Large IT vendors continue to blunder in targeting the small business market.
ConnectIT, an email newsletter for the computer channel community published by Richmond Hill, Ont-based Integrated mar.com, takes IBM to task for not respecting the uniqueness of the SME market. A June 20 story by Paul Weinberg quotes Wayne Kernochan, senior IT analyst at New Hampshire research firm Illuminata Inc., as saying, “I continue to sense that some vendors don't feel the SMB market is worthy of focus."
He noted that IBM has only managed "modest success" in its push with SMB-targeted products and services, because it has concentrated on the upper level of SMB (which includes far fewer firms than the small-business mainstream).
Kernochan also points to IBM’s Informix division, which he says pumped one release of database software “indiscriminately” into the channel without distinguishing between large enterprises and SMBs. As a result, "The SMBs didn't see much value in it."
Neglecting the small truths of the small business market can be expensive. Kernochan says Informix took six months to recognize its error, “but by then the financial damage to the company had already occurred.”
Although big companies say they value the small business market, he urges IT vendors to do more to reach that type of customer. "Vendors have to figure out how to get at that market in a cost-effective way. They tend to focus their innovation efforts on the large enterprise market."
Kernochan urged IT vendors to broaden their channel coverage beyond VARs and resellers, and reach out to SMB-oriented independent software vendors (ISVs) or solution providers.
He says technology products for small business have to be simpler to use and require less administration. And he warns that small business’s dissatisfaction with the IT industry is “getting higher and higher.”
This article suggests that the solution for big companies such as IBM is the same as that for everyone targeting small business. Acknowledge the special characteristics of this market. Don't dumb your products down: just make them easy to sell, easy to understand and easier to use. Recognize that these customers are intelligent professionals, but not specialists.
And understand that no matter how big you are, you only have one chance to prove yourself.
Thursday, June 21, 2007
Friday, June 01, 2007
How to really win friends and influence people
Note: This entry is cross-posted from my other blog, Canadian Entrepreneur.
What do you think when you see the words? “Please help us serve you better.”
You figure they're asking for something that will mainly help them and not you, right?
That's what I thought today when I got an e-mail from Ottawa sales coach Colleen Francis with that cheesy headline. I only read it because I decided not to do whatever it was they wanted me to do.
To my surprise, though, Colleen’s business manager, Casey, had written a very friendly letter explaining how they were upgrading their database. “We currently have 3 databases (UGH!) and we are streamlining them into 1,” wrote Casey. “In order to help us ensure you continue to receive the sales information you want, we would love you to update your profile.”
By using real language (“love”) and a little humour, and by giving us some insight into the human side of their database search, they got me onside.
But then they added the flourish. "Now, you are probably wondering "What's in it for me?" - right? Well - I will tell you. When you update your information I will personally send you a CD! A $79US value for simply filling in 10 little fields.”
You could choose a CD on coommunicating through "gatekeepers" and email, or another on “Turning No into Yes.”
"Once you have completed the form please reply to me with your choice of CD and I will pop it in the mail,” writes Casey. “We do hope you will help us with our spring cleaning.”
Congrats to Casey and Colleen for demonstrating how to turn No into Yes - using positive, informal language and appropriate incentives to motivate and engage people. Which could be why their company is called Engage Selling Solutions.
How could you use these techniques in your next communication with busy business owners?
What do you think when you see the words? “Please help us serve you better.”
You figure they're asking for something that will mainly help them and not you, right?
That's what I thought today when I got an e-mail from Ottawa sales coach Colleen Francis with that cheesy headline. I only read it because I decided not to do whatever it was they wanted me to do.
To my surprise, though, Colleen’s business manager, Casey, had written a very friendly letter explaining how they were upgrading their database. “We currently have 3 databases (UGH!) and we are streamlining them into 1,” wrote Casey. “In order to help us ensure you continue to receive the sales information you want, we would love you to update your profile.”
By using real language (“love”) and a little humour, and by giving us some insight into the human side of their database search, they got me onside.
But then they added the flourish. "Now, you are probably wondering "What's in it for me?" - right? Well - I will tell you. When you update your information I will personally send you a CD! A $79US value for simply filling in 10 little fields.”
You could choose a CD on coommunicating through "gatekeepers" and email, or another on “Turning No into Yes.”
"Once you have completed the form please reply to me with your choice of CD and I will pop it in the mail,” writes Casey. “We do hope you will help us with our spring cleaning.”
Congrats to Casey and Colleen for demonstrating how to turn No into Yes - using positive, informal language and appropriate incentives to motivate and engage people. Which could be why their company is called Engage Selling Solutions.
How could you use these techniques in your next communication with busy business owners?
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