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Dear members, friends, and colleagues, The last few weeks have been difficult for all of us. Getting up off the mat has been slow, but it is happening one day at a time. Human contact with family, clients, and peers has helped a great deal. As an organization, we've spent a lot of time reaching out to our extended community of members and friends and also healing our own. We have appreciated greatly the many calls, e-mails, and stories of inspiration we've received from the ITSMA community. That, too, has been very helpful. As a thought leadership organization and as a professional community for marketers, we have also focused our efforts on trying to understand how marketing has and will be further affected by the recent world events. We expect a long recovery period but have confidence that sustained investments in marketing will be critical to short- and long-term success. In that regard, I'd like to call your attention to two relevant ITSMA initiatives. First, we have just published an ITSMA Commentary on "Rethinking and Rebuilding: Marketing Priorities After September 11," by Rob Leavitt. Rob has captured many of our ideas regarding areas in which organizations will need to focus in this new environment. See below for a brief excerpt and a link to the full text on our Web site. Second, we have been working hard with all the speakers for our upcoming conference in Chicago (October 15-17) to incorporate a range of new issues into the agenda. We will also present results from our new member survey on the impact of September 11, and of the economic downturn generally, on marketing. We have also organized a special breakout discussion on the new marketing challenges and priorities created by recent events. We have always been proud of the thought leadership and networking that come out of our annual conferences and hope you will consider joining us in Chicago. Lastly, please let us know if there is anything we can do to help you personally or professionally during these difficult times. We face a long road to recovery, but the technology industry and the marketing profession in particular are survivors. We will come back, collectively stronger and more determined than ever. As Sir Ernest Shackleton, the celebrated Antarctic explorer said, "Optimism is true moral courage." I look forward to hearing from you. Best wishes, —Dave Munn, ITSMA president and CEO, davemunn@itsma.com
[TOP OF PAGE] September 11: The Aftermath Rethinking and Rebuilding: Marketing Priorities After September 11 Note: ITSMA e-mailed this Commentary to ITSMA E-ZINE subscribers last week. As individuals, most of us are still struggling with the shock of September 11 and just beginning to consider the larger implications for our families and communities. As marketers, though, we know that our work will now change substantially. The economic slowdown will continue and probably deepen; marketing resources will shrink further; remote activities will become even more important than personal interaction—to cite just a few of the most obvious impacts. Quite understandably, we have spent much of the last two weeks dealing with the immediate fallout. But now what? How do we get back to some semblance of normality? It's a daunting challenge, even viewed from a strictly professional perspective. From a marketing perspective, we have to wrestle with at least six critical issues. We're interested in hearing how your organization responded to the crisis, and your thoughts, plans, and suggestions about the road ahead. Let us know what's happening at your firm, and we'll present a selection of comments in the next ITSMA E-ZINE. —Rob Leavitt Member Voices: Top Challenges in the Months Ahead ITSMA members are consistent in assessing the deepening challenges they face after the September 11 attacks, according to initial returns from ITSMA's latest Marketing Survival Survey. Across the board, representatives of a wide range of technology and professional services firms expect a serious compounding of the problems they already have been facing over the last year. Specific challenges cited repeatedly include:
Several survey participants cited the value of increasing marketing spending as markets go down but bemoaned that, as one respondent put it, "there are no reserves available to do this." ITSMA will present findings from the Marketing Survival Survey during our annual conference in Chicago on October 15-17. For more information about the survey, contact Julie Schwartz at +1-781-862-8500, ext. 12, or jschwartz@itsma.com. Handle with Care: Selling "Risk" Without Scaring Your Clients The temptation for sales-people to highlight new risks to their clients following September 11 will be great. The risks in many cases will be real, and the sales-people will indeed often have useful solutions to sell, but much thought needs to be given to any attempts to play the risk card. Scare tactics are generally not the best way to build a trusting relationship, to say the least! The challenge for sales-people is to introduce clients and prospects to the issues of risk and risk reduction in a sensitive, realistic, and constructive manner. Some of this approach is simply a matter of tone, but coaching and support can contribute greatly to a successful approach. One key is to present the benefits of your services and solutions in terms of the specific risks they address. Don't focus on generic risks, and certainly don't overstate the level of risk. Focusing on concrete risks faced by an individual company in that company's specific situation helps raise the issue in a constructive context. Another idea is to discuss the types of additional control your solutions can provide the buyer. A great deal of risk reduction involves actually providing people with a greater sense of control over their situation. Marketers can provide tools and materials that help sales-people clarify risks and benefits and thereby raise the issue in a nonthreatening way. Marketing and sales organizations together should consider the following questions:
Playing the risk card is like playing with fire. It can be a powerful tool but can easily burn out of control. Keeping it under control and managing it constructively requires thoughtful implementation, training, and support. [TOP OF PAGE] Research Desk: Best Practice: Sun's Online Sales Support (New Report) As marketers grapple with the creation of online tools for sales support, Sun Microsystems, Inc., has developed a particularly expansive, integrated, and effective online approach. Sun's sales communications network, which revolves around personalized MySales Web portals for all sales representatives, is designed to facilitate marketing support, customer self-service, online training, and direct sales. ITSMA's new best practice case study, Sun Microsystems: e-Enabling (Services) Sales, describes the evolution and current status of Sun's initiative and highlights critical aspects of the system that ensure success. Sun's MySales portal system, in fact, proved extremely helpful in coordinating crisis communications on and after September 11. Complementing special corporate-wide communications, Sun was able to use its sales communications system to consolidate emergency messaging for the sales force on such urgent issues as special initiatives to restore customers' business operations and equipment. As noted by John Hines, group manager for communications in Sun's global sales organization, "The communications process was clean, the messages were consistent, and—probably most important—everything was timely." Sun Microsystems: e-Enabling (Services) Sales was recently distributed to all member delegates. The report is also available for sale at ITSMA member and nonmember rates. For more information or to order your copy, talk to your ITSMA delegate about online access to ITSMA's Member Research Library; visit http://www.itsma.com/research/abstracts/c0034.htm; or contact Rich Staples at +1-781-862-8500, ext. 17, or info@itsma.com. Last Call! Sponsorship Opportunities for Two ITSMA Brand Studies: Professional Services and Network/Telecom Enterprise Market—Deadline Is October 5 Brand differentiation has never been more important in technology services. Competitors are pulling out all the stops to win new prospects, while existing customers are increasingly skeptical of the potential returns from services offerings. In this environment, understanding customers' changing needs and perspectives and determining the effectiveness of your marketing and branding initiatives compared with the efforts of key competitors are prerequisites for success. ITSMA's multiclient brand and market positioning studies provide critical data that assist market leaders in calibrating and evaluating their marketing strategies. Companies such as IBM, EDS, Cisco, DiamondCluster International, Accenture, Oracle, and many more have turned to ITSMA's previous brand studies for detailed answers to such questions as: How favorable is my brand versus key competitors? How do senior decision makers view my organization? Are my marketing messages reaching my target audience? What brand attributes are important to buyers, and how has that changed over time? ITSMA's two new brand studies, both to be launched this fall, will provide critical data and analysis for marketing and brand directors in two critical markets:
Both studies have two sponsorship options, primary and secondary. All sponsors will receive detailed rankings, study data, a final report, and access to a group Web briefing of key findings. Primary sponsors are also able to add private questions and receive a custom briefing analyzing their specific results versus peers and competitors. Armed with study data, sponsors will be better able to plan marketing initiatives, shape market perceptions, and track brand effectiveness on an ongoing basis. For more information on sponsoring the upcoming Network/Telecom Study, view a study prospectus online or contact Matt Leary at +1-401-635-2148 or mleary@itsma.com.
[TOP OF PAGE] Upcoming Events: 4 October 2001, 12:00-1:00 p.m. EDT: Value Pricing in Action (Online Briefing; free for ITSMA members) Value pricing, defined as pricing based on the perceived value to the client, remains an elusive ideal for many services marketers. Notwithstanding years of research and discussion on the benefits of value pricing, few companies have institutionalized the practice. IT services providers continue to compete as though their services are commodities, focusing heavily on price and often discounting to make the sale. Can you transcend the pack with a stronger emphasis on value pricing? Can the sales force sell value? Will customers buy it? Join Julie Schwartz, ITSMA's vice president of research, for a discussion of the pros and cons of value pricing, examples of how some leading companies are implementing it, and practical recommendations on incorporating perceived value into your pricing system. For more information or to register online, visit http://www.itsma.com/Events/event_desc/e09140101.htm. Registration deadline is Wednesday, October 3.
12-14 November: European Client-Centric Marketing Course: Critical Solutions Marketing Techniques for Survival and Growth (Surrey, U.K.) ITSMA's highly acclaimed core course in services marketing comes to the United Kingdom for the second time with a refined program adapted to the current European environment. The course provides participants with a structured approach to help ensure that all marketing strategies and initiatives are focused on the development of client relationships, a company's greatest assets. Participants will gain valuable knowledge, skills, and tools to help develop and execute services marketing programs that effectively communicate the value of technology services in the European marketplace. Specific topics include customer segmentation, services and solutions mapping, value proposition development, integrated marketing communications, and leveraging the sales force. For more information or to register online, visit http://www.itsma.com/events/event_desc/e11120100.htm or contact Melanie Oakley at +44-1628-527691 or moakley@itsma.com. 4-7 December: Client-Centric Marketing Course: Accelerating Services' Growth Through Client-Focused Initiatives (Boston, MA) ITSMA's core course in services marketing returns to Babson College in December. Participants will enjoy a unique opportunity to learn the specific skills and processes required for success in marketing services within the IT and networking sectors. The course is built on ITSMA best practice research presented in a series of interactive sessions and includes ample opportunity for peer learning through class discussion and team assignments. Participants will leave with an integrated services marketing framework which serves as a "road map" for implementing services marketing programs. They will also benefit from completing a structured action-planning session which helps participants apply the valuable tools learned during the course to their immediate, real world needs. For more information or to register online, visit http://www.itsma.com/Events/event_desc/E12020101.htm or contact Lore Griffith at +1-781-862-8500, ext. 19, or lgriffith@itsma.com. Events Calendar for 2001: http://www.itsma.com/aspfiles/Events/calendar.asp [TOP OF PAGE] EuroNotes: News and Views from ITSMA Europe Following a successful inaugural forum in June, ITSMA Europe has focused on sharpening its program by reaching out widely to European marketers for insights into current trends, hot issues, fresh challenges, and growing opportunities for IT services marketing organisations. The economic downturn has certainly affected IT services firms in Europe but perhaps not as much as our North American counterparts. It is a little early to measure the impact of the horrendous events of September 11th on business in Europe. Recent discussions have highlighted several common issues for European marketers:
These issues are all too often compounded by a shortfall in experienced services marketing personnel. Interested in learning more about ITSMA Europe? Contact Melanie Oakley at +44-1628-527691 or moakley@itsma.com or visit http://www.itsma.com/europe/eu_home.htm. [TOP OF PAGE] Toolbox: Services Mapping Each month ITSMA highlights a new idea, application, or other type of tool that services marketers can use immediately to strengthen their programs and organizations. Because services are performances rather than tangible physical goods, it is often difficult to describe key service processes in a way that clearly defines both employee and customer roles. This difficulty presents a major hurdle in improving existing services or developing new services offerings. Consequently, new services are often introduced without any formal, concrete specifications of the processes involved. The lack of such specifications often makes it difficult for customers to understand what they are receiving and difficult for service delivery organizations to achieve maximum quality and efficiency. View ITSMA's Services Mapping Tool for guidelines that can help marketers design and communicate intangible services processes more clearly and effectively. [TOP OF PAGE] ITSMA in the News: ITSMA To Present on Solutions Marketing at COMDEX Fall 2001 ITSMA has announced a schedule of presentations on helping product firms make the transition from product to solutions marketing at COMDEX Fall 2001 in Las Vegas. Two presentations each day will be open to all attendees on November 13-15. ITSMA experts will also be available for private meetings and discussions. For more information on COMDEX Fall 2001, visit http://www.key3media.com/comdex/fall2001/ Do you have a services marketing question? (c) Copyright 2001, ITSMA Please forward this newsletter, but only in its entirety. Public citation or publication of any information herein is encouraged but subject to U.S. and international copyright law and conventions. Any citation must include full attribution to ITSMA. Individual graphics or paragraphs can be published without permission as long as attribution to ITSMA is included. Publication of longer selections or complete articles requires ITSMA permission. For permission or more information, contact pr@itsma.com. Subscription Information Subscriptions are available in text and HTML versions. To SUBSCRIBE or to change your subscription to a text or HTML version of the ITSMA E-ZINE, visit http://www.itsma.com/aspfiles/press/ezine.asp. To UNSUBSCRIBE or suggest other potential subscribers, please e-mail us at siozzo@itsma.com. Back issues of ITSMA E-ZINE are available at http://www.itsma.com/press/press_ezine.htm. |
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