Customer Competitive Playbook-Based Analysis Online Managed Backup Solutions

© Ptak, Noel & Associates LLC. All rights reserved. Page 1

Customer Competitive Playbook-Based AnalysisOnline Managed Backup Solutions

Jasmine Noel

[email protected]

Richard Ptak

[email protected]

3/31/09 Draft

This presentation is confidential and should not be distributed outside of Symantec


Agenda

• Project overview• Review playbook-based analysis for customer scenarios

1. Data Explosion

2. Cost-Driven Out-Tasking

3. Expertise-Driven Out-Tasking

4. IT-wide Outsourcing

• Next Steps


Project Overview

• PNA will analyze customer scenarios that motivate solution purchase. • Each scenario will be defined by what a customer wants to accomplish,

PNA will leverage Symantec's existing scenario definitions for this project.

• For each scenario PNA will identify how three different competitors will position themselves and their solutions in an attempt to match the customer's goals.

• PNA will outline the strengths and weaknesses of the competitors' positioning for each scenario.


Data Explosion Scenario Playbook


Scenario: Data Explosion

• Description:– Yearly growth in data volume >25%

– Few backup-recovery staff resources

– Hiring freeze

– Existing solution/process is stressed

• Expected demand growth:– High

• Maturity:– Moderate

– Sales must educate prospect

Buyer Need: Support rapid data growth while driving down staff and technology costs

Buying Criteria

Turn-key features for managing large data volumes

Demonstrate staff value to upper management as data volumes grow

Solution can combine on-site and off-site technology


Data Explosion Subsets

Highly regulated or litigious industries

• Stringent retention requirements• Additional Buying Criteria

– Transparency and audit-ability to avoid compliance fines

– Supports increasing regulations without additional staff effort

– Integration with data classification, indexing, and disposition policies

– Data authentication

Highly distributed companies

• Data and applications in multiple locations with varied backup-restore needs

• Minimize network bandwidth requirements

• Additional Buying Criteria– Centralized administration and

automation

– Flexible solution to handle varied departmental needs

– Data de-duplication technology

•


Scenario Competitive Overview

Symantec EMC IBM HCLTurn-key features for managing large data volumes

Demonstrate staff value to upper management as data volumes grow

Solution can combine on-site and off-site technology

Transparency and audit-ability to avoid compliance fines

Supports increasing regulations without additional staff effort

Integration with data classification, indexing, and disposition policies

Data authentication

Centralized administration and automation

Flexible solution to handle varied departmental needs

Data de-duplication technology

Bas

ic b

uyi

ng

cr

iter

ia

Ad

dit

ion

al b

uyi

ng

cr

iter

ia


Data Explosion Scenario: EMC Details

Sales Strategy:

ContentManagement

solution

Managed Services Package

Interest in broader data management?

Shift the conversation

Yes

No

Red Flags when customer asks about:• Content-driven business processes• Data categorization, indexing and search

capabilities• Records retention policies

Possible responses:• Refocus customer on immediate needs• Make the ‘quick win’ argument• TBA

Red Flags when customer asks about:• Anticipating the use of backup services• ITIL certification• Zero-Downtime Network• High-capacity infrastructure with built-in security• Cloud computing infrastructure

Possible responses:• Ask about heterogeneous infrastructure• Make the ‘fox in hen-house’ argument• TBA


Data Explosion Scenario: EMC Details

• Managed Services Package:– Residency Services– Managed Utility

• Choose EMC for:– Subject matter experts to maximize

ROI– Determining the right recovery service

levels for each application lowers operational costs

– Improved planning and better operational predictability

– Improved financial ratios and cost accounting

– Improved responsiveness to rapid increases in demand

• EMC beats Symantec because:– Larger, more experienced consulting

organization– Longer at the managed utility game– Real cloud computing platform, not a

product retread

Strengths

Residents have an average of over 5 years of experience

Can play the ITIL standard card

Use Mozy as proof of ‘zero-downtime’ capabilities

Weaknesses

Expertise beyond EMC solutions

Weak solution marketing

Inconsistent use of solution names and buzzwords can be confusing


Data Explosion Scenario: IBM Details

• Strategy– Basic description of vendor’s strategy in

this scenario

• Packaging– Describe what the vendor would

package

– For specific groups

• Messaging– In general


• Why choose us– In general

– Over Symantec specifically

Strengths

Weaknesses


Data Explosion Scenario: HCL Details

Sales Strategy:

ContentManagement

solution

Managed Services Package

Interest in broader infrastructure

management?

Shift the conversation

Yes

No

Red Flags when customer asks about:• Content-driven business processes• Data categorization, indexing and search

capabilities• Records retention policies

Possible responses:• Refocus customer on immediate needs• Make the ‘quick win’ argument• TBA

Red Flags when customer asks about:• Anticipating the use of backup services• ITIL certification• Zero-Downtime Network• High-capacity infrastructure with built-in security• Cloud computing infrastructure

Possible responses:• Ask about heterogeneous infrastructure• Make the ‘fox in hen-house’ argument• TBA


Data Explosion Scenario: HCL Details

• Strategy– Get prospect to buy into full support,

transformational solution

• Package– Modular aims to id/fill customer needs

now and tomorrow

• Messaging– In general

• we are long-term partners in identifying and solving problems

• We do it all


• Competitive Position– Tough to beat, highly focused– Global – Over Symantec specifically

• Comprehensive IT service provider• Large, experienced staff

Strengths

- Highly skilled staff

- Extensive experience

- Flexible – pricing, payment plans, solution structure

- Partner oriented

- Pro-active support

Weaknesses

- Focus is high value deals

- Want control

- Objective is long-term commitment/relationships


Scenario: Cost-Driven Out-Tasking


Scenario: Cost-Driven Out-Tasking

• Description:– Have put high-level DR processes in place that include backup-restore– Decreasing involvement by executives in DR planning and testing– Increasing executive focus on lowering cost of business operations

• Buyer is driven by need to:– Obtain hard dollar cost savings by out-tasking backup and recovery operations

• Basic buying criteria– Very prone to sticker-shock– Business case -- capacity savings and staff replacement

• Maturity (Low to Moderate – sales must prove hard cost savings)– Typically unaware that gaps in coverage and backup-recovery execution are

driving up costs– Typically have no means to measure the true cost of inefficient IT processes

• Expected demand growth (Very High)– Counter-cyclical demand for IT services that lower capital/labor costs


Cost-Driven Out-Tasking Scenario: EMC Details

• Strategy– Provide clients with long-term support

contract

• Packaging– EMC Backup, Recovery, and Archive

consulting services

– Managed Storage Services

• Why choose EMC:– Real consulting deliverables

• Tiered catalog of service levels

• Architecture & functional specs

• Business case for managed services

– Transition services ensure successful and seamless transfer of responsibilities

– More predictable costs by shifting CAPEX to OPEX

• Over Symantec specifically:

Strengths

Weaknesses


Cost-Driven: HCL Details

• Strategy– Offer in-depth solution packages,

modularly implemented

• Packaging


• Messaging– In general– For specific groups

• Why choose us– In general – Over Symantec specifically

Strengths

- Expertise

- Willingness to customize services, pricing and payment structures

- Existing large partnerships

- Pricing flexibility

- Partnering with customers

Weaknesses

- May not be able to scale service levels

- Exchange rate volatility can affect pricing


Scenario: Expertise-Driven Out-Tasking


Scenario: Expertise-Driven Out-Tasking

• Description:– Rising application and data complexity – Out-of-date analysis of the business impact of an outage– Unclear specification of service levels from business stakeholders– Worried about potential data loss and regulatory impact

• Buyer is driven by need to:– business continuity program is inadequate for current application environment

• Basic buying criteria– Turn-key solution

• Fully documented transition plan• Demonstrate solution gives staff time to focus on other tasks• Addresses human error as the biggest cause backup-recovery failures

– Fully documented operational processes & best practices– Plan to align disaster recovery roadmap with business technology roadmap

• Maturity (Low – but require extremely short education cycle)– Have little time to research/pilot solutions

• Expected demand growth (High)


Subsets

• Mid-sized enterprise (100-500 servers) with small and/or ‘jack-of-all-trades’ IT staff

• Often assume that sophisticated solution is out of their price range

• Virtualization drives need to change backup-recovery strategies

– Prospects have already adopted server virtualization and are finding that they cannot apply existing backup-recovery processes to the new environment

• Backup windows on physical services vanish because of VM density

– Desktop virtualization shifts PC data-stores back to datacenter


Expertise-Driven Out-Tasking Scenario: EMC Details

• Strategy– Provide clients with long-term support

contract• Packaging

– Managed Availability Services program– typical program runs 3–5 years– Includes longer term disaster recovery

roadmap• Why choose EMC:

– best practices from hundreds of EMC clients

– improvements are sustainable and the ROI in disaster recovery can be effectively measured over time

– Monthly reports to assure stakeholders that program is producing results and reducing business exposures

– detailed quarterly progress updates against the roadmap

• Over Symantec specifically:– Next-generation cloud-based technology

can be phased in seamlessly

Strengths

Weaknesses


Scenario: Datacenter consolidation

• Description:– Backup-restore is subset of larger effort to reduce IT-wide capital expenses

• Buyer is driven by need to:– Lower IT capital expenses

• Basic buying criteria– List

– Looking for one throat to choke

• Maturity (Low to Moderate)– Tends to be low because decisions are made at exec level with little input

from existing technical staff

– Tends to assume that simply having less physical hardware makes the environment easier to manage

• Expected demand growth (Moderate)– Tend to be very large deals with long delivery tails


Scenario: IT-Wide Outsourcing

• Description:– Backup-restore is subset of larger outsourcing effort

– IT functions not viewed as corporate core-competency

• Buyer is driven by need to:– Business oriented description

• Basic buying criteria– List

– Looking for one throat to choke

• Maturity (depends on target audience)– Sales will have explain why Symantec should be used for the backup-

restore subset to two targets: the customer and the outsourcer

– Customer maturity tends to be low because decisions are made at exec level with little input from existing technical staff

– Outsourcer maturity tends to be uneven (high in some areas, low in others)

• Expected demand growth (Moderate)– Tend to be very large deals with long delivery tails


Next Steps

1. Any final questions?

2. ???

Documents

Customer Competitive Playbook-Based Analysis Online Managed Backup Solutions