The IBM ASL Program


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Align IBM with your business, the IBM ASL Program for IBM Business Partners.

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The IBM ASL Program

  1. 1. Align IBM with YOUR business (The IBM ASL Program) for IBM Business Partners Chris Clancy – ASL Sales Mark Simmons – ASL Sales Jodie Scarr – ASL Sales © 2011 IBM Corporation
  2. 2. Probing Questions for a potential partner to consider  Do you want the middleware that supports your application to become an integral part of your application?  Do you want to be able to present a single, bundled, price to your customers?  Do you want a consistent price and know that price for at least one year or longer?  Do you want to leverage the IBM brand for higher end clients?  Do you want to generate revenue and profit on each sale for the middleware that your application drives?  Do you want a single sales force talking to the customer rather than your reps and middleware reps from multiple companies?  Do you want to provide a single point of contact for exceptional customer support after you sell your application to the client?  Do you want to be invited and participate in IBM events with clients?  Do you want to continue to buy from companies that compete with you or would you rather work with a company that supports you? 2 © 2011 IBM Corporation
  3. 3. What It is: ASL vs Resell Distinctions Resell - PPA Application, Hardware or Services SOLUTION IBM Software ASL Application and Services SOLUTION IBM Software No pre-integration Separate buying decisions for partner solution and IBM SW Separate pricing to the client for the solution components No requirement IBM SW be sold as part of a solution Full use license License held by client Pricing varies by client’s PPA level L1/L2 Support provided by IBM SWG Channels mission 3 Integrated Bundle of partner’s application (services) and IBM SW IBM Software may be visible One price to client for total solution IBM SW must be sold as part of solution License restricted to use within solution License held by partner Pricing to partner for contract duration L1/L2 Support provided by partner SWG Channels mission © 2011 IBM Corporation
  4. 4. ASL – What’s in it for an IBM Partner? Why License IBM Software as Part of Your Solution?  Present total solution offering to the customer  Bundle and tune IBM software with their products – with IBM help – so their clients get a low cost of ownership, high performance and reliability out of the box  Control their own sales cycle – deliver and price your solution for clients without having to coordinate with IBM or IBM reseller/distributor  Sell worldwide  Reduce development and support costs – deliver an optimized, differentiated and consistent solution to your customers IBM products may be visible Application-Specific Licensing from IBM 4 © 2011 IBM Corporation
  5. 5. ASL value for both partners and end-customers Partner Value  Improves profitability – Known cost of the IBM SW for the duration of the contract – Price to the partner is the same, no matter who the customer is, or where they are located in the world  Accelerates sales cycle – one seller, total solution Joint sales activities with IBM – Target specific accounts to sell partners solution.  Strengthens account control – avoids involvement of competing middleware providers  Speeds time to market and reduces development costs – IBM developed middleware; partner can focus on their value-add End Customer Value  Preference to buy total solution  One contract. One solution  One contact for sales, service, support  Low cost of ownership, high performance and reliability out of the box 5 © 2011 IBM Corporation
  6. 6. ASL – Contract Models  Purchase Commit – Partner makes revenue commitment. Provides highest discounts and most flexibility with Ts & Cs and overall pricing. Prices fixed for contract term.  Monthly Rental SaaS / Cloud – For partners seeking to build SaaS / Cloud offerings for their clients, and requiring monthly fixed term license ordering.  ASL Distributor Contract – Agreement between IBM & Distributor. The distributor recruits ISVs, extends reach to smaller partners. Distributor offers Tier 2 ASL partners flexible credit, simple contracting, administration, education and support. IBM products may be visible Application-Specific Licensing from IBM 6 © 2011 IBM Corporation
  7. 7. Perpetual v Monthly Rental Example – eCommerce Solution IBM Software @ SRP = £100K for license & £22K for on-going support Perpetual License = £55K license and £13K for on-going support Monthly Rental = £2,542 / month Perpetual Monthly Rental Own s/w entitlement. True pay as you go. Re-use s/w for other clients. Scale up / down depending on monthly usage. Still sell monthly to your clients. 7 Op Ex v Cap Ex © 2011 IBM Corporation
  8. 8. Reminder: Business reason for ASL Business Outcome Revenue & Profit  Revenue from: • BP application software • BP implementation services • BP application & IBM software L1/L2 support ASL Business Model  Bundle IBM software in BP solution  Receive consistent pricing over life of the contract  Price solution without having to coordinate with IBM  Deliver solution worldwide with single ASL contract Key IBM ASL Offerings:IBM Business Analytics IBM Industry Solutions Information Management IBM Collaboration Solutions (Lotus software) IBM Rational®: Software management IBM Tivoli®: Service management IBM WebSphere®: Integration and optimization 8 Success Factors  Solution expertise  Sales strategy  GTM plan How IBM Helps  Enablement support  Sales tools  Marketing help  Brand acceptance  Profit based on: • IBM contractual discount • BP application software • BP implementation services BP Investment  Software development skills  IBM technology skills for support  Industry/application expertise  Co-marketing funding and execution Business Value  Packaged solution for clients has more function and single point of support  Less interference from middleware vendors in your sales cycle  Deliver integrated optimized solution with faster time to value © 2011 IBM Corporation
  9. 9. Introducing ArrowSphere xSP Central A portal that simplified management of vendor software licence programmes for service providers 9 © 2011 IBM Corporation
  10. 10. So why xSP Central? Service Providers gain a single entry point to manage all Cloud Service Provider software licences. Build and model services using SW, HW and business costs. Which brings clarity to the cloud turning theory into reality. 10 © 2011 IBM Corporation
  11. 11. Design, deploy & report 11 © 2011 IBM Corporation
  12. 12. Our partners generally want to move quickly 6-12 months+ Complete Enablement General Availability Sell and Make Money 3-6 months Sign ASL Agreement Fit and Function evaluation 2-10 weeks Today Initial Meeting Middleware Selection 12 © 2011 IBM Corporation