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It is good for digital marketing people, who focus on IT field.

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    Business audiences insight Business audiences insight Presentation Transcript

    • Business Audiences Deep Dive August 2010
    • Contents Purpose of this document The bigger picture (audience, segments, verticals) Business audience deep-dive on: BDMs IWs − Who are they? − Who are they − Their responsibilities − Segmentation − Challenges they face − How they work − Sources of information − What they use − Products they choose − Products − Their attitude towards Microsoft − Insights − Insights and communications − Opportunities Final thoughts
    • Your hosts today Raj Misra Benedicte Philippe-DominSenior Strategist Training & Readiness Global Lead (Seattle) (Paris)
    • Purpose of this document To equip you with in-depth knowledge about Microsoft‟s business audiences, being BDMs and IWs, and how to best connect with them.
    • Why do we care about business audiences? Technical audiences MANAGE Business audiences USE technology technology o Productivity increase o Security o Improved client service o Reliability o Mobile capabilities o Disaster recovery o Storage / recovery o Workload minimization “People want to save everything they have which “Exchange makes us way more productive, it is creates storage problems” business critical” “Only about 1% of our email isn‟t Spam, so we “We use it because it is works with my mobile need good protection” phone really well plus the shared calendars are going to be very important” With democratization of technology, end users and business audiences are playing a more important role
    • ThebiggerpictureA u di e n ce s vis-à-vis S e g m e n t s v i s -à-vis V e r t i c a l s
    • Microsoft Segmentation Approach VERTICALS What are the specific industry traits must we address? AUDIENCES (BDM, IW, IT PRO, DEVELOPERS…) Who is our audience, what SEGMENTS are the insights and best ways (Enterprise, Partners…) communication points? Which segment are we talking to?
    • SMSG Marketing Matrix SEGMENTS EPG SMS&P Public Enterprise Education Depth Breadth Partners Sector BUSINESS DECISION MAKERS (BDM) A IT DECISION MAKERS (ITDM) U D Marketing Audience I ITI IMPLEMENTOR (ITI) E N DEVELOPERS C E DESIGNERS S INFORMATION WORKERS (IW) Segment Marketing
    • Commercial audiences mapping Function Leaders CxO VP Sales CMO COO VP R&D Other ITDM : CIO CFO (Finance) (Sales) (Marketing) (Operations) (R&D) VP HR (HR) BDMs Business Apps / LOB CIO Infrastructure & delivery Supply Chain Management Research & Development Training & Development Product Management RM / Digital MarketingExecutives Function Architecture / CTO Customer Service Administration eCommerce Procurement Accounting Advertising Recruiting Planning Treasury Logistics Benefits Development Legal Sales PR Security IT I Other EU / IW Desig Develo IT ners pers Technical audiences (TAGM) Business audiences CxO CEO, CTO, CIO, CMO etc. ITDMs IT Decision Makers Business Decision Makers IT Implementer BDM-TI Technology Influence ITI IT generalist, IT specialists BDM non-TI Business Decision Makers Other IT Non - Technology Influencers (desktop support, infra support, LOB specialist) EU / IW End Users / Information Workers
    • Let’s talkabout BDMs first
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commWhat titles they carryWhat job do they do? What responsibility do they carry ? What is the decision making process like at different BDM levels? What challenges come with the job? To excel at their job, where do they go for information? What products are relevant to them? When considering Microsoft, what is their attitude towards us? What insights can we tap into to best communicate with them?
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm A very versatile group of people. From a 10-man company owner to a 100,000-people global, public-listed company CEO
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commA BDM personaI am a man (78%). I obtained tertiary education. I work in aservice or manufacturing company. My annualcompensation can easily exceed $150,000. I use acomputer in my office, and work with Windows XP & Office2007. I always have my mobile phone near me or my PDA. Isurf the web every day. I feel optimistic about my future. Iam ambitious and love my job. I read a lot about theeconomy, my own industry and my job to stay ahead of thecurve and lead my company. I‟m around 40 years old. I‟m married with children. My wife is working too. My professional life and my private life are not completely balanced. I live in a high-paced cityor its suburbs. I love sports. I often read. Outside of work, I like going to clubs to meet like-minded leaders. At home, we are over-equiped with high tech products. I am a frequent flier for both business and personal reasons, on business class (20%).
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Who is a Business Decision Maker Decision maker of a company or an organization exceeding 10 persons Covers both private and public sector Manages either the whole company or a department Does NOT work in the IT department Top job is managing people and budgets efficiently and effectively Looks after the long-term, strategic company direction (strategic, human, budgetary) Most likely to meet with senior company management Many BDMs have an influence on technology : TIDM (technology-influencing decision maker) or TI BDM (same thing) TI BDMs are not just c-level executives Most involved with technology as capital expenditure Top goal is turning IT from an expense into a strategic asset Final decision authority on technology purchases Little or low opinion of Microsoft Microsoft‟s focus has been on BDMs in : finances, sales and marketing, HR and the supply chain roles (from procurement to after-sales services including production)
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm BDM at work  Their career success is their first objective, they accept the sacrifices required to succeed (length of a day worked, little family time)  Their personal priorities : – 1st : increase their income (52 %) – 2nd : develop new competences (42 %)  They are optimists – 84 % are optimistic about the future of the company – 84.5 % are optimistic about their professional future
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm BDM audience size in USA Download sizing breakdown for your country. 1,951,000Enterprise 4,310,000Mid Market 2,858,000 1,496,000Small Org 2,733,000 2,226,000 Tech Competency - Non TI BDM TI BDM + 9,902,000 Non TI BDM 5,673,000 TI BDM Source: Microsoft‟s BDM Group, March 2010.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm TI BDM vs. BDM ?  TIDM and TI BDM: same same  The TI BDMs are a sub group of BDMs and represent 73% of the BDMs  TI BDM overall involvement in the IT purchase process is high  TI BDMs‟ IT influence varies by IT product category; lowest for server/tools products, highest for business applications  Top focus areas for most TI BDMs are customer-facing and financial process software  Most TI BDMs report friendly relationships with ITDMs  There are 4-6 TI BDMs in a typical mid-market company; 12-15 in a typical enterprise  Microsoft‟s primary marketing focus is on TI BDMs.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm A BDM can also fully/partly be an ITDM
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm A BDM can also partly be an IW
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commBDM vis-à-vis IW Which of the following best describes your role at work? I am responsible for making Exec decisions about the goals/priorities BDM of my department and/or the overall company. Management I determine how to complete Coordination my projects and/or tasks. or IW I am responsible for Implementation contributing to a team and completing my own projects/tasks.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commHow they describe their responsibilities:
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm BDM Roles & Responsibilities – Key Words When asked to define the „essence‟ of their positions in just a few words, the following terms that emerged with some frequency were: manage, control, lead, communicate, coordinate and oversee. – I could say that I manage the direction, I oversee it more so. [Chicago, BDM] – I have to lead, responsibilities, the juggling of different personalities throughout the organization… [Chicago, BDM] – To be considered a leader amongst my team and to direct responsibilities and job functions to others and to hold them accountable. [Chicago, BDM] – Oversee, planning and implement. […] It‟s basically what I do. […] Oversee is the same word as management. [SF,BDM] – Coordinate, project management, and events. […] I see coordinating as taking pieces from different people and putting them all together, whereas the events and project management is something that I own and make all the decisions on and roll out completely on my own. [SF, BDM] – I control payments within Germany and on an international level, so I underlined control. I test and find new software. So I control, tend and test. [Frankfurt, BDM] – I said to check the budget, control purchase, and help to structure and the IT content. I underlined control, agree, and participate. […] This is control whether people stick to the defined budget. We have to work with the budget that we have. [Frankfurt, BDM] – The first one is communication. We‟ve got about a thousand staff in 18, 20 offices across the globe, so we‟ve got to communicate everything from the engineers to the media to the staff… it‟s very difficult to keep everyone up to date with the bids, to tracking, to just trying to make a big company seem like a local company is key. [London, BDM] – The three words [for the essence of my position], I‟ve got detail, management, and communication. [London, BDM] – The coordinator. I am the go-between between the top management and lines of business, and I have to develop concrete plans, action plans, and manage the plans. Actually it‟s the line of people to implement and I have to manage them implementing plans. [Tokyo, BDM] – I plan. […] And manage people implementing plans. [Tokyo, BDM]Source: CMG Market Research “BDM Influence Mapping FinalReport_033108”
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm BDMs self-expressions on their roles and responsibilities Despite a broad range of roles and industries a number of consistent elements emerged when BDMs were asked to describe their roles. – Most BDMs tended to describe their roles in terms of their responsibilities, often listing the functional areas they managed or the key deliverables they were accountable for. - I‟m a Purchasing Manager for a large insurance company. I buy all products using internally outside services. I also manage the corporate travel and the corporate auto fleet. In addition, I also manage our San Francisco office‟s portion of our internal mailroom, 12 employees total. [SF, BDM] - I work for an export company. I supervise a staff overseas. I work with 34 managers. I purchase products. I meet with vendors. I meet our customer demands. I work with our warehouse staff. I do advertising and I manage our local office. [SF, BDM] - I am the Operation Supervisor of AG Edwards, a financial. I take care of all the employees, all the trading, the daily ins and outs of all trades electronically, and all of the communications the branch goes through, whether it be phone or computer, that kind of thing. [Chicago, BDM] - I‟m responsible for the service planning. I make tenders. I speak with employees. I‟m in contact with other branches of the company and I‟m in contact with our customers and I‟m responsible for customer care. So it‟s service planning, employee care and customer care. [Frankfurt, BDM] - I‟m Manager of a varied group of about 10 people providing support services in the global head office in a Fortune 100 company. So I‟m head of the facility support unit. We‟re providing everything that people need to do their job, whether it‟s the chair they sit on or the desk they sit at, what phone they use, what car they drive, what lunch they eat. [London, BDM] - Marketing Service Manager for a worldwide travel company. Production of sales and photography. Run a team of people, databases and print and ensure online imageries are kept up to date and maintain corporate and individual identities. [London, BDM] - From the planning all the way up to the implementation for the entire process I have the decision making process, and I should be responsible for the result of the actions taken and the process. [Tokyo, BDM] Source: CMG Market Research “BDM Influence Mapping Final Report_033108”
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commBDM involvement in the decision process BDM consider having three main tasks : – 67 % of them consider they have ”to frame/plan” – 65 % of them consider they have ”to manage” – 64 % of them consider they have ”to decide” BDM also take part in the IT purchases process of their company BDM % Index BDM involvement in the buying process 66 200 64 64 197 195 62 190 60 58 185 182 56 55 180 54 175 52 50 170 For software > $ 5,000 Hardware equipment > $5,000 Source: FCA 2008
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Social and non-social influences on BDM‟s decisions
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm BDM‟s [professional] social influences  Social influencers are a select bunch of people close to a BDM  Social influencers most often (over three-quarters) to be "internal", i.e., part of the BDMs organization  Social influencers are far more likely to be drawn from the Finance and IT departments (over three-quarters) than from any other department  Only two social influencers on average  Long standing relationships; average 7+ years  Social influencers are viewed as honest, dependable, trustworthy and credible (top 2-box scores higher than 80%)  The information provided by social influencers is characterized as very important  And this information is perceived as free from any vested interests (over 80% of social influencers are "not trying to push an agenda")  As such they are in frequent and regular contact Source: BDM Influence Mapping, MaPS and CMG Market Research, March „08
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commEmail and in-person contact top theinteraction with social influencers 0% % by Phone 25% 0% % by e-mail/IM 25% 0% % In-Person 25% Multiple times a day 15% 21% 18% Once a day 8% 11% 11% Several times a week 17% 19% 11% Once a week 17% 13% 13% Several times a month 13% 14% 11% Once a month 13% 11% 12% Once every 2-3 months 9% 6% 11% Once every 6 months 2% 3% 5% Once every year 1% 0% 4% Less than once a year 1% 0% 2% Never 4% 2% 1% Source: BDM Influence Mapping, MaPS and CMG Market Research, March „08
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Most prefer a work-only relationship * Relationships are strictly social Relationships are predominantly social with some work related 4% 2% interactions 29% 65% Relationships are predominantly work related with some social interactions Relationships are strictly work related* More so in enterprises and less so in small and medium business.* This is also less applicable to regions like Asia where work-personal relationships are more common. Credit: BDM Influence Mapping, MaPS and CMG Market Research, March „08
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm BDM‟s non-social influences  Non-social influences are all influences other than social influencers  The top sources of non-social influence are:  Product demonstrations  Conferences  Sales presentations  Worth noting that the above three sources all involve a human element and interactivity  Three times as many non-social influences as social influencers.  Likely to be much less impactful as compared to social influencers.  Six non-social influences on average  Least impactful non-social source: pure content.  Non-social influences not viewed as honest, dependable, trustworthy and credible  Likely to be characterized as non-essential or simply unimportant  Information being affiliated with vendors/suppliers and as such perhaps colored by vested interests  Non-social sources of influence consulted on an "as-needed" basis and at a much lower frequency than social influencers
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Engaging non-social influences happens once every 2-3 months. 10 0% 25% 00 %% Multiple times a day 1% Once a day 2% Several times a week 4% Once a week 6% Several times a month 9% Once a month 17% Once every 2-3 months 22% Once every 6 months 20% Once every year 14% Less than once a year 5% Credit: BDM Influence Mapping, MaPS and CMG Market Research, March „08
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm TI BDM Influence Map Webcasts/webinars (239, 83) Trade shows (245, 56) Bus. pubs./ columnists (233, 46) Trade mags./journals (245, 56) Non-social Influence White papers/tech l iterature (227, 40) Conferences/speakers (343, 57) Social Influencer IT Dir/SM-IT/MIS, Supplier websites (343, 57) Co-worker (210, 196) Books TI BDM Sales presentations (361, 122) = 0.48 (175, 26) Pdt. Demos (419, 170) Analyst websites (169, 72) Tech. Consult. websites (140, 65) Dir. rpt./Subord. (122, 149) E-mail newsletters CXO-Finance, Boss/Mentor (116, 26) (29, 156) BBs, DGs, blogs (105, 29) Other (52, 116) CIO/CTO-IT/MIS, Co-worker (76, 261) External, Tech. Consult. (70, 130) Other-Other, Co-worker (52, 145)The first number is the strength index calculated as the ratio of the percent of times an influence is cited to the average percent of times all social and non-socialinfluences are cited. The second number is the impact index calculated as the ratio of the percent of times a cited influence is described as essential to the averagepercent of times all cited social and non-social influences are described as essential. Source: BDM Influence Mapping, MaPS and CMG Market Research, March „08
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Majority seek advice from colleagues before making a decision. Many prefer committee-based decisions are well advised and are willing to observe others prior to making a decision. BDM Personal Decision Making Style % Top 2 Box 0% 100% Seek out advice from colleagues before making 59% 59% recommendation Decisions made by committee are less risky as 44% 44% several perspectives are considered Rely on others good experience with product 42% 42% Observe others before making decision 39% 39% Hands-on decision maker 21% 21% Continue using product with experience rather 16% 16% than try new ones Decisions made by committee are safer and have 16% 16% less accountability Like to gamble on new products 8% 8% Rely on gut feel and experience 7% 7%  This indicates that these BDMs are likely to be influenced by social and non-social influencers. This is good news for us. Credit: BDM Influence Mapping, MaPS and CMG Market Research, March „08
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Reaching BDMs is like catching a slippery fish
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm It‟s a demanding audience…  65% of business decision makers claim to never click on online ads  Many won’t get past the headlines of a print ad  They are expensive to reach
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm It is expensive and difficult as they tend to stay away from eDMs and banner ads.Source : Microsoft Digital campaign benchmarking tools(comparative global results, Q4 FY08)
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm So where do they get information and knowledge?
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commRecommended Contact Tactics for BDMs  BDM‟s current information seeking patterns : – reliance on WOM, especially social influencers – desire for targeted, industry-specific information – need for solving business, not technical challenges  Based on these patterns, a series of tactics were evaluated, based on: – Efficiency at moving a BDM lead from awareness to purchase – Impact of the tactic (relative to others) – Cost – Time to generate a lead
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commEvaluation of media tactics (cont) Messaging Stage Impact of Tactic Awareness / Cosideration / Loyalty / Time to on Target Knowledge Trial Satisfaction Advocacy Cost generate leads Reach / Tactic (1 = Low / 3 = High) (Effectiveness, 1 = Low / 5 = High) Depth ($ = Low / $$$ = High) (1 = Low / 3 = High) Breakfast meetings / symposia 3 5 5 4 4 Depth $ 2 Business leader groups/Chambers of Commerce 3 3 2 2 2 Depth $$ 2 In-flight magazine 3 5 5 4 4 Reach $$ 2 Collateral 3 5 5 4 4 Reach / Depth $$ 2 Analysts (eg. Foley) 3 5 4 3 2 Depth $$ 2 CIO mag ad buy 3 5 4 3 3 Reach $$ 2 Industry 3 5 5 3 3 Reach $$ 2 conferences Industry leader 3 5 5 3 3 Reach $$ 2 Targetted Email 3 4 4 3 3 Reach / Depth $ 1 Online search 3 4 4 2 2 Reach $ 2 Buzz creation kit 3 4 4 3 3 Depth $$ 2 Local and regional Events 3 4 3 3 3 Reach $$ 2 Roundtable discussion 3 4 4 3 3 Depth $$ 2 Local radio spots 3 4 4 2 2 Reach $$$ 3 (with CTA - website, event, offer Blog channels 2 4 4 3 2 Reach $$ 2 Source: ALM Dev Framework for Microsoft by Y&R Brands, March 2007
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & commEvaluation of media tactics (cont) Messaging Stage Impact of Tactic Awareness / Cosideration / Loyalty / Time to generate on Target Knowledge Trial Satisfaction Advocacy Cost leads Reach / Tactic Target (1 = Low / 3 = High) (Effectiveness, 1 = Low / 5 = High) Depth ($ = Low / $$$ = High) (1 = Lowe/ 3 = High) Briefings and 2 4 4 3 3 Depth $$$ 2 workshops CIO summit 2 4 4 3 3 Depth $$$ 2 Magazine inserts 2 4 3 2 2 Depth $$$ 2 SME / Exec Circle Podcasts 2 4 4 3 3 Reach / Depth $$ 3 Gartner summit 2 4 4 2 2 Reach $$ 3 HBR / MIT extracts 2 4 4 2 2 Reach $$ 3 EMBA programs 2 4 4 3 3 Depth $$$ 3 Management consultants 1 4 4 2 2 Depth $$$ 2 DM w/brochures 2 3 4 3 3 Reach / Depth $ 2 Management retreat in a box 2 3 3 3 2 Depth $ 2 Promotion 2 3 5 3 3 Reach $$ 2 Online banners 2 3 2 1 1 Reach $$ 2 Magazines / publications 2 3 2 1 1 Reach $$ 2 Venture capitalists 1 3 3 1 1 Depth $$ 2 Case studies / 2 2 3 3 2 Reach $$ 1 success stories Funny disruptive blog - 2 2 2 1 1 Reach $$ 2 dysfunctional organization and its turnaround Whitepapers 2 2 3 2 1 Reach / Depth $$ 2 Source: ALM Dev Framework for Microsoft by Y&R Brands, March 2007
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Evaluation of media tactics (cont) Messaging Stage Impact of Tactic Awareness / Cosideration / Loyalty / Time to on Target Knowledge Trial Satisfaction Advocacy Cost generate leads Reach / Tactic (1 = Low / 3 = High) (Effectiveness, 1 = Low / 5 = High) Depth ($ = Low / $$$ = High) (1 = Low / 3 = High) Viral Game 2 2 2 1 1 Reach $$$ 2 Cab flyers 1 2 2 1 1 Reach $ 1 Messenger BOT 1 2 2 1 1 Reach $$ 2 MSFT 2 1 1 4 4 Depth $$ 3 Recognition SMS content 1 1 2 2 1 Depth $$ 2 Executive 1 1 1 3 3 Depth $$ 3 Dashboard Source: ALM Dev Framework for Microsoft by Y&R Brands, March 2007
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Few practical things we have learned  Social influencers and non-social influences need to be paired up  Best to engage TI BDM alongside an ITDM – For example, in BI (business intelligence), targeting Finance Director/ CFO (as TI BDM) alongside a CTO (as ITDM) would be key to winning.  From our experience, we know; – direct mail + email + telemarketing to begin engagement – online + telemarketing to sustain dialogue – events to close deals
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Product involvement View ofBusiness Process & Highest Opportunity for SW/IT Integration App Integration & Connectivity Storage Strategic Management & Security ROIServer Foundation Stable Utility Client Cost External Only Internal Only Internal & External Blend TI BDM Focus
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Even the most engaged BDMs (with IT influence) perceive Microsoft as monolithic, unaware, and indifferent. • Most BDMs only interact with Microsoft‟s desktop products, therefore Microsoft = Office • They lack awareness of Microsoft‟s broader capabilities and struggle to comprehend the company and its people as something apart from Office and Windows
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Having a relationship with Microsoft is perceived as out of reach for most, relative to other great business relationships.• Most BDMs feel the real Microsoft is well beyond them… • BDM‟s company is too small for Microsoft to accommodate or even care about… • Or they cannot grasp the idea of having a relationship with (as a Company) this very large company, MS. • Beyond Bill Gates, these BDMs have difficulty picturing the people behind Microsoft.• When comparing MS to their preferred relationships, BDMs expect to see a sense of caring and personal relationship. • BDMs know what makes a great relationship. • This is diametrically opposed to BDM perceptions of MS. • The way BDMs see MS has profound implications on how MS needs to build a relationship.• A few ponder whether they even need more of a relationship with Microsoft beyond that of a user. • No reasonable alternative to Microsoft. • Microsoft‟s pervasiveness does not require a great relationshipSource: Relationship and Advocacy Focus Group Research, WW BDMAudience Group, June 2008
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm BDMs are less certain of the value Microsoft offers as opposed to ITDMs who are the most likely to see Microsoft as a good value. Targeted Consumers ITDMs IT Is BDMs SBOs Developers Broad Elites Quality Most important Good Value Good value (43%)/Value Quality (43%) Quality (42%) Quality (42%) Quality (42%)factor in purchases (33%) (45%) (41%) Strongly agreeMicrosoft is a good 31% 11% 59% 36% 22% 33% 30% valueFamily/Companyhas been affected 32% 27% 35% 39% 25% 38% 26% by downtown a great deal Top Good Value Quality for a Quality for a Quality for a Quality for a Quality for a Customer service Reliability Driver good price good price good price good price good price Highest Lowest Source: Microsoft Value Messaging Research, CMG Market Research, May 2009
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Q64-82. Please indicate how much it applies to Microsoft. Scale - 1 = “Does not apply at all” and 9 = “Applies completely.” BDM ITDM Where Microsoft falls short on Net Score = Top 3 Box (9 + 8 + 7) – Bottom 3 Box (1 + 2 + 3) Ranked by Consumer 85 85 creating value Is an industry leader Has a vision for the future of technology 74 79 Is innovative 70 82 [quality + cost] Offers leading-edge products 73 78 with BDMs. Has reliable products and services 57 78 Makes my life easier 70 78 Is a company I trust 66 77 Offers leading-edge services 63 75 Has secure products and services 55 71 Products are high quality for a good price 53 76 BDMs see less “quality” in Services are high quality for a good price 46 76 Microsoft than ITDMs Has products and services that fit my household/company 61 78 budget Helps me/my company create opportunities to succeed 58 82 Has good customer service 43 71 Wide divide between Helps people get access to the products they need at a low cost 30 77 Total cost of deployment is lower than competitors 32 65 BDMs and ITDMs on “cost” Total cost of ownership is lower than competitors 34 67 Source: Microsoft Value Messaging Research, CMG Market Research, May 2009
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm BDMs perceive getting better value from Dell, HP and even Apple. ITDMs see Microsoft as best value. Q54. Which of the following companies do you think is most concerned with offering good value to its customers? BDM ITDM Ranked by Consumer Dell 42 18 Microsoft 13 37 Hewlett Packard 20 10 Apple 14 12 ASUS 3 1 IBM 8 22 Source: Microsoft Value Messaging Research, CMG Market Research, May 2009
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommCompany Advocacy Assessment Exercises… Situation 1: Solving a Business Problem Customer Selected VendorI do not involve I proactivelythe vendor or work with vendorcompany at all or company towhen define thedetermining the business problembusiness and shape theproblem. solution.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommCompany Advocacy Assessment Exercises (cont.) Situation 2: Interacting with Peers and Management Customer Selected Vendor I publicallyI do not communicatecommunicate the vendor orthe vendor‟s or company‟scompany‟s value at externalvalue ever. events and in external written communications
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & comm Current dialogue  Business decision makers are not used to hearing from Microsoft directly  Especially not in person
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm When communicating with BDMs, we typically use the following three dimensions: – Segment: • GMSC | depth | breadth • Commercial | Public Sector – Function: • CEO, IT, HR, Finance, Sales, Marketing, etc. • ITDM or TI BDM – Industry sector: • Retail, Manufacturing, Finance, etc.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm How Microsoft communicates with BDMs Microsoft Dev Evangelists BDM CxOs VPs, LOB Microsoft Microsoft Field Sales Hi-Touch Partners Development managers Lo-Touch Partners Key Promotion Evangelism Influence Source: Microsoft / Y&R ALM Framework 62
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommMicrosoft has considerable room to grow in order tobuild relationships and advocacy among BDMs. Key Steps for Building Strong Relationships and Advocacy • Performing above and beyond the call • Coming through in a tough or difficult situation • Consistent great performance • Putting name/reputation on the line • Making the BDMs look good
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommUnaided, BDMs recommend for Microsoft to focus on: Build Solution Awareness Develop Personal Relationships •General and targeted advertisements •Account representatives (1:1) •Direct mailings •Get to know me and my company •Ads in trade magazines •Determine my needs •Brochures •Provide solutions •DVDs •Lunch •Trial offers •Follow-up •Participate in tradeshows and conferences •Host social events •Product demonstrations and workshops •Raise awareness of involvement in charities, •Traveling Microsoft road show scholarships, and the environment •Offer discounts and incentives •Technical support Source: Relationship and Advocacy Focus Group Research, WW BDM Audience Group, June 2008
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommWhat would make a BDM leave his office? • Compelling reasons or benefits to BDM (job made easier or more efficient) • Topics of interest to the BDMs • Cocktails/entertainment • Key Microsoft Executive speakers • Attendance prizes (discounts on products, dinners with MS Execs, etc.) • Casual environment • List competency required (making less skilled more comfortable) Source: Relationship and Advocacy Focus Group Research, WW BDM Audience Group, June 2008
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm So what do TI BDMs want from Microsoft? Very short, high And not too One way only – Make it job- and level messages often… “I’ll call you” industry-specific • “I should get the bullet • “Once a month some kind • “I would like to get 1 way • Do your homework - you points to know how it can of newsletter.” communication I can know our SIC code – give assist me in human and deal with at my leisure like me things focused on real terms. How the • “Once a year or so is all I the magazine. For that.” technology works send it need.” discussion call IT. If I have to IT.” a need I will find them.” • “Get on our web site and • “A monthly email with understand the business.” • “I prefer the technical new products, • “Send me magazine and gets funneled through IT. information, news – but invitation and dont call • “I need industry specific. Just give me the more give me something to me – send me stuff.” They have to show they global bullet points and if make me think or grin or have gone above and there were more questions something.” • “1 way communication beyond to learn the I can call them or call IT.” so it‟s on my timetable business - talk to customer • “I wouldn‟t want them and my schedule.” service and call into the • “I dont know the contact me saying guess organization before you technical jargon and what I have for you. If it • “I need to peruse it on my call up a decision maker.” want to know the business was an add on to what I time and no phone calls.” perspective. If it‟s have I would like it but I • “Say we have something interesting from a business dont need a groupie • “Contact me through an that does this or handles perspective send it to me hanging on “ email and I‟ll contact that. That is what will and then they can talk back if I want solutions- attract me more than tech to IT.” • “A quarterly magazine but I wouldn‟t be generalities.” seems right.” receptive of them calling me out of the blue to sell me a product.” Source: BDM Relationship With Microsoft, BDM Relationship Group, March 2003
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Findings on BDMs can be paradoxical  From research available, we might hear feedback and recommendations from BDMs that are contradictory and paradoxical. E.g. not wanting regular outreach from Microsoft – yet feeling they should be made aware of any relevant offerings at the time they are seeking information for a new application or to solve a business need.  This could be due to the differences in the organization size and/or geographies.  This means, we need to: – Understand the specifics of the targeted BDMs – Test on smaller sampler before going big-bang
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommMessaging : what works and does not workWhat Works: – Solve a Business Pain. BDMs manage business pains on a daily basis. Resolving or easing any of these pains in our messaging will resonate well. – Quantify Savings. Showing that Microsoft software (e.g. Office) costs just about a $1 day for hours upon hours of productivity helps explain the value that Microsoft brings to businesses. – Connect Microsoft Products Directly to Immediate Savings. BDMs process Microsoft value in terms of results and they are looking for immediate delivery of those results. The relationship between Microsoft’s Unified Communications and the resulting increase in productivity and decrease in travel costs gives BDMs an example that is easily understandable and appears to be immediate. – Emphasize Innovation, Vision, Trust. These form a trifecta for BDMs: BDMs trust Microsoft will deliver products that help drive business; in addition Microsoft has the vision and will continue to innovate which will help BDMs grow their companies.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & CommMessaging : what works and does not workWhat Doesn’t Work: – Highlighting $9b in research. Opposite to SBOs, BDMs do NOT want to think about Microsoft massive commitments and the resulting economic impact – perhaps the figure spawns a sense of delay in enjoying the benefits of the investment (counterpoint to the immediate savings point above). – Going too technical. As with the SBO audience, virtualization and cloud computing did not register (again possibly due to a perception of delayed savings). – Implying Microsoft is Always the Answer. Messages that infer Microsoft’s products are the answer for companies no matter the economic condition – good, bad or somewhere in between – are not believable or successful.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Business Decision-Makers: Top Ranking MessagesIndex Score = Net Believability + Strongly Agree MSFT Good Value + Very Likely to Purchase/Deploy/Develop Net Stgly Very IndexNet Believability = (5 + 4) – (1 + 2) Top 10% Top 33% Bottom 33% Bel Ag Lkly ScoreRanked by Index Score Your most important asset and key to business success is your people, never more so than in tough Familiar economic times. Microsoft puts powerful, familiar tools in the hands of your people, enabling them to get to Product =Empower- work quickly on projects and work the way that’s best for them. Microsoft’s familiar toolset and well-established presence across business 79 20 22 121ed Employ- ees processes helps empower your employees to get the most value from familiar, existing technology. Microsoft Office represents incredible value for your organization-- for about a dollar a day your people can have a full productivity suite that organizes mail, handles presentations and budgets along with Office 60 25 25 110 scheduling and contacts. This incredible value has helped Microsoft Office to become the standard of modern business against many competitors, even free ones. businesses can’t afford to make a risky investment or to retrain staff on new In times like these, technologies that don’t have a rapid return on investment. Microsoft server technologies like Windows Server Eco- system and SQL Server are industry standards, with hundreds of thousands of certified professionals 64 20 21 105 with skills to support your Microsoft infrastructure. With such a robust ecosystem, you can be confident that your trained staff can maximize the impact of your Microsoft investments. Since 1975, Microsoft has helped lead the software revolution that has brought computers to where robust tools that have contributed to economic growth, from world capitals to they are today: Stability remote villages. No matter how great the challenge, Microsoft will be there to give our customers, both home 70 18 16 104 and business users, the tools that will help them realize their potential and open new worlds. Sometimes your company’s best people are spread across the country, or even the world. In tough economic times, it’s understandable that travel policies tighten up. Microsoft Unified BetterCommun- Communications provides a familiar interface across PC, web and mobile devices, accelerating end- 64 20 20 104 ication/Less Travel user adoption and enhancing productivity. Your company’s staff stays productive and travel costs are cut. Source: Microsoft Value Messaging Research, CMG Market Research, May 2009
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Business Decision-Makers: Middle Ranking MessagesIndex Score = Net Believability + Strongly Agree MSFT Good Value + Very Likely to Purchase/Deploy/Develop Top 10% Top 33% Bottom 33% Net Stgly Very IndexNet Believability = (5 + 4) – (1 + 2) Bel Ag Lkly ScoreRanked by Index Score Windows Mobile software is designed so you dont need a $500 device with a touch-screen to get all of the advantages of an advanced smart-phone. Windows Mobile software works with a wide variety of phones,Windows including more basic phones that cost less but can use all its features of syncing mail, calendars and contacts. Windows 60 23 20 103 Mobile Mobile Software was designed with value in mind and in extending more advanced technology for less to million more users. When Microsoft was PC in every home and every desk by helping to make it affordable founded, it sought to put a PC on every and useful at a moderate price. the next billion users in developing countries, offering Today, Microsoft is helping extend this philosophy to 59 20 17 96 desk lower-cost starter editions of its operating system and seeking to put affordable technology in the hands of people across the globe. Microsoft products, like SharePoint and Communicator are a good value investment for your company because they allow for easy BetterUse of IT collaboration among employees – whether they are separated by a hallway or an ocean. Because the products are built to 58 18 18 94Support integrate smoothly, your people will experience a familiar layout enabling them to get the job done, without intense training or assistance from the IT department. Microsoft has helped develop an ever-growing community of diverse Beyond our own products, companies who build products, create solutions, or provide additional services using The Microsoft technology. This global partner ecosystem is a strong network of 700, 000 Comm- business partners, working to develop and sell Microsoft-based technologies and solutions. Microsoft has 58 19 16 93 unity supported this community of companies in building their businesses, which in turn drives the economy by creating new products and services, new opportunities and new jobs. Microsofts heritage has from the beginning been to create products that put in the hands of people superior technology for much less than existed before. The PC revolutionized small businessHeritage by making computing power affordable and easy to use for them; and today Microsoft in all its products 60 16 16 92 from mobile phone to gaming software seeks to broaden the marketplace by making advanced technology more affordable to millions and even hundreds of millions. Source: Microsoft Value Messaging Research, CMG Market Research, May 2009
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Business Decision-Makers: Bottom Ranking MessagesIndex Score = Net Believability + Strongly Agree MSFT Good Value + Very Likely to Purchase/Deploy/Develop Net Stgly Very IndexNet Believability = (5 + 4) – (1 + 2) Top 10% Top 33% Bottom 33% Bel Ag Lkly ScoreRanked by Index Score Microsoft has always been pushes the boundaries of software innovation, and we remain a company thatOptimistic optimistic that future innovations will serve as a catalyst for economic recovery and help about all of us improve our lives. Microsoft is committed to purposeful innovation, which is why we invest $9 63 15 14 92Tomorrow billion a year in research and development, a full billion dollars more than last year, to market to study and bring the best software experience for our customers. The soft economy impacts almost every market and community, creating an ebb and flow that can be a challenge to ride from Riding the recession back to growth. Microsoft products and services become a particularly valuable strategic 48 14 17 79 Wave investment during a downturn because they support remote worker productivity, virtual solutions, and are easily scalable when your business is ready to grow. Increase Economic uncertainty creates changes in your customers’ behavior, and addressing those changes early could be the advantage your company needs to stay Results ahead. To weather tough times and excel in better times, Microsoft Dynamics offers a valuable set of software and tools with 44 16 14 74 Business that provide real-time, actionable information, which your company can use to react quickly to Insight changing business conditions.Virtualizati Think making IT cuts was hard? How about when your company recovers and you need to get back to par with less time and fewer resources? Microsoft products represent a good value on Helps with the advantage of virtualization and cloud computing, giving you the because they take 41 15 17 73Up/Down flexibility and choice to more easily expand and contract your IT load to match Economy business conditions. Microsoft continues to deliver software innovations that help individuals and organizations around the world learn and grow while accomplishing everyday tasks and achieving their SparkEconomic goals in increasingly efficient ways. The upcoming Windows 7 and other Microsoft innovations offer cost-effective 42 15 15 72 Growth solutions for both individuals and businesses and serve as resources to aid in the exploration, growth and innovation that help spark economic growth. Source: Microsoft Value Messaging Research, CMG Market Research, May 2009
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm The Bottom Line Value matters to all audiences, but we need to tune the message for each one – Arm ITDMs (“believers”) with value-based content and air cover so they can sell up to their leadership - Messaging connecting value to performance and reinforcing IT as a strategic investment that can reduce costs in the long-run helps strengthen the case – Inform BDMs (“skeptics”) of the value we deliver to their organization today through empowering their employees to get the most value from familiar technology, our investment in innovations, and strong service and support ecosystem in order to shift their perceptions of Microsoft value - Since BDMs are skeptics, they have the potential to block Microsoft as they increasingly take a larger role in budget decisions – Remind Consumers and Small Business Owners (“fence sitters”) of the history of value Microsoft has delivered (Office, Windows , Live, UC, etc.) and continue to deliver (via new offerings, free features) to reinforce our strong value heritage and to convert existing equity into consideration of the next wave of offerings (Windows 7, Office, Search, Server, etc.) - For example, consumers look for immediate cost savings and need to be “reminded” of the ‘hidden’ cost savings in Microsoft products and services
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Example  How to promote the new Xerox black & white copy machine to medium size company CEOs ?
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Write the value proposition  Product features and benefits: – High resolution b&w (1600 dpi) – Smaller than the competition – Access to statistics in real time – A service contract that provide you a 24/7 intervention – The quickest copy machine in terms of copies / minutes – A price among the lowest ones with a flexible lease offered to S&M size companies  Insights : – What BDMs dislike most is to imagine their employees losing their time in useless actions – BDMs are seeking to hire the best employees despite the lack of « sex appeal » of small companies for young people. – SMB BDMs are looking for flexible paiment conditions. – BDMs does not wish to lose their time in dealing with copy machine and toilet paper details, they want to focus on development and company benefits
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Write the value proposition – Product features and benefits: - High resolution b&w (1600 dpi) - Smaller than the competition - Access to statistics in real time - A service contract that provide you a 24/7 intervention - The quickest copy machine in terms of copies / minutes - A price among the lowest ones with a flexible lease offered to S&M size companies – Insights : - What BDMs dislike most is to imagine their employees losing their time in useless actions - BDMs are seeking to hire the best employees despite the lack of « sex appeal » of small companies for young people. - SMB BDMs are looking for flexible paiment conditions. - BDMs does not wish to lose their time in dealing with copy machine and toilet paper details, they want to focus on development and company benefits
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Write the value proposition  The quickest copy machine in terms of copies/minutes  What BDMs dislike most is to imagine their employees losing their time in useless actions  Value proposition: The new Xerox copy machine allows your employees to work faster
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm From the value proposition to the communication promise  Value proposition: The new Xerox copy machine allows your employees to work faster  Communication promise: With the new Xerox copy machine, your employees won’t stand for hours in the copy machine room
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm The abruption idea  The Idea: – Materialize and dramatize the time lost by users with their current machine  The solution: – A piece of used carpet sent to BDMs, giving a clear idea of the time lost by employees in front of the copy machine, time that could have been more profitable. – Telemarketing follow-up .
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm BDMs are OK to be contacted directly even if IT is bypassed • A few suggest Microsoft should leverage their IT department relationship to… o Present LOB products and discuss business benefits o Identify key BDMs within the organization o Facilitate learning business needs and offering solutions ideas IT BDMs • How?• Why? o Advertising in industry publications, trade o BDMs know their own needs better than IT journals, and business magazines o Most IT groups are not passing on or o Onsite product demonstrations sharing the information about Microsoft‟s o Direct mail/brochures targeting functional other products areas or their specific industry o Business groups typically pay for IT solutions
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm In the case of low priority of BDM marketing• Even if Microsoft is not interested in building a strong relationship with BDMs in a sub, it should at a minimum educate the BDMs on the product portfolio and relevant business benefits to encourage some level of influence over IT.
    • Who are they? Responsibilities Making decisions Challenges Source of info Products Attitude to MSFT Insights & Comm Final thoughts  BDMs are the hardest audience to reach, significant effort is required, but they can be the deal-breaker  BDM in a 10-man company is very different from a public-listed company CEO; this filter needs to be applied in this training material  Local nuances are key in developing highly relevant communications
    • Let‟s talkabout IW now
    • SMSG Marketing Matrix SEGMENTS EPG SMS&P Public Enterprise Education Depth Breadth Partners Sector BUSINESS DECISION MAKERS (BDM)A IT DECISION MAKERS (ITDM)UDI ITI IMPLEMENTOR (ITI)EN DEVELOPERSCE DESIGNERSS INFORMATION WORKERS (IW)
    • Commercial audiences mapping Function Leaders CxO VP Sales CMO COO VP R&D Other ITDM : CIO CFO (Finance) (Sales) (Marketing) (Operations) (R&D) VP HR (HR) BDMs Business Apps / LOB CIO Infrastructure & delivery Supply Chain Management Research & Development Training & Development Product Management RM / Digital MarketingExecutives Function Architecture / CTO Customer Service Administration eCommerce Procurement Accounting Advertising Recruiting Planning Treasury Logistics Benefits Development Legal Sales PR Security IT I Other EU / IW Desig Develo IT ners pers Technical audiences (TAGM) Business audiences CxO CEO, CTO, CIO, CMO etc. ITDMs IT Decision Makers Business Decision Makers IT Implementer BDM-TI Technology Influence ITI IT generalist, IT specialists BDM non-TI Business Decision Makers Other IT Non - Technology Influencers (desktop support, infra support, LOB specialist) EU / IW End Users / Information Workers
    • BDM vis-à-vis IW Which of the following best describes your role at work? I am responsible for making Exec decisions about the goals/priorities BDM of my department and/or the overall company. Management I determine how to complete Coordination my projects and/or tasks. or IW I am responsible for Implementation contributing to a team and completing my own projects/tasks.
    • Who are they Segmentation How they work What they use Products Insights OpportunityWhat is a typical IWpersona? Why and how Microsoft segments IWs Where, how, how long… What devices, applications, web services and tools they use Whatoffice products they use What insights can we connect with? What opportunities can we build on?
    • Who are they Segmentation How they work What they use Products Insights OpportunityIW persona Mindset “We are expected to do more and more work, with our professional and personal lives becoming an increasing blur. None of us have time to learn new technologies, but we are expected to be fully fluent on everything available to us.” Need State “We need to have easy access to information for us to make decisions. We don‟t want to go through lots of extra hoops to get our work done, and we want to be able to use what is familiar to us.”
    • Who are they Segmentation How they work What they use Products Insights OpportunityHow they define their work
    • Who are they Segmentation How they work What they use Products Insights International Opportunity iWorker Not all countries have the same level of PC adoption as the US or Western Europe 90% 80% 70% France US PC penetration 60% 50% 40% 30% Germany 20% Brazil 10% 0% - 10,000 20,000 30,000 40,000 50,000 Gross National Income per CapitaSource: The Economist Intelligence Unit
    • Who are they Segmentation How they work What they use Products Insights OpportunityWhy IW segmentation Information workers (think of them as the people you see at a football game) are unique individuals. Uniqueness created by use of productivity, collaboration, and mobility tools varies tremendously based : – Job requirements – Corporate culture and structure – Attitude towards technology Segmentation is shorthand for understanding customers – We‟re human, we naturally assume that everyone is like us. But they‟re not. – It‟s impossible to know each IW individually – But it is possible to segment IWs into like-minded groups
    • Who are they Segmentation How they work What they use Products Insights US iWorker Opportunity 3 factors divide IWs into segments High Low Use of “Accidental” tool user, Highly engaged, highly productivity tools not confident skilled, highly motivated •Frequency using productivity tools •Expertise with productivity software •Perceptions about productivity software Low High Level of Task worker, no Collaboration leader, 3+ collaboration project-based teams teams •Percentage of time working on a collaborative team •Frequency of collaboration tool use •Geographic distribution of the team •Need to manage document versions High Low Location Highly mobile, Usually desk-bound, flexibility connected and working occasionally deskless everywhere •Number of locations using laptops/smartphones •Attitude towards flexible access to work materialsSource: Microsoft‟s “IW@Work ComprehensiveDeck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityGetting to know the IW segments Segment % of IWs Description These are the alpha dogs of mobility, collaboration, and productivity All Stars 20% tools. Think executive, multiple teams, workaholic, tech enthusiast power user, smartphone junky. Aspiration: More power. The Tech Realists represent 25% of the provisioned workforce. Tech Realists 25% understand the potential for technology to improve productivity. They Tech have a higher than average influence on productivity application Realist purchases. Not as “sophisticated” as All Stars. They work from multiple locations, on multiple devices, collaborate with others but may not lead projects. Aspiration: Get time back. They prefer simple, familiar tools that help them get the job done. They Deskbound 18% use the full suite of Office applications and a few „line of business‟ apps. Contributor (larger Work/life balance is important, they want to get work done quickly. They in FR, rarely install other software on their own. Aspiration: All resources within DE) reach. These are loners, on the road, carrying a bag. They are more likely to be Road 17% in sales or professional services. They do more presentations and less word Warrior processing. Aspiration: Get more done on the road. This group uses tools because they must. Think finance, operations, or Generalist 20% service rep that works independently. 9-5ers with predictable jobs. They do more data entry and have more shared PCs. Aspiration: Hassle-free tools.Source: Microsoft‟s “IW@WorkComprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights OpportunitySegments differ in marketsSource: Microsoft‟s “IW@Work Comprehensive Deck”, June 2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunitySegmentation method has not beenoperationalized by Microsoft yet andshould at this point be used forreference only.
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityAll Stars: Want more powerProfessional & Personal characteristics Productivity Tool (HIGH)• 20% of information workers• 57% “have clout” in organization (2X) • Presentation (78%) users and experts• 57% have 10+ people reporting to them • Excel jockeys (47% do pivot tables)• 61% Male (10% above average)• 47% business decision makers (24% average) • Twice as likely to do advanced features• High for “keep up w/latest tech developments” (96%/78% avg.) • Expertise self-ranking across tools: 86%-97%• High for “like tech that sets them apart” (88%/65% avg.) • 99% think productivity tools give competitive• High MP3 player usage (94%/75% avg.)• High for “buy new tech before anyone else” (35%/16% avg.) advantage (33% average)Collaboration (HIGH) Location flexibility (HIGH)• Member of 3.2 teams on average • 96% telecommute or bring work home• 57% use IM daily (30% average) • 43% use laptops 4+ hours/day (21% average)• 57% are team leaders (38% average) • Create or edit docs in 3.8 places on average• Half use Web conferencing (1/3 is average) • Smartphones are key to some (12% use)• 33% spend more than half their time working • Critical to edit docs outside office (85%) with team mates (24% average)Source: Microsoft‟s “IW@Work Comprehensive Deck” , June2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityTech Realist : Get time backProfessional & Personal characteristics Productivity Tool (MEDIUM)• 13% of information workers• Professional worker (51%, 35% is average) • 86% use spreadsheets (79% average)• Engineers, educators • 40% do highly unstructured tasks (32% avg)• Young and married no kids, or single• More likely to be male (59% vs. 51% average) • 51% use email most frequently (41% avg)• Low for “like tech that sets them apart” (57%/65% avg.) • 16% use work processing most (11% avg)• Slightly Low for “tech helps them relax/unwind” (70%/75% avg.) • 42% think productivity tools give competitive• Average for “buy new tech before anyone else they know” (13%16% avg.) advantage (66% average)Collaboration (MEDIUM) Location flexibility (MEDIUM)• Member of 2.4 teams on average • 84% telecommute or bring work home• Individual contributor (50%, 44% average) • Create or edit docs in 2.9 places on average• Use social networks for work (23%, 18% avg) • 47% use a laptop 4+ hours/day (21% average)• Only 15% spend more than half their time working with teammates (24% average)Source: Microsoft‟s “IW@Work ComprehensiveDeck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityDeskbound Contributor: Resources in reach Professional & Personal characteristics Productivity Tool (MEDIUM) • 19% of information workers • Structured task worker (25%, Avg+7%) • Perform data entry, uses e-forms (Avg+4%) • 67% don’t install SW on work PC (Avg+12%) • Expert at using spreadsheets (69%/70% Avg) • 58% female (Avg+9%) • Empty nesters, young single, married no kids • Frequently uses Office at work (84%/82% Avg) • Customer services, non decision-maker • Unlikely to create presentations (22%/33% Avg) •Slightly Low for “tech helps them relax/unwind” (70%75% avg.) • Will use advanced functions (1.1/1.6 Avg week) • Slightly Low for use an MP3 player (69%/75% avg.) • 2 x Lower for “buy new tech before anyone else” (8%/16% avg.) • Use tools to achieve work goals (91%/85% Avg) Collaboration (MEDIUM) Location flexibility (LOW) • Work on 1.99 project teams (1.33 Avg) • Rarely works away from desk (.6/1.5 Avg) • Use 2.28 collaboration tools daily (1.5 Avg) • Uses fewer devices anywhere (.7/1.3 Avg) • Use some web conferencing (18%/31% Avg) • Not critical to synch email (26%/40% Avg) • Most face-to-face collaboration (89%) • Doesn’t collect data when away (32%/49% Avg) • Have individual contributor role on teams (54%) • Doesn’t need to access work calendar when • Most work with other office staff (84%/77% Avg) away (35%/48% Avg)Source: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityRoad Warrior: Get more on the road Professional & Personal characteristics Productivity Tool (MEDIUM) •17% of information workers • Sales, professional services • 44% create PDFs weekly (41% average) • Business decision makers 30% (Avg+6) • Create presentations but don’t view selves as • Some clout in organization 36%/31% Avg experts (46%/65% Avg) • Young and single, older family with kids at home • Create documents 79% (Avg+11%) • Male, 40+ (56%, 52%) • Moderate for “like tech that sets them apart” (73%/65% avg.) • Work highly unstructured (37%/32% Avg) • Moderate MP3 player usage (81%/75% avg.) • Use advanced functions (1.7/1.6 Avg week) Collaboration (LOW) Location flexibility (HIGH) • Doesn’t use collaboration tools daily (0%) • 82% telecommute or bring work home (Avg+16) • Doesn’t work on project teams (0%) • 58% need to access work calendar (Avg+10) • Primarily works on own (44%/36% Avg) • 38% use a laptop 4+ hours/day (21% average) • 23% work for single-site firms (19% Avg) • Critical to synch email (51%/40% Avg) • Need flexibility where can work 87% (Avg+12) • High use of devices 1.8 (Avg+.5)Source: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityGeneralist: Hassle-free toolsProfessional & Personal characteristics Productivity Tool (MEDIUM)• 14% of information workers• Most deskless workers (11%/5% Avg) • Moderate data entry, e-forms (55%/58% Avg)• Data entry worker (21%/13% Avg) • Low use of presentation SW (36%/55% Avg)• Middle aged, unmarried, DINK• Retail, Cust. Svc, trade, public safety, manuf. • Less frequent Office users (73%/82% Avg)• Roughly equal male/female (49%/51%) • Use few apps other than Office (1.07/1.65 Avg)• Slightly lower for “keep up w/latest tech developments” (73%/78% • Use some advanced functions (1/1.6 Avg week)avg.)• Slightly lower for "like tech that sets them apart” (60%/65% avg.)Collaboration (LOW) Location flexibility (MEDIUM)• Primarily works on own (44%/36% Avg) • Not critical to synch email (26%/40% Avg)• Doesn’t use collaboration tools daily (0%) • Doesn’t need to access work calendar when• Doesn’t work on project teams (0%) away (34%/48% Avg)• Low use of IM (23%/37% Avg) • Rarely works away from desk (.8/1.5 Avg)• Low use of collab SW (22%/31% Avg) • Flexibility where work moderate (62%/66% Avg) • Avg # of devices used anywhere (1.2/1.3 Avg)Source: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec Opportunity Pres Each industry has a different breakdown of IW segments Significantly lower Significantly higher likelihood of this likelihood of this Segment Industry Industry Local Government, Engineering, Computer- All Stars Wholesale, Hospitality Related Tech Computer-Related, Engineering, Utility, Realist Education Utility Deskbound Contributor Road Banking, Transportation, Construction, Hospitality Federal Government Warrior Computer-Related Hospitality, Legal, Banking GeneralistNote: The sample sizes for some of the segments by industry are quitesmall (<10), so consider this directionally correct.
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunitySummary of essential differences Tech Deskbound Road All Stars Generalist Realist Contributor Warrior Percentage of 20% 13% 19% 17% 17% iWorkers Use of High Medium Medium Medium Low Productivity Tools Need for High Medium Medium Low Low collaboration High Medium Low High Low Location flexibility Clout in the High Medium Low Medium Very low organization More Time Within More on Nothing Primary aspiration power back reach road newSource: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityAbout one-fifth telecommutes regularlySource: February 2010 “Understanding The Influential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityDesk and desktops dominateSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights US iWorker Opportunity40% can download with limits and 60%have internet accessSource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights US iWorker OpportunityMainly use Dell and HPSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresEmail, calendar, IM and documentsharing are most usedSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity Pres 102 Daily use of email is universal; not so with presentations Email is even “How frequently do you use each of the following hourly for 52% types of software at work?” (% Using Daily)100% 92% 92% 88% 90%90% 83% 81%80% 76% 70%70% 68% All Stars lead in 63% 62% 62% 63% 62% presentations.60% 53% 54% 51% 49%50% 44% 46%40% 33%30%20% 14% 12%10% 7% 4% 0% Email Calendar Word processing Spreadsheets Presentations All Stars Tech Realist Deskbound Contributor Road Warrior Generalist Base: Total (n=2002) Source: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity Pres Advanced activities are: a) not daily for most; and b) found mostly in All Stars Spell checking “How frequently do you do the following activities when using is a common productivity software at work?” (% doing Daily) daily task for100% most IWs90% 81%80%70% Pivot tables are a daily task for 64% 59% 62%60% 54% only 16% of All50% 47% Stars and40% 36% single-digit30% 25% 30% 30% levels for others. 21% 19% 20%20% 17% 16% 12% 13% 13% 13% 10% 9%10% 3% 2% 4% 1% 0% Spell check documents Sort column data in Create recurring Create document templates Generate pivot tables spreadsheets appointment All Stars Tech realist Deskbound Contributor Road Warrior Generalist Base: Total (n=2002) Source: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity Pres PC use is high across all segments, but only some use laptops or smartphones 100% 100% 96% 95% 90% 88% 87% 83% Laptops and especially smartphones 80% 77% 72% vary by segment and correlate with 70% the need for location flexibility. 60% 50% 47% 43% 38% 37% 40% 34% 30% 22% 20% 12% 8% 10% 1% 2% 1% 0% 0% Use PC 4+ hours per day Use laptop 4+ hrs per day Use smartphone 4+ hrs per day * Use PC or smartphone in more than 1 location All Stars Tech Realist Deskbound Contributor Road Warrior GeneralistSource: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity Pres 105For project-based teamwork, All Stars lead inevery category“How frequently does your team use the following collaboration tools?” (% Using Daily)100% IM is only mainstream 90% for All Stars For every conferencing technology, but 80% 72% particularly for Web and Video conferencing, 70% 70% All Stars are the big users 60% 50% 49% 50% 42% 40% 32% 30% 28% 30% 19% 20% 17% 11% 10% 4% 3% 3% 2% 0% Intranet portal Instant messaging Telephone conferencing Web conferencing Video conferencing All Stars Tech Realist Deskbound ContributorSource: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresLEAST used tools are those companies donot provideSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresOn Smartphones: email, contacts andcalendar are topSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresBB most popular but iPhone catching upSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresMost use company-approvedsmartphones but 23% chose their ownSource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresSmartphones; not necessary but wantedSource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresCloud won‟t be a total noveltySource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresProductivity tools most used web servicesSource: February 2010 “Understanding The InfluentialInformation Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresNot downloaded apps because of nopermissionSource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresWeb browsers and desktop search appsis what they download mostSource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec US iWorker Opportunity PresApplications that help their jobSource: February 2010 “Understanding TheInfluential Information Worker”
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec ITDM Opportunity PresWhat products would be relevant to IWs Cloud E.g. BPOS Productivity Suites E.g. Office, Sharepoint, Outlook Applications E.g. EI, Forefront Core Infrastructure Windows (server + client) Hardware
    • Who are they Segmentation How they work What they use Products Insights iWorker Exec ITDM Opportunity PresProductivity suites used at organizations Below average Above average Avg. or Multi- Multi- Above Below Sites/ Sites/ Avg. # Avg. # Single One Multi- Unprov Unprov Productivity Suites in Use at Org Total SENT LENT ITDM BDM Site Country Country PS* PS* (Q3/3A) (n=454) (n=122) (n=332) (n=355) (n=99) (n=69) (n=212) (n=173) (n=190) (n=264)Productivity Suites in Use at Org Microsoft Office 96% 94% 97% 97% 96% 97% 96% 96% 94% 98% IBM Lotus SmartSuite 45% 52% 43% 46% 41% 43% 46% 44% 50% 40% OpenOffice, StarOffice or Red Hat 39% 43% 39% 41% 35% 51% 33% 42% 41% 38% Linux Google Docs and Spreadsheets 38% 38% 38% 38% 38% 42% 34% 41% 42% 35% Other desktop-based productivity 21% 15% 23% 18% 33% 15% 21% 23% 20% 22% software Other web-based productivity 4% 1% 5% 3% 8% 5% 3% 6% 7% 2% softwareSource: Microsoft‟s “IW@Work Comprehensive Deck” ,June 2009
    • Who are they Segmentation How they work What they use Products Insights OpportunityInsightsProduct-related About half IWs don‟t understand how a particular feature will help them. The other half needs to be shown the benefits, not the feature. Imagine a world in which an IW can step out to a community for help, for videos on how to use the feature, for peer advice?Time and training• All workers are constrained by time and resources • … to close more deals. • … to get back personal time • … to be better at what they do• IW thinks “my time”, BDMs thinks “company time” and “their time”• Formal training takes a back seat to learning on the flyEmpowerment In the US, many IWs see themselves as BDMs; they feel empowered to do more than what the job description reads In France, Germany and Brazil this insight does not apply.
    • Who are they Segmentation How they work What they use Products Insights Opportunity ITDMITDMs are looking for any excuse to provision No-Suite Workers 75% ITDM‟s say they will provision some of their workers who aren‟t currently using a productivity suite in the next 12 months Reasons for not provisioning workers with productivity suites relate primarily to costs. Three-quarters indicate a desire to provide individual productivity apps or web-based solutions to these workers. Likelihood of Provisioning – No-Suite Workers n=454 (Q1) Top Box % (Very Likely: 7-9) If the license cost for full productivity suites were 1/10th the current license cost 83% If the cost of providing email for employee communications was cheaper than using 78% physical mailboxes If you could provide a Web-based solution 74% If they were to be given a PC or access to a PC 74% If you could select individual productivity applications to be provisioned 72% If the license cost for full productivity suites were half the current license cost 70% If you could provision workers with email or calendar only 67%Source: Microsoft‟s “IW@Work Comprehensive Deck” , June 2009
    • Who are they Segmentation How they work What they use Products Insights OpportunityChallenge and opportunity Microsoft is designing Office for All Stars, while overlooking the needs and issues of the other 80% of IWs. Designing for the needs of the other 80% does not necessarily mean changing the SKUs, but it does mean thinking about how different segments would value or prioritize a feature or design principal. Focus on Features and not Benefits only. Features can be owned by Microsoft, benefits often not so. E.g. “saves time” is a benefit that can be claimed by any brand. What FEATURES make it “save time”?
    • Who are they Segmentation How they work What they use Products Insights OpportunityIn closing See it as a PUSH and PULL strategy • PUSH • Targeting the IT Pros as they make IT recommendations and decisions. • Knowing IWs well will enable us to develop communications which will help the IT Pros to position products to IWs and sell better internally. • PULL • See IWs as influencers who will make requests / demands to IT (Apple, RIM strategy) • The new/younger IWs grew up with high-tech, they will be more demanding of IT to satisfy their high IT appetite.
    • Thank you !For more information please contact Raj Misra Senior Strategist raj.misra@wunderman.com