In 2002, Avaya faced declines in its services maintenance renewals, a significant source of revenue and profits. Concerned with the erosion of business and determined to address the situation effectively, Avaya realized that it needed to move to a value-based approach that focused on the needs and objectives of its customers in order to stabilize its post-warranty, maintenance contract business. To achieve this goal, Avaya tapped its Global Services Marketing team, which emerged as the driving force behind a strategic shift in the way the company does business.

This ITSMA Case Study describes the marketing-led turnaround in Avaya’s maintenance services business. It outlines the steps Avaya took to identify the threats to its business, craft a cross-functional solution to communicate the value of its services, and develop a successful, multi-tiered marketing program. The report highlights how Avaya made its remote services more tangible and valuable using customer-driven tools and an integrated marketing program. Finally, it spotlights the success of the program, which, by early 2004, had not only stabilized renewal rates, but had spurred growth, increased services revenue, and strengthened customer loyalty.