How Customers Choose Solution Providers, 2010: The New Buyer Paradox

Author:	Julie Schwartz, Katie Espinola, Olivier Nguyen Van Tan
Published:	January 6, 2011
Ref. Number:	F018
Pages:	236 slides

2010 was the year of marketing transformation. One of the key drivers behind marketing’s need to transform is that the buyers themselves are transforming. ITSMA’s research with buyers shows that buyers are saying one thing, but their behavior shows something else. We are calling this the New Buyer Paradox.

What is the New Buyer Paradox?

Cost conscious, yet investing. Buyers are dealing with numerous business challenges, sometimes contradictory: being cost-cautious and supporting growth
Cloud wary, yet hopeful. Buyers see cloud computing as a major disruptive technology wave with many benefits, forcing them to re-think their IT landscape
Self-reliant, yet dependent. Buyers are pushing salespeople out of the early stages of the buying process with search, industry influencers, their peers, and social media, yet they demand strong relationships
Short on time, yet content hungry. Time-constrained buyers maintain a robust appetite for relevant content, but they want it packaged and delivered on their terms
Individualistic, yet collective. Buyers want customized solutions based on their unique business needs, but they want to see where solution providers have done it before
Thoughtful, yet pragmatic. Buyers are looking for both visionary thought leadership and realistic solutions

ITSMA, in partnership with Pierre Audoin Consultants (PAC), conducted the 2010 version of its acclaimed How Customers Choose research across three continents.

Specifically, the study answers questions such as:

How has the current economic situation impacted the way customers make buying decisions?
What are buyers’ plans for cloud-based solutions?
What role does thought leadership and epiphany marketing play in the buying process?
When customers have a need, how and where do they look for potential alternatives?
How are buyers using social media during the purchase process?
When creating a short list of providers, what sources of information do they use?
What is the most important criteria used to select solution providers?

Download an Abbreviated Summary of this study!

Study Methodology

In Fall 2010, ITSMA surveyed, via phone, 486 business and IT executives from companies that purchase business or technology solutions for individual contracts over $500,000. These respondents represented larger enterprises, ranging from $100 million to $20 billion or more in annual revenue from six different countries: US, UK, France, Germany, China, and India. They
also represented a variety of vertical markets, including:

Manufacturing
Financial services
Communications
Public sector
Healthcare
Energy/utilities
Life sciences