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ITSMA E-ZINE
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D
e c e m b e r 2000
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Dear
ITSMA Friends and Colleagues,
With
the holidays fast approaching, ITSMA wants to know about your charitable
or cause-related marketing plans. Drop us a line to share your best
practices in philanthropy. In the spirit of giving, we've also got
a bounty of new research to support all your year-end strategy and
budget work. Check out four new publications below on alliance and
partnership programs, sales force retention, and how customers define
value. And that $2,500 reward is still waiting for your top-notch job
referral!
Have
a great December!
-Rob Leavitt, Associate Director of Research,
Editor of ITSMA's E-ZINE
IN
THIS ISSUE
What's
Hot: Standardized
Customization and Automated High-Touch
Professional
Development: Get
Smart with ITSMA
December
19, 2000: High-Performance Marketing for CRM Services (Online Briefing-free
for members)
2001
Events: Preview Next Year's Courses, Conferences, and Briefings
Download
Now: How Customers Define Value (Slides from November 21 Online Briefing)
Research
Desk: New
Reports on Alliance Programs at AGENCY.COM and Bain & Company
The
War for Sales Force Talent (Research Summary)
Brand
Study Sponsorships Still Available-Sign Up Now!
Sound
Byte: Driving
Business Website Traffic
Member
Voices: EDS Tackles COMDEX:
Are Trade Shows Worth the Investment?
Toolbox: A
Day in the Life: Client Visit Checklist
Reader
Survey: Another
Winner!
$2,500
Reward: Refer
a Colleague to ITSMA and Help Us Grow
Please
forward this E-ZINE to interested colleagues!
To SUBSCRIBE a friend or to UNSUBSCRIBE,
e-mail our office at siozzo@itsma.com
Reader
Survey: Click
here http://65.202.39.35/surveys/ezine_survey.asp to
respond and enter a monthly drawing for an ITSMA fleece pullover.
What's
Hot: Standardized
Customization and Automated High-Touch
Are
oxymorons the key to success? Every client for high-end IT services is
different and has unique wants and needs. But they all want the personal
touch. This is not news. The challenge for IT services providers, of
course, is to standardize and automate as much as possible to drive down
costs, increase margins, and maximize speed to market. So we race across
a tightrope, trying to balance standard technologies, methodologies,
and self-serve systems in one hand with personalized and customized service
in the other.
Amid
the balancing act, according to Earle Humphreys, CEO of Global Network
Technology Systems (GNTS), developing and packaging intellectual property
is a critical success factor.
The
GNTS sweet spot is "network infrastructure architecture," which encompasses
the design, deployment, and secure management of fixed and virtual networks. Many
companies think that success in this market, Humphreys asserted at ITSMA's
recent TelecomServices/2000 conference, rests solely on having a high-end,
first-class talent pool. However, given that people often come and go
and the labor market is tight, Humphreys believes that firms that are
able to package intellectual property in the form of exclusive delivery
tools and methodologies will be the ultimate winners. Such tools and
methodologies are especially necessary to help business partners deliver
higher-value services more quickly, affordably, and consistently on a
global scale. Reliance on partners for the bulk of service delivery,
in turn, allows GNTS itself to focus much more intensively on customizing
standard offers for different market segments and maintaining top-level
personal contact with the most strategic clients.
Investing
more in the creation of intellectual capital won't make the race across
the tightrope any less necessary, but it might make the tightrope a bit
wider and easier to negotiate.
-Rob
Leavitt
Professional
Development: Get Smart with ITSMA
[TOP
OF PAGE]
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"Everything
from the content and the instructors to the attendees made
the class a success. I learned about new and existing tools
and techniques from all these sources and can go back to the
office and begin implementing many of them immediately."
-Ron
Davis, Marketing Programs Manager, Cisco Systems, on a recent
ITSMA course
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December
19, 2000, 12:00-1:00 p.m. EST: Online Briefing: High-Performance
Marketing for CRM Services (free
for ITSMA members)
What's
the latest in marketing CRM services? How does your program stack up?
Join Rob Leavitt, ITSMA's associate director of research, to discuss
such issues as marketing end-to-end customer relationship management
(CRM) solutions, vertical markets, partners and alliances, application
service providers (ASPs), and outsourcing. Rob will present findings
from a new ITSMA survey on marketing CRM services and assess best practices
in the industry. To
register online, visit High-Performance
Marketing for CRM Services
2001
Events: First Look
Planning
is hot and heavy for next year's lineup of industry-leading courses,
conferences, and briefings for ITSMA members. Early highlights include
these:
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January
23, 2001, 12:00-1:00 p.m. EST: Online Briefing: IT Services Marketing: State of the Profession Address (free
for ITSMA members). Join Julie Schwartz for a discussion of critical
trends, metrics, and challenges in the year ahead, based on ITSMA's
most recent benchmarking data.
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February
20-23, 2001: The
Client-Centric Marketing Course: Accelerating Services' Growth
Through Client-Focused Initiatives (San
Jose, CA). ITSMA's highly regarded core
course for professionals new to IT, new to services, or new to
services marketing. MBA credit available to attendees through Babson
College.
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March
28 and 29, 2001: Building a Market-Focused Services Strategy Workshop, with
Dr. Lynn Phillips (San Jose, CA). Join
one of ITSMA's top-ranked faculty for an intensive program on refining
value propositions, designing new value offerings, and communicating
value to customers more effectively and efficiently.
Other
highlights next year include a chief marketers conference, our annual
e-Services Marketing Forum, and annual conferences for marketing IT services
and telecom services.
Check
out Julie Schwartz's November 21, 2000, presentation with data from a
recent ITSMA customer survey on how customers define value.
ITSMA
2001 Events Preliminary Calendar
Research
Desk: Alliances,
Sales Force Retention, and Brand Awareness
[TOP
OF PAGE]
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"...Dynamite
report. Excellent piece of work. I have forwarded [it] to our
entire senior management team for review."
-Ralph
Wakerly, vice president, marketing, First Consulting Group, on
a recent ITSMA report
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AGENCY.COM
Alliance Program Maximizes Partnership Benefits: New Best Practice
Case Study Highlights Alliance Program Strategies, Systems, and Initial
Results
Virtually
all providers of e-Business services are assembling networks of partners
to expand their marketing reach and delivery capabilities. However, few
have invested as heavily in developing the evaluation, management, and
relationship-building aspects of partner programs as AGENCY.COM. ITSMA's
new Best-Practice Case Study reviews
the systems and practices the company has used to maximize the benefits
of an e-Business services partner network and highlights a series of
applicable "lessons learned." Key takeaways address necessary levels
of investment, partner recruitment and evaluation, relationship management,
joint training, and unexpected benefits.
"AGENCY.COM:
Building an E-Business Services Alliance Program" was distributed recently
to all ITSMA member delegates. Additional copies are available to members
for a nominal reprint charge and to all others for $795.
Bain
Enters the E-Services Fray with BainNet Alliance Program: An Interview
with Steve Berez, Vice President of E-Commerce, Bain & Company
Alliances
are all the rage in the e-Services and e-Consulting markets, but Bain's
June 2000 launch of a global alliance of Internet service providers represents
an aggressive initiative into the e-World from the traditional, high-end
management consulting firms. Steve Berez developed and manages BainNet,
and he spoke recently with ITSMA about BainNet's rationale, how the program
works, and how it differs from other alliances in the IT sector.
ITSMA's
Viewpoint interview with Steve Berez was distributed
recently to all ITSMA member delegates. Additional copies are available
to members for a nominal reprint charge and to all others for $395.
For more information or to order copies, visit our
research library or contact Paul
Gates at +1-781-862-8500, ext. 15, or pgates@itsma.com.
The
War for Sales Force Talent (Research Summary)
The
war for talent rages in the sales ranks, just as it does for engineers
and consultants. Sales organizations are the most recent casualty in
the fight to retain good employees, and they're asking themselves the
same questions as the other industry players: How can we build IT services
sales teams that are stable and satisfied? How do we combat competitive
poaching? Are stock options still an effective incentive? Most important,
are we doing everything we can to find and keep the best salespeople?
Reducing
sales force turnover is one of the most effective ways to control costs
and increase productivity. External forces such as labor market conditions
and the economic climate will always impact sales force retention, and
there isn't much you can do about that. However, you can address
the internal elements. Analysis of sales force turnover reveals multiple
causes for employee dissatisfaction. These causes are often related to
at least one of the three Cs: compensation (salary, commissions, benefits,
incentives), commitments (quotas, deadlines, travel, stress), or consideration
(recognition, respect, trust, autonomy).
ITSMA's
new Services Sales Effectiveness Update, "Find 'Em, Get 'Em, and
Most Important, Keep 'Em: Best Practices in Sales Force Recruitment and
Retention," explores the common
themes and unique practices of IT services sales organizations to find,
develop, and retain qualified sales forces.
Key
recommendations that emerge from the new Update include:
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Create
a dedicated and specialized sales recruitment team rather than relying
on general human resources recruitment.
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Provide
ongoing training and professional development to strengthen relationship
management skills throughout the sales force.
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Balance
top-tier monetary compensation and incentives with nonmonetary benefits
and recognition programs.
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Create
a formal and aggressive program to minimize sales force turnover.
How
comprehensive is your program to find 'em, get 'em, and keep 'em?
-Lori
Weiner lweiner@itsma.com
ITSMA
recently sent the new Update to
all subscribers to the Services Sales Effectiveness program. The publication
is available for sale to all other members for $595 and to nonmembers
for $695. For more information or to order copies, visit our research
library.
Sign
Up Now! Sponsorships
Still Available for Brand Awareness Research
[TOP
OF PAGE]
Networking
and Telecom Services Brand Awareness Study, Fall/Winter
Traditional
equipment vendors, systems integrators, professional services firms,
and a host of other contenders are vying for brand leadership in the
exploding networking and telecom services space. ITSMA's new Networking
and Telecom Services Brand Awareness Study will offer sponsors a
choice of two markets: the services
provider market and/or the enterprise market.
Sponsors will help shape the survey instruments and influence the respondent
profiles, as well as gaining early access to the data. Sponsor fees range
from $12,500 to $35,000 per segment. Contact Matt Leary at +1-401-683-7589
or mleary@itsma.com to
participate or view a study
prospectus online.
Only
two slots left for Networking and Telecom sponsorships!
CRM
Services Brand Awareness Study, Winter 2000/2001
Like
networking and telecom services, the fast-growing CRM market is awash
in new technologies, new types of services offerings, new competitors,
and entirely new business models. ITSMA's Winter
2000/2001 CRM Services Brand Awareness Study will create a critical
research foundation for all CRM services providers seeking to better
understand the market. Primary and secondary sponsors of the study will
gain early and affordable access to fresh data on unaided and aided brand
awareness, customer preferences, relative positioning, and other critical
metrics in the race for market leadership. Sponsor fees range from $12,500
to $27,500.
Visit
ITSMA's Online Research Library,
the leading resource for specialized studies and reports on branding,
online marketing, professional development, sales effectiveness and
other critical marketing topics.
Sound
Byte: Driving
Business Website Traffic
[TOP
OF PAGE]
"Direct-response
marketing is the most efficient and cost-effective means of driving Web
traffic. If your goal is to achieve new customer acquisition, I would
invest my limited marketing dollars in the following priorities:
- Search
engine optimization
- Email
to in-house prospects lists
- Email
to partner email lists
- Ads
in targeted newsletters
- Direct
mail to in-house and targeted lists"
-Craig
Lakey, vice president of marketing, Hoovers, "Interview: Hoovers' VP
Marketing Gives His Top Online Marketing Tactics for Business-to-Business
Success," B2BmarketingBiz.com,
November 14, 2000
Member
Voices: Are Trade Shows Worth the Investment
[TOP
OF PAGE]
On November 7, 2000, EDS announced
a major demonstration initiative at COMDEX, the enormous technology trade
show. The company was building the world's largest temporary metropolitan
area network to service all buyers and sellers at COMDEX/Fall 2000 in Las
Vegas.
ITSMA
wondered if such an investment was worthwhile, given our general concern
with the limited payback from trade show initiatives in IT services marketing.
The
verdict? Well, you decide. Visit our Website to see:
Toolbox:
A Day in the Life
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OF PAGE]
Each
month ITSMA highlights one or two new ideas, books, applications, or
other tools that services marketers can use immediately to strengthen
their programs and organizations.
A
Day in the Life: Client Visit Checklist
Asking
clients what they want, according to Dr. Lynn Phillips, "is counsel for
despair." Phillips, a pioneer in developing, teaching, and consulting
on "market-focused management" and a regular ITSMA seminar leader, urges
instead that marketers study clients' behavior and creatively infer how
best to help them succeed. "Becoming the client is quite different than
just asking them what they want," he explains.
ITSMA
strongly supports Dr. Phillips' approach and often suggests the simple
device of spending "a day in the life" of a strategic client. Observing
how your most important clients operate on a daily basis often provides
deeper insights than other research tools into how your services-or packaged
solutions-can impact the client's business.
Spending
a day in the life of your clients can address
several critical objectives, including:
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Observing how your service
is used in daily practice; you could learn about implementation issues
or identify how your services benefit your clients in ways that you
never imagined.
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Learning
more about your client's internal and external relationships; you
will begin to understand how the benefits of your services and solutions
would be either minimized or maximized based on the human factors
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Identifying
the service "trouble points" and the client's "points of pain"; quite
often you will discover technology needs that require new services
or solutions from your company. This activity provides critical input
in the new services development process.
Table
1 provides a handy checklist of questions for marketers who are interested
in implementing a "Day in the Life" program with one or more
key clients.
| Table
1: A Day in the Life: Client Visit Checklist |
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I.
Strategy and Logistics
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Selection:
Should you visit a customer that is loyal, prospective, dissatisfied,
within a specific vertical, etc.?
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Visitors:
Will marketing, sales, technical, and/or other staff participate
in the visit?
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Timing:
Will you observe your customer during normal/peak/low activity
time, during new service introduction, on a particular day
of the week/month/quarter, etc.?
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Length:
Do you want to spend an hour, a day, or make multiple visits?
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II.
Internal/Customer Relations
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Internal
organization acceptance: Have you established objectives and
benefits to all key parties within your own organization and
coordinated with relevant customer contacts?
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Customer
acceptance: Have you established win/win understanding for
the visit and gained an understanding of any relevant sensitivities,
limitations, etc.?
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III.
Execution
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Sources
of information: Will you include workflow observation, interviews,
observation of working environment, etc.?
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Motivators:
Can you assess the customer's relevant incentive systems, personnel
attitudes toward other stakeholders, career advancement opportunities,
etc.?
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Data
capture methods: Will you take notes, photos, video, audio
recording, etc.?
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Recognition
of customer investment in your visit: Will you compensate the
customer with fees, sharing information, commendation to their
supervisors, etc.?
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Maintenance
of the customer relationship: How will you make sure the customer's "owner" at
your firm is kept in the loop?
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Breakthrough
thinking: How will you use the visit to look at your own service
in a totally new light?
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Source: ITSMA, 2000
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Reader
Survey: Another Winner!
[TOP OF PAGE]
A special thanks to all those
readers who responded to our E-ZINE Reader Survey last month. Readers
continue to tell us they want more research findings, more commentary,
and more analysis of services marketing-related news. We're working include
more of this type of material while remaining sensitive to e-mail clutter.
And we do have a winner! Congratulations
to Allan Kaufman, director of business planning in 3Com's e-Business Professional
Services Group. Allan was the winner of our November drawing for an ITSMA
pullover fleece. All December survey respondents will be entered into a
new drawing for yet another fabulous ITSMA fleece, just in time for winter!
$2,500
Reward: Refer a Colleague to ITSMA and Help Us Grow
[TOP
OF PAGE]
ITSMA is growing fast, and we
can't do it alone. Opportunities to expand our highly regarded research,
consulting, and professional development services abound, and we're looking
to fill a number of new positions. If you know someone who can help us
grow, give us a shout.
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