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Rodney Foreman. Cloud & Smarter Infrastructure Director, Worldwide Channels Sales. Caution on forward looking statements. IBM ’ s statements regarding its plans, directions, and intent are subject to change or withdrawal without notice at IBM ’ s sole discretion.
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Rodney Foreman Cloud & Smarter Infrastructure Director, Worldwide Channels Sales
Caution on forward looking statements IBM’s statements regarding its plans, directions, and intent are subject to change or withdrawal without notice at IBM’s sole discretion. Information regarding potential future products is intended to outline our general product direction and it should not be relied on in making a purchasing decision. The information mentioned regarding potential future products is not a commitment, promise, or legal obligation to deliver any material, code or functionality. Information about potential future products may not be incorporated into any contract. The development, release, and timing of any future features or functionality described for our products remains at our sole discretion.
“Business Partners are vital to IBM’s success “IBM’s software business is not limited in opportunity. Partners can help us reach our goals." Steve Mills, Senior IBM VP, SWG
What is Software as a Service (SaaS)? Software as a Service (SaaS) is a software delivery model in which software and associated data are centrally hosted in the cloud. SaaS is typically accessed via a web browser. Payment for the service is through a subscription model. You are using SaaS today if you access applications like Facebook, Twitter, or gmail. See the last page in this deck for additional resources on SaaS, Cloud, and utility-based computing
What is driving the move to SaaS? Market dynamics and disruptive technologies are driving the shift to SaaS consumptions models Developers want Low touch, easy to consume, continuously updated software Cloud Social Mobile CxOs want Lines of Business want Predictability Lower costs Quicker business value Access from anywhere To create new offerings by composing services from multiple providers Embedded Intelligence Big Data IT Operations wants To manage on-premise, Cloud, and hybrid environments
…and the decision making process is changing Decision making power is shifting from the traditional IT buyer to a new audience - the Line of Business owner & practitioner • By 2016, 80% of new investments will directly involve LOB execs with LOB leading decisions in more than 50% of those investments • 48% discover brands they are not aware of while searching, 24% decide which brand to purchase solely from their self directed digital research • 60% of the IT purchase process decision is completed before the prospect engages a vendor CIO CTOs IT Managers IT Operations Manager Data Center Manager Decision Makers Economic Buyers Decision Makers Influencers Developers Technical Leaders System Administrators IT Operations Data Scientists Recommenders Users Practitioners *Source: Google & Compete B2B Customer Study, June 2012
How can SaaS help? Improved TCO due to lower infrastructure costs Flexible subscription pricing Minimal upfront investment Continuous delivery of new capabilities allows rapid innovation and access to immediate code fixes Lower risk with try and buy approach Accelerates evaluations and decision making
What is the Total Cost of Ownership? On-premise vs. Saas 30 VMs • Software Subscription or License costs • Software Subscription or License costs • Support and Maintenance • Infrastructure Costs • Hardware • Storage • Management and Operations • Deploy App • Support Training • App Tuning • App Support • Software Maintenance (e.g upgrades) 1650 VMs 300 VMs
What is the competition doing? While the Old Lions fight, the Hyenas are stealing the foodC&SI on April TT Study Hyenas … Old Lions … IT Operations wants To manage on-premise, Cloud, and hybrid environments
Why are Customers buying SaaS? Customers that want to shift from Capital Expenses (On-premise) to Operating Expenses (SaaS) to fund software purchases Other 17% 18% Customers that wish to replace existing licensed and/or client/server applications with SaaS applications 15% Customers who want to quickly gain access to new capabilities that they cannot obtain by purchasing existing software products and services 50% *Source: Gartner, Softletter, Forrester, GigaOM
A New Way to experience and acquire our on-premise and SaaS solutions How is IBM delivering this? IBM Service Engage
IBM Service Exchange – Digital Presence • Readily available • Continuous delivered • Scaling to needs • Immediate Feedback Learn Explore Try Extend Use / Buy Support
Why is this important to YOU? Service Engage faster time to value for your clients POC in days not weeks / months with 30 day evals Earn quick wins, close more often, earn more money Expand your footprint in your accounts using a land and expand strategy Displace competitors, on flexibility, broad capabilities, lack of comparable offer Service engage puts you and your clients in the driver’s seat. Take a drive today! https://www.ibmserviceengage.com/
Application Performance Management What SaaS Offerings can you sell NOW? IBM Application Performance Management Entry (SaaS) $25/month per Average Managed Virtual Server (aMVS) >1000k jobs, each 1K job pack is priced at $21 per month Workload Automation From 251k to 1,000k, each pack of 1k is priced at $35/month IBM Workload Automation (SaaS) Starts at $70 per 1,000 executed jobs per month From 26k to 250k, each pack of 1k is priced at $56/month h From 1k to 25k monthly executed jobs, each pack of 1k is priced at $70/month • IT Service and Asset Management IBM SmartCloud Control Desk (SaaS) $99/month per Authorized User $297/month per Concurrent User
IBM Performance Management for Applications and Infrastructure solutions increases your end user satisfaction with complete visibility and control of your application environment.
IBM Workload Automation (SaaS)drives the execution of Business Processes with the lowest TCO across all environments, servers and applications. It offers speed of automation, power to business and precise governance.
SmartCloud Control Desk (SaaS)delivers a unified service management solution to simplify business processes, maximize asset efficiency, and improve the end user experience
What are the Business Partner SaaS Programs? IBM delivered SaaS BP delivered SaaS Referral Re-Marketers BP Storefront IBM Software Value Plus (SVP) Leverage standard two tier distribution channel IBM SaaS Referral Incentive Leverage IBM SaaS Offerings to enhance solutions Application Specific Licensing(ASL, xSP) BP’s solution bundled with IBM perpetual software IBM SaaS Solution Provider(SSP) BP’s expertise with IBM SaaS • Autonomous selling • Level 1 & 2 Support provided by the partner • Restricted-Use License; License held by partner • Known price to BP for the IBM SW for the duration of contract • Monthly parts available on selected products • BP resells, invoice, deliver IBM Sales Rep is incented • Authorized Partners only • Standard VAD/ VARincentive model • IBM provides Level 1 & 2 • Partner Guided Selling tool used to quote and sell • BP sell, invoice, deliver IBM Sales Rep incented • Earn 25%on subscription parts, for life of contract (single-user) • Earn up to 35%off tier price for life of contract (multi-customer) • Level 1 support provided by partner • Tier one contractual relationship between IBM and BP • BP prices independently • BP identify Opportunity, Co-Sell with IBM • Earn15%fees on first contract subscription • Level 1 & 2 support provided by IBM • IBM handles pricing
The SaaS & Service Engage Center of Competencyserves as a war room, providing a resource for sellers to get help closing a SaaS deals. Where can I get help with a SaaS deal? • The CoC web site provides information on the following: • Overviews • FAQs • Terms & Conditions • Privacy • SaaS vs on-premise • Competition • Pricing • ELAs & SaaS • DSR / ISR scripts • Typical sales cycle • Links to SaaS Offering info • Sellers can use the CoC: • For self-service • To submit a question to the community • To request help Partners - http://www.ibm.com/csicenter/partners/*
How do I maintain my leads? SaaS Inside Sales Rep qualifies client (Optional) 5 Learn Explore Try Extend Use / Buy Support 6 4 Trial list SaaS ISR SaaS ISR informs BP that client has started trial SaaS Inside Sales Rep receives client response associated with BP and matches to trial list BP Client 1 BP provides their unique IBM Service Engage url to client Client receives free trial Client registers 3 2
What do I need to know about Data Privacy? Personal datagenerallyincludes information relating to an individual -think business card (e.g. names, email addresses, home address) In some countries, also includes information about identified partnerships, associations, or corporations. IBM is a data processor, entity that processes personal data on behalf of the data controller, who would be the client responsible for entering the data. In most cases, Passport Advantage agreement covers data privacy for personal data. EU and Switzerland have additional data privacy regulations but have established the ability to create a framework with the U.S for accessing personal data. C&SI SaaS is in the process of obtaining EU Safe Harbor certification. This requires a risk assessment after we Go Live. In the meantime, we have security measures in place to restrict access to EU client data and for IBM non-U.S. employee access to Amsterdam hosting center in order to comply. IBM has an Online Privacy Statement which is another EU Safe Harbor requirement See the SaaS Center of Competency web site for further details on country-unique privacy requirements
What should I do next? • Go to Service Engage, learn about it, provide feedback • Learn about SaaS and C&SI’s 1H 2014 SaaS offerings. • Approach your top 5 customers with these questions: • Does the overwhelming cost of maintaining their infrastructure hinder developing new services that could bring in additional revenue? • Do they need to gain access to new capabilities quicker to innovate faster and stay ahead of their competitors? • Do they want to lower their Total Cost of Ownership (TCO) ? • Determine where your customer wants to be, and how they should get there. • Get them to Service Engage today • Make a SaaS proposal. C&SI Strengths: • Customer choice: On-premise, SaaS, integrated experience • Integration with broader Service Management capabilities • Accelerate sales velocity with Service Engage • Unsurpassed breath of capabilities
Where can I learn more? Sales Kits: • SaaS sales kit in PartnerWorld • At Go Live see the SaaS updates to these sales kits: • IBM Application Performance Management sales kit in PartnerWorld • IBM Workload Automation sales kit in PartnerWorld • IBM SmartCloud Control Desk sales kit in PartnerWorld Important web sites • Center of Competency • Service Engage To learn more about the technologies: • Cloud, Cloud computing • SaaS: WWW, YouTube