrosky, who has a Ph.D. in the economics of technology and writes extensively on macro-economic trends, wrote a piece I found very insightful about why young firms (small businesses) not only historically account for most of the job growth in the United States, but that their doing so is mathematically inevitable. 

My upcoming report, “Fueling the New SMB: Marketing Services-as-Software” on this topic, will work its way through our editing process in the next week.  In the meantime, I encourage you to read his post and my older report and let me know if they match what your marketing team is seeing today.

Setting Up The Marketing Concierge

Peter O'Neill

By Peter O'Neill

Several of my recent client engagements have been about the social media skills/resources that will be required in field marketing in the next years. While this is something I am already working on with an empirical survey, that will take more time to complete, so watch this space for those details. Here are my initial thoughts, tested with several tech marketing practitioners already.

Firstly, my stake in the ground — I think Field Marketing’s focus will morph from customer acquisition to relationship management, from demand generation to demand management; it will be all about lead nurturing.

We’ll need to reduce our base of pure marketing professionals (events/marcom people), by automating and semi-centralizing (from country to regional level) marketing campaign management. And we’ll need to increase local resources to engage with local bloggers, communities, prospects, and customers. This will include a mix of hiring expert people (strong consultative sales reps looking for an easier time, experienced support people, current product champion field marketers) and leveraging local journalistic resources. More importantly, we will also need to re-engineer our collateral to a marketing asset library of shorter and more direct, but less hard-selling, pieces that we can leverage into the lead-nurturing programs.

Read more

Why I Have A Problem With How Industry Analysts Use Twitter

Peter O'Neill

By Peter O'Neill

I thought I would expand a little on my aside comment in last week's blog which was actually about HP. In the introduction to the blog I noted that we analysts seem to be abusing Twitter. I was so provocative that I named my colleagues “adolescent journalists” because they broadcast tweets ad verbatim as the HP speakers went through their presentations. I have noticed this has gotten progressively more (as far as I am concerned, worse and worse) over the last 12 months at various analyst retreats.

Many of these colleagues have responded to my blog and basically asked “What’s your problem with this?” Well, I certainly do not want to be seen as a “grumpy old man” (though I love those books) - ie. Someone who is not up to the times. While I am turning 54 years of age today, I think I do understand Twitter, and use it; and I think I can blog adequately as well. Then again, we analysts at Forrester have been well trained by our Marketing analyst colleagues who are at the forefront of all these developments. Our latest research on “Using Twitter for eBusiness” discusses how companies use Twitter but it doesn’t address the usage I am on about here. So, the issues I have with our just typing in every 140 characters of whatever the person on the stage is saying is as follows:

Read more

Categories:

Adapting to Cloud: The Channel Models They Are a-Changin’

Tim Harmon

NetSuite, a leading SaaS ERP/CRM provider, recently announced that it is revamping its channel partner comp model: 100% on Y1 subscription revenue, and 10% thereafter. VARs have been remiss in taking up the SaaS torch, largely because most SaaS vendors haven’t provided a financial model conducive to VARs’ cash flow requirements. Per the on-premise license model, channel partners make a big portion of their nut on initial product margin, i.e., up front. But vendor SaaS economics minimize up-front remuneration and spread revenue out over a long period of time. Though it sacrifices year-one revenue, NetSuite’s 100/10 model more closely mirrors VARs’ accounting practices. 

NetSuite’s model will be the first of many SaaS channel model “experiments” that will ultimately be a shot in the arm for the SMB market in particular. Contrary to popular belief, SMBs have been slow on the uptake of SaaS (application hosting outpaces SaaS adoption by SMBs by a factor of 3-4x) ... Business applications; deployed via on-premise, SaaS, or application hosting

 ... due to the fact that VARs, in ownership of the customer trust asset, haven’t been pushing SaaS. But the financial barriers to channel partners’ SaaS advocacy are being broken down. 

Now that the path for VARs to play in the cloud is being forged, and their play along with software vendors, aggregators, and ISPs being validated, distributors and DMRs, long wedded to on-premise license models, are going to have to figure out their place in the new cloud channel order. 

What do you think? Is this one of many experiments? What is the role for distributors and DMRs in cloud computing?

Outsourced AR Isn't Making The Connection To Their Sales Enablement Value

Ellen Carney

A lot of emerging companies think they've "arrived" when they've launched their first analyst briefing "tour." Oftentimes, these start-ups have very small to no marketing function internally, instead turning to outside agencies for public relations, marketing communications, and of course, the debut to the analyst influencers. These small firms feel confident that once they've placed themselves in the hands of the seemingly capable agencies, they'll get all the ink and influence needed to execute the hockey-stick growth curve they've presented to their board and investors. The agency then scurries off, schedules a bunch of analyst briefings, and gives themselves a big pat on the back: mission accomplished! The appointed briefing time comes, the firm's show dog delivers the pitch, and then. . . the promise of a successful briefing fizzles.

Earlier this week, I had a briefing with just such a start-up. The agency dutifully sent me the slides in advance and, as analysts are inclined to do, I took a look. . . and was left wondering just what value this agency was providing to this client. Why? The slide deck, while short, did nothing to sell this company to me, the analyst. Here's the start-up's value proposition:

To this end, Company X seeks to design a system leveraging the latest technologies and utilizing a common processing engine and user interface to provide an integrated, easy-to-use, cost effective solution for financial institution.

Huh?

The start-up's strategic direction?

Our goal is to provide a product that:

Read more

Five Highlights From HP’s Analyst Briefing This Week

Peter O'Neill

By Peter O'Neill

I spent a couple of days with HP executives this week here in Boston. As I worked there myself for 20 years (up to 2001, so I have distance as well), I’d like to comment about how their enterprise business strategy now looks. Of course, I wasn’t alone there; there were 250 of us. Those who follow my peers in Twitter may already be overloaded with multiple 140-character cuts: my impression is that the tool tends to makes them behave more like adolescent journalists than analysts. Often, they were broadcasting tweets before even noticing that a particular statement was “under NDA”. Vendors will learn to be more cautious in the future; which is not good for us analysts. Anyway, here are my highlights of the HP briefings.

HP’s Converged Infrastructure story includes the pending acquisition of 3COM

Nice to see that HP now has (servers + storage + networking) PLUS power & cooling! Now, HP has Cisco squarely within their sights with this one, dropping statements like “they’re just a $30B vendor while we spend over $50B in our supply chain”; “as soon as we can, we will replace ALL our Cisco gear with 3COM and realize 45% savings”; and “of course, all 3COM products use the same operating environment, unlike them”. 

My Take: Well, Cisco started this. They are, indeed, seriously threatened. If HP apply their financial muscle and play the pricing game, Cisco’s business and margins may well suffer. Remember, networking is the highest margin area in IT infrastructure: HP is adding it, Cisco is diluting it. But, I also think that Cisco will make other game changing moves in the next months. HP strategists should not be resting on their laurels, they should be doing scenario planning - and thinking way outside the IT infrastructure box.

Read more

Spotted - 2 interesting European marketing automation vendors

Peter O'Neill

I met with two interesting marketing automation software vendors last week. As a patriot certainly, I like that there are these European companies with some very innovative ideas that will contribute to the success of both factory and field marketers in the tech industry. But it is also their innovation that I find interesting.

Read more