Video Market Dynamics
Henry Dewing                                                  Phil Karcher
Principal Analyst                                             Researcher


March 9, 2011




1   © 2009 Forrester Research, Inc. Reproduction Prohibited
      2011
Video is a high or critical priority for nearly half of
companies in 2011
    “Which of the following initiatives are likely to be your IT
organization’s top technology priorities over the next 12 months?”
                              Implement or expand use of videoconferencing,
                               video analysis, and other video technologies

                      Not on our                                                  Critical
                       agenda                                                     priority
                        15%                                                        12%


                           Low                                                     High
                          priority                                                priority
                           38%                                                     35%


                                                 Base: 2,612 IT decision makers
    Source: Forrsights Budgets And Priorities Tracker Survey, Q4 2010
2   © 2011 Forrester Research, Inc. Reproduction Prohibited
Most companies have implemented or plan to
implement videoconferencing technologies

                            “What are your firm’s plans to adopt the
                                   following technologies?”
                                                                                    Implemented
                                                                            28%
           Desktop videoconferencing                                        27%     Planning
                                                                      17%           Interested

                                 Room-based                                       41%
                                                                       20%
                              videoconferencing                        19%

                                                                       19%
       Immersive videoconferencing                                    16%
                                                                          28%


                                                 Base: 2,612 IT decision makers
    Source: Forrsights Budgets And Priorities Tracker Survey, Q4 2010
3   © 2011 Forrester Research, Inc. Reproduction Prohibited
Most companies have implemented or plan to
implement videoconferencing technologies




4   © 2011 Forrester Research, Inc. Reproduction Prohibited
Yin and Yang of Video Solutions Buyers


    Business Mangers
           and
          Users




                                                                   Network
                                                                Administrators
                                                                     and
                                                              Technology Buyers


5   © 2011 Forrester Research, Inc. Reproduction Prohibited
Broader trends are pushing video adoption


 Tablets and smartphones increase the number of touch points for video
 Video continues to be integrated into other parts of the collaboration toolkit

 The distributed workforce uses video to stay connected
 SaaS and managed service models allows buyers to easily try and buy
  video solutions
 Consumer video use drives cultural, behavioral change




6   © 2011 Forrester Research, Inc. Reproduction Prohibited
Business video usage will approach consumer
penetration levels




7   © 2011 Forrester Research, Inc. Reproduction Prohibited
Executives and managers are driving demand for,
and use of, video today

           Executive and
          manager –driven




          Consumerization

8   © 2011 Forrester Research, Inc. Reproduction Prohibited
Desktop video is mostly an upper management tool




9   © 2011 Forrester Research, Inc. Reproduction Prohibited
Forrester’s TechRadar: Video In The Enterprise




10   © 2011 Forrester Research, Inc. Reproduction Prohibited
Access is paltry but there is some willingness to try




11   © 2011 Forrester Research, Inc. Reproduction Prohibited
Access and lack of necessity are the main inhibitors
“You mentioned that you do not use the following tools at your job. Why?”

                                                                 Room-based                         Desktop
 My company does not provide the
                                                                    42%                                48%
              tool for me to use
        It is not something that I find
                                                                    35%                                34%
     necessary to accomplish my job
        I have not received adequate
                                                                     4%                                 3%
      training to properly use the tool
     It would be too difficult and time-
                                                                     2%                                 1%
     consuming for me to use the tool
None of my colleagues use the tool                                  11%                                10%
 I have an alternative that is just as
                                                                     4%                                 3%
             effective for me to use
        None of these/another reason                                11%                                10%
       Base: US, Canadian, and UK information workers at companies with 100 or more employees who are currently not
                                               using the tools listed above
       Source: Workforce Technographics®, US, Canada, and UK Survey, Q3 2009
12     © 2011 Forrester Research, Inc. Reproduction Prohibited
Workers use desktop video for meetings and training




13   © 2011 Forrester Research, Inc. Reproduction Prohibited
IT faces a number of obstacles


  Selling the benefits – or holding off early adopter BUs
  Establishing a funding model

  Wading through complex deployments – bandwidth QoS
  Mitigating technology risk
  Measuring quality of experience

  Training users – not just how to use, but when and why too




14   © 2011 Forrester Research, Inc. Reproduction Prohibited
To push adoption forward vendors need to


  Deliver video onto desktops to drive familiarity
  Deliver higher quality experiences with current technologies
   - and the tools to measure the experience

  Mitigate the technology risks of investment
  Do a better job of selling and measuring the benefits
  Help companies identify applicable use cases

  Pursue not only management buy-in, but management commitment to
   nurture scenarios




15   © 2011 Forrester Research, Inc. Reproduction Prohibited
Services will be a critical delivery capability




16   © 2011 Forrester Research, Inc. Reproduction Prohibited
Thank you


Henry Dewing                                                Phil Karcher
hdewing@forrester.com                                       pkarcher@forrester.com
www.forrester.com                                           www.forrester.com




  © 2009 Forrester Research, Inc. Reproduction Prohibited

Video Market Dynamics - Henry Dewing and Phil Karcher of Forrester

  • 1.
    Video Market Dynamics HenryDewing Phil Karcher Principal Analyst Researcher March 9, 2011 1 © 2009 Forrester Research, Inc. Reproduction Prohibited 2011
  • 2.
    Video is ahigh or critical priority for nearly half of companies in 2011 “Which of the following initiatives are likely to be your IT organization’s top technology priorities over the next 12 months?” Implement or expand use of videoconferencing, video analysis, and other video technologies Not on our Critical agenda priority 15% 12% Low High priority priority 38% 35% Base: 2,612 IT decision makers Source: Forrsights Budgets And Priorities Tracker Survey, Q4 2010 2 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 3.
    Most companies haveimplemented or plan to implement videoconferencing technologies “What are your firm’s plans to adopt the following technologies?” Implemented 28% Desktop videoconferencing 27% Planning 17% Interested Room-based 41% 20% videoconferencing 19% 19% Immersive videoconferencing 16% 28% Base: 2,612 IT decision makers Source: Forrsights Budgets And Priorities Tracker Survey, Q4 2010 3 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 4.
    Most companies haveimplemented or plan to implement videoconferencing technologies 4 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 5.
    Yin and Yangof Video Solutions Buyers Business Mangers and Users Network Administrators and Technology Buyers 5 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 6.
    Broader trends arepushing video adoption  Tablets and smartphones increase the number of touch points for video  Video continues to be integrated into other parts of the collaboration toolkit  The distributed workforce uses video to stay connected  SaaS and managed service models allows buyers to easily try and buy video solutions  Consumer video use drives cultural, behavioral change 6 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 7.
    Business video usagewill approach consumer penetration levels 7 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 8.
    Executives and managersare driving demand for, and use of, video today Executive and manager –driven Consumerization 8 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 9.
    Desktop video ismostly an upper management tool 9 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 10.
    Forrester’s TechRadar: VideoIn The Enterprise 10 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 11.
    Access is paltrybut there is some willingness to try 11 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 12.
    Access and lackof necessity are the main inhibitors “You mentioned that you do not use the following tools at your job. Why?” Room-based Desktop My company does not provide the 42% 48% tool for me to use It is not something that I find 35% 34% necessary to accomplish my job I have not received adequate 4% 3% training to properly use the tool It would be too difficult and time- 2% 1% consuming for me to use the tool None of my colleagues use the tool 11% 10% I have an alternative that is just as 4% 3% effective for me to use None of these/another reason 11% 10% Base: US, Canadian, and UK information workers at companies with 100 or more employees who are currently not using the tools listed above Source: Workforce Technographics®, US, Canada, and UK Survey, Q3 2009 12 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 13.
    Workers use desktopvideo for meetings and training 13 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 14.
    IT faces anumber of obstacles  Selling the benefits – or holding off early adopter BUs  Establishing a funding model  Wading through complex deployments – bandwidth QoS  Mitigating technology risk  Measuring quality of experience  Training users – not just how to use, but when and why too 14 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 15.
    To push adoptionforward vendors need to  Deliver video onto desktops to drive familiarity  Deliver higher quality experiences with current technologies - and the tools to measure the experience  Mitigate the technology risks of investment  Do a better job of selling and measuring the benefits  Help companies identify applicable use cases  Pursue not only management buy-in, but management commitment to nurture scenarios 15 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 16.
    Services will bea critical delivery capability 16 © 2011 Forrester Research, Inc. Reproduction Prohibited
  • 17.
    Thank you Henry Dewing Phil Karcher hdewing@forrester.com pkarcher@forrester.com www.forrester.com www.forrester.com © 2009 Forrester Research, Inc. Reproduction Prohibited