More Related Content Similar to Facing the forces of change survey results segmented by total sales_october 2011 (20) Facing the forces of change survey results segmented by total sales_october 20111. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online Survey Results
Segmented by Self-Reported Total Sales
388 total responses
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
1 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
2. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Leading distributors are taking decisive actions and investing to
position themselves for a complex future
Decisive Actions for an Uncertain Economy
Latest iteration of
Facing the Forces of Change®
Available via the N.A.W. website:
http://www.naw.org/
Guy Blissett
Guy Blissett
Wholesale Distribution Lead
Wholesale Distribution Lead
IBM
IBM
Guy.Blissett@us.ibm.com
Guy.Blissett@us.ibm.com
(917) 224-9868
(917) 224-9868
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
2 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
3. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Total Sales segmentations
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Notes:
Notes:
• •Number of respondents to each question varies… see Sample Size figure on
Number of respondents to each question varies… see Sample Size figure on
each chart for specifics
each chart for specifics
• •Y-axis scale differs from chart to chart… avoid using visual comparisons
Y-axis scale differs from chart to chart… avoid using visual comparisons
• •Each chart is an embedded Excel file
Each chart is an embedded Excel file
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
3 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
4. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant
Title Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
70% 67%
58%
60% 55%
50%
43%
38% 37% 38%
Column %
40%
32%
29%
30%
19%
20% 17%
11%
8% 8% 7% 9%
10% 6% 7% 5% 6%
0%
Chief Executive Of f icer / Director / Vice President Regional / Branch / Sales Other (describe in
Chief Operating Of f icer / Manager comments box)
Other C-suite / President
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
Sample Size = 365 $20 million and above
million million million
4 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
5. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant
Primary responsibility than $20 million
Less $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
80% 75%
72% 70%
70%
63%
60%
50% 46%
Column %
40%
30%
23%
19% 20% 20%
20% 15%
12%
10% 10%
9%
10% 5% 6% 5%
2% 1% 2% 2%1% 0% 3% 3% 1% 2%
3%
0% 0% 1%0% 0% 0% 0%0% 0% 0%
0% 0%
0%
Executive / Sales / C usto m er Supply C hain / P ro curem ent Finance / Info rm atio n Other
M anagem ent M arketing / Service Lo gistics A cco unting Techno lo gy (describe in
D em and co m m ents
Fulfillm ent bo x)
$20 million $50 million $250 million
Sample Size = 363 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
5 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
6. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant
Organization size (Total Annual Sales)
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
120%
100% 100% 100% 100%
100%
80%
Column %
57%
60%
43%
40%
20%
0%0%0%0% 0% 0%0%0% 0%0% 0%0% 0%0%0% 0% 0%0%0%0% 0%0%0%0%
0%
Less than $20 $20 million to $50 million to $250 million to $500 million to $1 billion or more
million $50 million $250 million $500 million $1 billion
$20 million $50 million $250 million
Sample Size = 367 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
6 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
7. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant
Ownership Less than $20 million
structure $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
99% 100%
100% 95%
90% 85%
80%
70%
60%
Column %
53%
50% 47%
40%
30%
20% 15%
10% 5%
1% 0%
0%
Privately Held Publicly Traded
$20 million $50 million $250 million
Sample Size = 360 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
7 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
8. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant
GeographicLess than $20 < $500 million
sales to million
$250 million
coverage $20 milllion to < $50 million
$500 million to over $1 billion
$50 million to < $250 million
60%
51%
48%
50% 45%
44%
41% 42%
40% 37%
Column %
30%
30% 25% 25%
21%
20% 16% 18%19%
14%
9% 10%
10%
4%
0% 0%
0%
Local: We serve Regional: We serve Multi-Regional / National: Multi-National: We serve
customers w ithin a single, customers w ithin multiple We serve customers in customers both inside
local geographic market geographic markets in a multiple regions of North and outside North
single region of North America A merica
America
$20 million $50 million $250 million
Sample Size = 355 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
8 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
9. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant $20 milllion to < $50 million
Less than $20 million $50 million to < $250 million
Organization’s majority customer type $1 billion
$250 million to < $500 million $500 million to over
50% 47%
45%
39%
40% 36%
34%
35% 33%
31%
29%
30% 28%
Column %
24%24%
25% 21% 20%
20% 18% 18%
16%
15%
15%
11% 9%
9%
10% 7%
5%
4% 3% 3% 2%3%
5% 1% 2% 1% 0% 2% 0% 0%
2%
0% 0%
0% 0% 0% 0%
0%
Co ntracto rs Industrial Retail sto res Co m m ercial Health care Independent N o n-pro fit and Other
m anufacturing facilities pro vider and chain Go vernm ent who lesaler-
facilities restaurants, institutio ns distributo rs
cafeterias
$20 million $50 million $250 million
Sample Size = 347 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
9 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
10. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant $20 milllion to < $50 million
Less than $20 million $50 million to < $250 million
Organization’s type of sales million to over $1 billion
$250 million to < $500 million $500
70%
63%
60% 56%
50% 48%
46%
40% 41%
39%
Column %
40%
34%
29% 30% 29%
30%
20%
14% 15%
11%
10% 7%
0%
General Line Firm: 90% of sales Specialty Firm: 90% of sales f rom Limited Firm: 90% of sales f rom a
f rom more than f ive lines of trade tw o to f ive lines of trade single line of trade
$20 million $50 million $250 million
Sample Size = 342 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
10 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
11. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Online survey participant
Organization’s primary products to < $50 million
Less than $20 million $20 milllion $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
35%
30%
30% 28% 28%
27%
26%
25% 23% 22%
21% 21%
20% 19% 20%
Column %
18% 19% 19% 19%
20% 18%
17% 17% 17%
15%
15% 13%
12%
11%
10% 7%
5%
4%
5% 3%
0% 0%
0%
MRO: OEM: Components Equipment: Capital Resale f or retail: Resale f or Other (describe in
maintenance, incorporated into equipment Finished products service: Finished comments box)
repair, and another product products f or resale to products to
operations of consumers service
customer f acilities customer’s
customer
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 340
11 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
12. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Sell product and offer fee-based services
100%
90%
79%
80%
70%
60% 54%
52% 53%
50% 46%
38% 37%
40% 35% 33%
30%
19%
20% 14% 13%
10% 10%
7%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 285
12 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
13. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Services available to customers even if no product is purchased
100%
90%
80%
70% 64%
60% 53% 54%
49%
50% 46% 45% 44%
42%
40%
32%
30%
21%
20% 15% 14%
10%
10% 5% 4%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 278
13 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
14. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Offer third-party logistics to customers as a fee-based service
100%
90%
80%
70% 65%
62% 60%
60%
50% 43% 42%
40% 33%
29% 29%
30% 25% 27% 25%
23%
20%
12% 13% 13%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 276
14 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
15. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Optimize network design (i.e., #, size, location of branches, DCs)
100%
90%
78%
80%
71%
70%
60% 55%
49% 51%
50%
40% 36%
30% 27% 25%
24% 21%
19%
20% 15%
13%
7% 9%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 271
15 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
16. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Outsource warehouse operations to < $50 million $50 million to < $250 million
Less than $20 million $20 milllion to a third-party
$250 million to < $500 million $500 million to over $1 billion
100% 93%
89% 89% 87%
90% 86%
80%
70%
60%
Column %
50%
40%
30%
20%
10% 9% 9% 9% 7%
10% 4% 5%
0% 1% 2%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 270
16 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
17. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Outsource additional non-core administrative activities
100%
90%
80%
71% 71%
70% 66%
63%
60% 55%
50%
40% 34%
28%
30% 24% 24%
21%
20% 13%
11%
5% 7%
10% 5%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 272
17 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
18. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Outsource elements of IT infrastructure (e.g., applications, server)
100%
90%
80%
70%
60% 55%
49% 50%
50% 45% 47%
40%
40% 36% 36% 36%
32%
30%
20%
20% 15% 15% 14%
9%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 272
18 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
19. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Create and/or grow presence in geographic markets outside U.S.
100%
90%
80%
70% 65%
61% 63%
60% 56% 54%
50%
38%
40%
29% 27%
30% 25%
20%
20% 16% 15%
12% 13%
8%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 273
19 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
20. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Stop doing business with highly unprofitable customers
100%
90%
82%
79% 78%
80%
70% 71%
70%
60%
50%
40%
30%
21% 21%
20% 14% 13%
9% 11%
7% 8% 7% 9%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 278
20 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
21. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Manufacture our own private-label products in an overseas plant
100%
90%
80% 76% 75%
71%
70% 64%
60% 55%
50%
40% 36%
30%
22% 21%
20% 15% 15%
11% 13% 9%
9% 7%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 272
21 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
22. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Market our own private label products
100%
90%
80%
68%
70%
60%
49% 50%
50% 46% 46%
39% 39%
40% 33%
29%
30%
21%
18% 17%
20% 15% 14% 14%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 275
22 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
23. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Participate in distributor buying group/ marketing alliance
100%
90%
80%
69%
70% 64%
60%
60% 56% 55%
50%
41%
40%
29% 29% 29%
30% 25%
20% 15%
12%
5% 7%
10% 5%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
Sample Size = 282
23 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
24. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Company Strategy:
Create strategy for current and future human capital requirements
100%
90% 86%
79%
80%
70%
70%
60% 55%
48%
50%
40% 33%
28%
30% 24%
19%
20% 13% 10% 13%
7% 8% 7%
10%
0%
Our company has no plans to do Our company does this today Our company does not do this
this today, but w ill by 2015
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
Sample Size = 276 million million million
24 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
25. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Increased product traceability
60% 57%
49% 48%
50%
45%
40% 38%
34% 33%
29% 29% 29%
30%
25%
23%
21% 21%
20% 17%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 273 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
25 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
26. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Increased product traceability
60%
53%
50%
50%
38% 38%
40% 37%
36% 35% 33%
32%
30% 30%
30% 26%
25%
21%
20% 17%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 230 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
26 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
27. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Growth ofLess million$20business$20 milllion to <over $1 billion
greento <million million $500 million to $50 million
$250
than
$500
segments $50 million to < $250 million
70%
62%
60% 57%
48% 49%
50%
40%
Column %
40% 36%
29% 29%
30% 27%
25% 24% 24%
21%
20%
14% 14%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 274 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
27 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
28. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Growth of green business segments
58% 58%
60%
52%
50% 46%
43% 43%
40% 37% 38%
32%
30%
25%
20% 16% 16% 17%
14%
10%
5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 232 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
28 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
29. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Disintermediation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
50%
45%
43%
41%
40%
39%
40%
36%
34%
33%
30% 28%
Column %
25% 24%
24%
21%
20%
15%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
Sample Size = 270 million million million
29 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
30. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Disintermediation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
60% 58%
50% 48%
46%
42%
40% 38% 37%
35%
33% 33%
Column %
32% 32%
30%
25%
20% 16% 15%
11%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 231 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
30 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
31. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Private label products
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
50%
45%
45% 43% 43%
41%
40% 40%
40% 38%
35% 33% 33% 32%
29%
30% 28%
Column %
26%
25%
20%
15% 14%
15%
10%
5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
Sample Size = 271 million million million
31 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
32. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Private label products
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
60%
53%
50%
50%
41% 42%
40%
39%
40% 36%
35%
Column %
31%
29%
30%
25% 24% 25% 25%
20%
10%
5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 231 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
32 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
33. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
End customer consolidation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
60% 56%
50% 50%
50%
43% 43%
40%
40% 38%
35%
Column %
29% 28%
30%
25%
21%
19%
20% 16%
10% 7%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
Sample Size = 271 million million million
33 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
34. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
End customer than $20 million
Less consolidation milllion to < $50 million
$20 $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
58%
60%
49% 48%
50% 47% 47%
44%
42% 42%
40% 37%
Column %
30%
25%
20% 17% 17%
14%
10% 8%
5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 230 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
34 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
35. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Supplier consolidation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
60% 57%
55%
50% 50%
50%
43%
40% 38%
36%
33%
Column %
29%
30% 27%
21%
19%
20% 16%
14%
12%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 272 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
35 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
36. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Supplier consolidation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
70%
63%
60%
52% 51% 50%
48%
50%
42% 42%
Column %
40% 37%
32%
30% 25% 25%
20%
13%
10%
10% 6% 5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 229 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
36 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
37. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Industry consolidation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
50%
45% 45% 46% 45% 45%
45% 43% 43%
41% 40% 40%
40%
35%
30%
Column %
25%
20%
15% 14% 15%
15% 14%
10%
10%
5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
Sample Size = 270 million million million
37 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
38. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Industry consolidation
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
68%
70%
57% 58%
60%
52% 51%
50%
44% 44%
42%
Column %
40% 37%
30% 26%
20%
10% 6% 5%
4% 5%
0%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 230 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
38 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
39. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Overseas competitor expansion
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
58%
60%
50% 47%
43%
41% 42%
40% 37%
36% 35%
33%
Column %
30%
30% 26%
25%
20% 17% 16%
15%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 267 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
39 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
40. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Future:
Overseas competitormillion
Less than $20
expansion to < $50 million
$20 milllion $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
60%
52%
50%
50%
41% 42%
39%
40% 37% 37% 37%
Column %
30%
24% 23% 25% 25% 25%
21% 22%
20%
10%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 230 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
40 © 2011 IBM Corporation
© Copyright IBM Corporation 2006
41. IBM Global Business Services
Segmentation by Self-Reported Total Sales
Facing the Forces of Change Segmentation by Self-Reported Total Sales
Factors Impacting - Today:
Macro-economic impact of crisis
Less than $20 million $20 milllion to < $50 million $50 million to < $250 million
$250 million to < $500 million $500 million to over $1 billion
80% 75%
69%
70% 67% 67%
62%
60%
50%
Column %
40%
30% 26% 28% 27%
23%
20%
20% 15%
10% 7% 7%
3% 5%
0%
Less signif icant Moderately signif icant More signif icant
$20 million $50 million $250 million
Sample Size = 269 Less than $500 million
to < $50 to < $250 to < $500
$20 million and above
million million million
41 © 2011 IBM Corporation
© Copyright IBM Corporation 2006