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Techaisle Blog

Insightful research, flexible data, and deep analysis by a global SMB IT Market Research and Industry Analyst organization dedicated to tracking the Future of SMBs and Channels.

Techaisle data shows suppliers incorrectly addressing the SMB Cloud market

Cloud is clearly established within the US SMB market, in a way that is unique in the global context: nowhere else have the vast majority of SMBs leapt into the cloud. Cloud is also gaining acceptance in Asia/Pacific, Europe & even in Middle-East, regions where Cloud is being seen by SMBs as solving real-world business problems. But most suppliers are peddling their technology assets, focusing on non-viable channel relationships & showcasing wrong-sized solutions for workloads that have very short acquisition & deployment time window.

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New Research – Enterprise Cloud Adoption Trends

The rigor in data collection, the depth in data analysis and the accuracy in forward looking insights that Techaisle brings in its small business & midmarket research has extended to enterprise. Techaisle’s US Enterprise Cloud Adoption Trends provides an in-depth and definitive look into the state of cloud adoption within large businesses.

  1. Only 18% of US enterprises have mature cloud adoption and are optimizing usages; 36% have a cautious approach to cloud. Smaller size large enterprises have reached maturity stage whereas larger sized enterprises have ad hoc approach to cloud
  2. In 92% of US enterprises, IT has a voice on the Board and helps drive the direction of the business rather than business deciding IT needs
  3. Top IT challenge is implementing new strategic IT applications to improve organization’s competitiveness; 74% believe that investments in cloud increases their competitiveness
  4. Greatest benefit of cloud is the ability to launch new products and services
  5. 61% want seamless integration with on-premise systems
  6. For 65% of US enterprises, security and regulatory compliance is the biggest challenge in developing strategies for cloud adoption
  7. In 60% of enterprises data sovereignty and privacy are preventing acceleration of cloud
  8. 75% of US enterprises have adopted Hybrid cloud but the largest penetration growth is expected in the use of public cloud
  9. 74% are using Amazon AWS but Microsoft Azure is not far behind at 65%
  10. 20% of US enterprises use all three types of cloud deployment – private, public and hybrid but the future looks very different

Enterprise IT segments resized

Enterprise IT investment resized

Enterprise IT resized

The research deliverable covers several topics including:

  • Top 10 Enterprise IT challenges & business issues
  • Enterprise Cloud adoption maturity – ad hoc to mature
  • Greatest benefits of using Cloud
  • Factors driving cloud adoption strategy
  • Key attributes of a good cloud solution
  • Challenges in developing strategies for cloud adoption
  • Factors preventing Enterprises from accelerating cloud adoption
  • Current & Planned adoption of services, type of deployment & workloads
  • Current & planned cloud applications
  • Enterprise cloud best practices - hybrid cloud, hybrid IT
  • Enterprise cloud security best practices
  • Use of public cloud within enterprises
  • Benefits of Public Cloud adoption
  • Top drivers of Public Cloud adoption
  • Key challenges in implementing public cloud
  • Workloads being transferred to Public Cloud
  • Key Industry segments using Public Cloud services to derive its benefits
  • Types and brands of public Cloud platform being used - Amazon AWS, Microsoft Azure, Google Cloud, IBM SoftLayer
  • Comparative analysis of AWS, Azure, Google, SoftLayer
  • Influencing the Cloud buyer, mapping the buyer’s journey
  • Influencing the C-Suite

The Techaisle research contains a wealth of data that marketers can use to understand cloud adoption within the US enterprises and build IT buyer-centric marketing initiatives.

 

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Does channel partner sales cycle vary by cloud delivery and positioning?

Data from Techaisle’s study channel partners (research analysis documented in Techaisle’s series of reports either delivered individually or as Channel Partner Research Annual subscription service) tell fascinating stories. Excerpt from the specific study of 650 US channel partners selling managed services, based on Techaisle’s database of over 250,000 partners, shows that the sales cycle length varies not only by line of business, but also by expertise levels:

  • Cloud provider channel, on average takes 2 weeks longer in its sales cycle as a cloud provider channel
  • Systems Integrators’ average sales cycle is ~1.5X of VARs because of complexity of SI’s engagement with an SMB. VARs, are often selling products into existing accounts, have relatively short sales cycles, while SIs, who are positioning complex solutions, have longer sales cycles than other channel businesses
  • Even a consultant who is usually familiar to an SMB organization has to prove that they are the right partner and it involves building a plan and showcasing why their advice and solution would be ideal for SMBs

More fascinating are the four charts below.

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12 points for Cloud Channel Transformation

Recent work by Techaisle shows that the need for channel management imperatives has expanded beyond the tactical questions of sales or management metrics or marketing activities. Techaisle has identified twelve fundamental areas where conventional wisdom has not kept pace with the fast emerging business needs of the channel. Channel policies based on conventional wisdom and past history is leading channel organizations away from the practices needed to compete successfully in the cloud market. Techaisle has developed 12 points for transformation of SMB channels table to illustrate ways that channel organizations must alter basic attitudes towards their business in order to be successful in the current and future IT market. Table below compares old model with new model with imperatives that are losing relevance with those that are emerging.

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