Customers are forced to do-more-with-less. More buyers are involved in each purchase decision. Use total cost of ownership comparisons to prove superior competitive value versus competitive options.
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Frugalnomics Demands That Vendors Prove Superior Competitive Value
1. Frugalnomics Demands That
Vendors Prove
Superior
Competitive Value
Customers forced to do-more-with-less
61% “Keeping-lights-on” operations
24% Already designated projects
15% Discretionary funds for new proposals
Purchase process is more complex
More buyers involved in each purchase decision Average purchase
2010 2011 Growth process takes longer
16% 2009
4.3 months
17% 2010
5.6 months
7%
More Economic Scrutiny
It’s easier for B2B buyers to “do-nothing” than change
90% 81% 85%
of buyers require a expect vendors to doubt vendor claims
!
business case for provide economic unless there is 3rd-
new projects justi cation party proof
Frugalnomics
is in Full Effect
To Fight Frugalnomics requires a new approach
Yet most still sell using antiquated techniques:
10%
Provocative
60%
Traditional
Value Selling Product Selling
30%
Solution Selling
Number One Sales Priority for 2011:
Show Buyers the Money
Improving sales’ ability to show bene ts / value to prospects is the number one tactic to
drive B2B sales performance in 2011, according to a recent survey by CSO Insights.
Improve Ability to
Show Bene t 30% 34% 12%
Optimize Sales
Process 17% 15% 12%
Improve Ability to
Reach People 16% 14% 13%
Increase Customer
Loyalty 15% 11% 14%
Optmize Forecast
Accuracy 11% 14% 10%
Optimize Competitive
Difference 9% 13% 20% 1st Priority
Bow Out of Poor
2% 2nd Priority
Deals Sooner 9% 15% 3rd Priority
0% 10% 20% 30% 40% 50% 60% 70%
Differentiate with Total Cost of Ownership (TCO)
Engage Diagnose
with Interactive White Papers with Assessment Tools
ery
scov
Di
Co
Customer
nsideration
Buying
Lifecycle
on
Differentiate Justify
isi
with TCO Tools with ROI Tools
c
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Differentiate by Proving Superior Competitive Value
Use total cost of ownership comparisons to prove superior competitive value
versus competitive options:
1. Elevate the discussion beyond purchase price
2. Tally and compare costs over the useful lifetime
3. Quantify and prove incremental value / savings
4. Contrast required investments and bene ts
5. Summarize the comparison in terms executives need to make the decision
ROI Analysis Tools
Components of a successful
TCO Comparison Tool:
the tool
Solution / Total Cost of
Competitive Ownership
Selections & Quanti cation &
Click to view
Con gurations Comparison
Red Hat Server
Modernization TCO Tool
Total Bene t of Competitive
Ownership
tool
Comparison and
Quanti cation & Summary
e
Comparison
Click to view th
Great
Examples Windows Azure TCO Tool
ol
Click to view the to
Shoretel TCO Tool
powering B2B sales to economic buyers 2011
http://www.alinean.com
About Alinean
Alinean, the leading provider of dynamic sales and marketing tools, empowers B2B vendors to better sell to today's
economic-focused buyer. Alinean-powered interactive white papers, assessments, ROI calculators and TCO comparison tools
create more compelling value-based connections, workshops, presentations and proposals — delivering customized diagnos-
tics, benchmarks, solution recommendations, bene ts, investments, ROI, payback and TCO advantage proof points.
Leading B2B rms leveraging Alinean tools include: HP, IBM, Microsoft, EMC, Dell, Intel, IDC/IDG, AT&T, Siemens, Unisys,
Thomson Reuters, NetApp, Citrix, Symantec, Novell, Cisco, Oracle, Sybase, and CA.
Learn more: at the Fight Frugalnomics™ Resource Center http://www. ghtfrugalnomics.com, by visiting
http://www.alinean.com, or calling 407.382.0005.
Sources
The CSO Insights Sales Management Optimization research report for 2011 can be found at:
http://www.csoinsights.com/Publications/Shop/sales-management-optimization
More research can be found at: http://www. ghtfrugalnomics.com
More examples of successful TCO Tool programs can be found at: http://www.alinean.com/sales-enablement/TCO_tools.aspx