Conference Presentation

B4B Success Tactics

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At the end of 2013, TSIA published a book titled B4B: How Technology and Big Data Are Reinventing the Customer-Supplier Relationship. The book overviews several trends that are impacting the business models of technology companies.
 
  • Growing importance of service revenues: as technology markets mature, the revenue streams become more service intensive.
  • Changing economic engines: technology companies have historically made their money by selling technology assets to customers and attaching traditional services, like support contracts and technical training. As customers switch from buying to renting, product transactions disappear and traditional product support contracts designed to secure uptime are not attached.
  • Emergence of Level 3 and Level 4 service offerings: the book B4B defines four distinct levels of technology solution providers. Product companies that historically only offered traditional product-attach services (Level 2 offers) are now experimenting with services that help customers accelerate their adoption of technology (Level 3 offers) or commit to helping customers achieve specific business outcomes (Level 4 offers).
  • Commoditization of Level 2 offers: one of the reasons product companies are experimenting with Level 3 and Level 4 service offers is because the value proposition of traditional product-attach services is diminishing. Customers are less and less excited by services that are designed to implement and support a product, as opposed to services that are designed to help achieve specific business outcomes.
 
These general industry trends are requiring service organizations to rapidly evolve their offers and capabilities.
 
In his opening keynote, TSIA executive director Thomas Lah will overview tactics service organizations are currently employing to navigate these significant industry changes.

 

Presented By:

Thomas Lah

Executive Director,

Publish Date: May 5, 2014

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