2012 State of Partnering

2012: The Threshold of the Next Wave of IT Growth: 

2012: The Threshold of the Next Wave of IT Growth Part I - The Vendors’ Plans January 26, 2012

We Elevate the Impact of Your Partnering: 

We Elevate the Impact of Your Partnering PartnerPath is the only company with a holistic approach to designing, implementing and automating go-to-market models to increase impact and awareness

Research Overview: 

Research Overview 6 th Annual Study 98 diverse vendors responding: 45% global, 42% N. America 50% <$500M , 41% >$1b Software & networking focus Avg. 42% revenue through partners 248 N. American solution provider respondents (1:1 interviews) Broad array of plans and priorities

Panelists: 

Panelists Paige Erickson V.P., North American Partners & Alliances Bill Cate Sr. Director, Global Partner Programs

PowerPoint Presentation: 

Market Outlook Enablement Activities Professional Services & Cloud Investments Staffing and Organization Channel Spending Discussion

Audience Poll : 

Audience Poll What kind of year do you predict for your partnering efforts in 2012? Bullish – we’re investing for major expansion & growth Shifting – we’re using our existing resources in different ways to get better results Renovating – we’re making major changes in our strategy or program structure Coasting - we’ve made lots of investments & changes recently and will ride the wave & manage for results Not exactly sure

Poised for Big Growth …?: 

Poised for Big Growth …?

PowerPoint Presentation: 

Market Outlook Solution providers very optimistic about 2012 revenue Revenue Forecast Top Value Metrics: New business Competitive marketshare gains Customer satisfaction Vendor’s top metrics – new business, marketshare

PowerPoint Presentation: 

Market Outlook And access to capital restricts smaller partners’ service investment 20% of <$20M partners But, customer decisions are still cost-driven $20M+ Partners re: challenges: “The economy; people are cutting back and letting go of employees” “Getting people to spend money” “Slow payment”

PowerPoint Presentation: 

Market Outlook Enablement Activities Professional Services & Cloud Investments Staffing and Organization Channel Spending Discussion

Enablement Activities: 

Enablement Activities Sales skills still a big vendor priority 2012 Top Vendor Priorities 1. Ease of doing business – 46% 2. Recruiting the right partners – 38% 3. Increasing partners’ sales skills – 28% Selling LOB value is focus

Enablement Activities From Technical to Sales - Where’s Services?: 

Enablement Activities From Technical to Sales - Where’s Services? 9.) In 2012, what do your anticipate your company's most highly valued partner performance metrics, BEYOND sales volume? (choose top two) Only 30% plan to offer Prof. Services training or share IP with partners

PowerPoint Presentation: 

Market Outlook Enablement Activities Professional Services & Cloud Investments Staffing and Organization Channel Spending Discussion

Professional Services Investments: 

Professional Services Investments QV: Around which type of services are you most interested in cultivating partner delivery skills in 2012? QP: Which of these services are you most interested in offering or expanding in 2012? Partners focused on managed and cloud services Vendors want partners to build Professional Services

Cloud Services – Vendor Expectations: 

Cloud Services – Vendor Expectations Q: What will your company's positioning on offering IT as a service or cloud-related services in 2012? (check top two) Q: What primary role(s) do you expect partners to play sales and/or delivery of your cloud solution(s) in 2012? (check top two) Vendors trying all engagement models for cloud Expect Partners To: Resell their cloud services Manage customer relationship Offer pre- and post-sale Professional Services Refer sales to vendor Sell services for large Service Providers Build SaaS apps.

Cloud Services – Partners’ Plans: 

Cloud Services – Partners’ Plans Expect Partners To: Resell their cloud services Manage customer relationship Offer pre- and post-sale Professional Services Refer sales to vendor Sell services for large Service Providers Build SaaS apps. Q: How likely is your company to begin offering cloud solutions in 2012? (1 = "not at all likely," and 7 = “extremely likely”) Solution providers of all sizes still taking a wait-and-see attitude

PowerPoint Presentation: 

Market Outlook Enablement Activities Professional Services & Cloud Investments Staffing and Organization Channel Spending Discussion

Partners’ Staffing Crisis: 

Partners’ Staffing Crisis Trouble finding the right sales & technical talent 2011 - 22% 2012 - 31% “The biggest challenge is growing our business with the current staff that we already have without hiring more employees.” “Finding capable sales people, that is really the most important factor.” “Finding quality people in a weak economy; finding people who are educated in sales of services.”

Vendor Field Teams – Sales or Business Development?: 

Vendor Field Teams – Sales or Business Development? 2012 Vendor Staffing Plans Actively involved in our business planning & support our growth plans Only interested in their products and short-term sales 25% 31%

PowerPoint Presentation: 

Market Outlook Enablement Activities Professional Services & Cloud Investments Staffing and Organization Channel Spending Discussion

Channel Spending – Refocus on Marketing: 

Channel Spending – Refocus on Marketing 11 .) How do you generally intend to change those spending percentages for 2012? (each coded as increase, no change, decrease)

Channel Spending – Refocus on Lead Generation & MDF: 

Channel Spending – Refocus on Lead Generation & MDF #1 Partner Plan to Increase Revenue In annual revenues #1 Vendor Plan to Increase Partner Profitability 2012 2011 Doing more lead generation for / with partners 42% 60%

Join Us Next Month: 

Join Us Next Month State of Partnering Results: The Solution Providers’ Perspective Thursday, February 23, 2012 Guest Panelist: Mont Phelps, President & CEO