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Return on Investment Analysis Service Offering For IT Vendors
ITPMG has assisted a variety of technology vendor companies in constructing ROI models. These
models help to communicate the selling points necessary to alleviate the fears that companies have
in making an investment in an uncertain environment.
Description:
The Return on Investment Analysis for IT Vendors service offering delivers a working model to an IT
vendor company for use with its prospective clients to demonstrate the worthiness of investing in
the company's product or service. Each phase of the three phase offering is important yet a
company may elect to develop an ROI model only to produce case studies and an industry paper.
Therefore, the ROI model would not require the amount of attention to detail as one that will be
used by a vendor's sales team and the amount of time spent in phase 2 is reduced.
Phase 1 - Uncovering Benefits
How do you convert technical jargon into business benefits that determine an ROI?
Our experienced consultants collaborate with your sales and marketing teams to develop benefits
that reflect the business value of your products and services in a language that decision makers
understand.
Key Deliverables:
Sales and marketing benefits identified for use with collateral materials
Phase 2 - Creating an ROI model
What business benefit will enable achievable and credible metrics?
The ITPMG consultants assist a vendor's staff in determining what product and service features
best translate into measurable benefits. Once these benefits are determined, the working team
decides a structure for an ROI model; that is, the best platform for the model to be delivered, the
size and appearance of the model, how to build in ease of use to the model, etc. The ROI-building
team will provide a limited number of iterations in the creation of the model until decision makers are
satisfied.
Key Deliverables:
Project plan for the creation of an ROI model
An ROI model created to measure business benefits of a specific technology
Phase 3 - Proving Benefits
What is the best means to demonstrate a credible ROI to decision makers?
ITPMG consultants work with representative vendor clients to identify appropriate inputs to test the
model with three existing clients of the vendor. The model must produce credible results that include
the measurable benefits of the product or service, which make sense to evaluate, and ring true to
an executive decision maker.
Key Deliverables:
Three case studies as a result of client interviews and evaluations of investments made in vendor
products or services.
An industry report on a specific vendor technology
Target audience:
CIO, CFO, CMO, VP of Sales, VP of Marketing in IT Vendor Companies
Vendor executives all have a vested interest in developing an ROI model for client companies. Sales
and marketing executives understand the importance of providing the sales team with new tools
that will:
ITPMG Services
Recent news reports announced that many large U.S.-based companies are sitting on record levels
of cash. Due to fears that the economic downturn is far from over, companies are staying the
course by not hiring or making few investments in new plants, products and technology. Decision
makers feel it is necessary to scrutinize each allocation of funds, if and when any allocation is
made.
Aware that this climate of fear exists, IT vendor companies are required to present proof that
investment in their products is worthwhile. A company wishes to know more than ever why it
should make an investment in a vendor's product or service. Prospective clients may require an IT
vendor company to meet with their decision makers to allay fears of investing in new products and
services.
What is the best tool to use to assist a vendor's selling efforts and establish proof that an
investment in the product or service you are selling is worthwhile?
The most popular metric to confirm business benefits is "return on investment" (ROI). Key decision
makers rely on this measure to demonstrate and justify an investment's value and establish tangible
results.
ITPMG works with an IT vendor company to create an ROI metric as a tool so the vendor's sales
team can demonstrate real, measurable benefits to a prospective client company. A vendor
company can then interact with client financial decision makers to present a credible, common
measure of benefits that your company can deliver.
You can use an ROI tool to:
• Provide an estimate of financial justification for an investment
• Validate a vendor's selling points
• Provide a competitive edge
• Present an understanding of client's needs
• Demonstrate technology talking points in layman's terms
• Allow sales representatives to call higher in the client organization
• Provide what top-level client management is requiring to make ROI decisions
Vendor and Technology Analysis Service Offerings: