The document outlines the structure and dynamics of the IT consulting industry, detailing its advisory role in helping businesses leverage information technology for their objectives. It highlights the market's growth, trends in outsourcing, and the competitive landscape, with India recognized as a favored offshore location due to cost competitiveness and skilled talent availability. Additionally, it discusses the marketing mix and customer retention strategies used by firms in this sector.

2. Special characteristics
 It is a field that focuses on advising businesses on
how best to use information technology to meet
their business objectives.
 IT consultancies implement, deploy, and
administer IT systems on businesses' behalf.
 IT consulting industry can be viewed as a three-
tier system:
 Professional services firms
 Staffing firms
 Independent consultants

3. Global IT services MARKET
SIZE
(In USD Bn) 2004 2005 2006 2007 CAGR(2004-
07)
World GDP 58,051.1 61,300.0 64,242.4 67,711.5 4.3%
Worldwide
IT services
418 441 467 467 5.8%
As % of
World GDP
0.72% 0.72% 0.73% 0.73%
With an increase in adoption of technology by businesses and
individuals, spending on IT services (excluding BPO, hardware and
software) has outpaced the growth in World’s GDP in past.

4. Livingston Technology
Solutions Services market
Ф India is the most favored offshore location for IT Services The same is
evident from the increase in dominance of India in total offshorable IT services
market.
Ф Dominance of CA in offshore market is because of financial attractiveness
(i.e. cost competitiveness) as well as availability of abundant suitable talent
pool.

5. Competitive environment
 Detailed information is included on market size,
measured by value and/or volume.
 Five forces scorecards provide an accessible yet
in depth view of the market’s competitive
landscape.
 Market shares are covered by manufacturer
and/or brand.

6. Marketing mix
 Product
 Price
 Place
 Promotion
 Physical Evidence
 Process
 People
The IT consulting and other services market is valued as the revenues
accrued from provision of information technology and systems integration
services, information technology consulting, and information management
services.
The 7 P’s which is covered under the marketing mix of IT
consulting services are:

7. Product
 IT Strategy and Governance
 Architecture and Technology
 IT Process and Service Management
 Master Data Management
 Infrastructure Services
 Quality Assurance and Testing
 Performance Engineering Solutions
 Information Risk Management

8. price
 Pricing can be
done according to
the Onshore or
Offshore or both
proposals, the
consulting firms
may get.

9. place
 Considering the location from where service
is provided, the market can be classified into
‘Onshore’ services and ‘Off-shore’ services.
 Off-shore’ services are those services which
are outsourced outside the home country.
 Offshore locations leverage their strength in
availability of skilled talent at relatively lower
cost to provide cost effective services.

10. promotion
 Companies continue to
explore ways in which the
Internet can help improve
the efficiencies and
effectiveness of their
service and product
delivery.

11. Physical evidence
 Helps in fulfilling the need of the technical
architecture for the organization’s system
strategy.
 With a software development specialist advice
can be a real benefit for the activities of your
company and a business model that can help in
improving the system.
 In the past few years, Indian IT consulting
companies have equipped themselves to
provide high quality services for a variety of
clients settled all over the world.

12. process
 IT Services market can be segmented based
on execution responsibility into ‘Outsourced
services’ and ‘Captive Units’ (in-house).
 Independent service providers provide
‘Outsourced services’, undertaking delivery
responsibility for a price.

13. people
 Strategic IT Effectiveness (SITE) experts.
 Experienced professionals with bold, value-
creating approaches to IT.
 User Groups
 Discussion Forums
 Company Blogs
 Research Labs
 Customer Advocate Program

14. Customer retention strategy
 Done by Strategy formulation.
 Working with the clients to formulate a
corporate business strategy following a 5-step
method.
 5-step method
 Defining the goals
 Identifying the scope
 Formulating an aggressive strategy
 Keeping provisions for internal
arrangements, and
 Operations

15. Role & contribution of
Technology
 Website Designing
 Website Development
 Software Development
 Flash Scripting & Gaming
 Online Promotions
 Product Development
 IT Strategy Formulation
 Technology Support and Development
 Product Management
 Internet Marketing
 Technology Consulting
 Product Testing

16. Prepared by:
WIKKI VERMA
IT Consulting