• Recent Posts: Influencer Relations

    Netscout continues unwise Gartner suit

    Netscout continues unwise Gartner suit

    Netscout and Gartner have scheduled their trial for next July. The case stands little chance of improving Netscout’s value. It does, however, risk harming the reputation of both analyst firms and analyst relations professionals. Over the last weeks, pressure has mounted on Netscout’s lawyers. Netscout claims Gartner’s Magic Quadrant harmed its enterprise sales and that the truth of Gartner’s statements […]

    Is this how the Quadrant lost its Magic?

    Is this how the Quadrant lost its Magic?

    Gartner’s Magic Quadrant is the most influential non-financial business research document. In the late 1980s, it was a quick and dirty stalking horse to provoke discussions. Today it is an extensive and yet highly limited process, based on the quantification of opinions which are highly qualitative. The early evolution of the MQ tells us a lot about the challenge of industry […]

    Saying farewell to David Bradshaw

    Saying farewell to David Bradshaw

    A funeral and celebration for David Bradshaw (shown left in this 2000 Ovum awayday photo, arm raised, with me and other colleagues) is to take place at West Norwood Crematorium, London SE27 at 2.45pm on Tuesday 23rd August and after at the Amba Hotel above London’s Charing Cross Station, on the Strand. David considered that that Ovum in that incarnation was […]

    David Bradshaw 1953-2016

    David Bradshaw 1953-2016

    David Bradshaw, one of the colleagues I worked with during my time as an analyst at Ovum, died on August 11. He led Cloud research in Europe for IDC, whose statement is below. David played a unique role at Ovum, bridging its telecoms and IT groups in the late 1990s by looking at computer-telecoms integration areas like CRM, which I […]

    AR managers are failing with consulting firms

    AR managers are failing with consulting firms

    Reflecting the paradoxical position of many clients, Kea’s Analyst Attitude Survey also goes to a wide range of consultants who play similar roles to analysts and are often employed by analyst firms. The responses to the current survey show that consultants are generally much less happy with their relationships with AR teams than analysts are. The paradox is that as […]

Will the analysts drive down IT spending? Not if you talk to them.

In Saturday’s New York Times Business Day section there was a reassuring article by Steve Lohr called Belt-Tightening, but No Collapse, Is Forecast in Technology Spending. Reassuring because the IT executives and industry analysts interviewed all indicated that there was less likelihood that IT spending was going to be slashed like during the 2001 recession. Whew, it looks like the IT market will dodge the bullet this time! However this relief could be short lived if the IT analysts turn negative and start counseling their IT buyer clients to be conservative and cut spending.

What could turn the IT analysts negative on spending? The analysts could flip their opinion if all they hear are the concerns and fears of budget cuts from nervous IT executives. As explained in this post, analysts like Gartner that rely on anecdotal data gathered via ad hoc end-user inquiry can be easily swayed if they hear only one side of a story. In this situation, if the analysts are only hearing from IT executives who are experiencing budget cuts then the analysts might conclude that budget cutting is more widespread than they originally thought. This would cause their commentary in published research and in press quotes to reflect a more pessimistic point-of-view, which could then lead CIOs and CFOs to conclude that they now have to cut IT budgets to remain competitive. Voilà! A self fulfilling prophesy is launched which could hurt many IT organizations and IT vendors.

What can you do? Provide the analysts with a balanced view of what is happening budget wise.

SageCircle Technique:

IT managers – Set up inquiries with your analysts and discuss the approach toward the IT budget that your company is taking.

Vendor AR teams – You can take either an inquiry or briefing approach. In either case, the best spokespeople you can use are your CEOs and/or senior sales executives. The approach to take is an exchange of intelligence between the analyst and the spokesperson about what they are hearing from CIOs and other senior IT managers. Hopefully, your spokespeople will have many examples of IT organizations not drastically cutting spending.

Bottom Line: It is in the best interest of everybody in the IT industry that analysts have a balanced view of major trends or issues in the IT industry. While it is not typical to discuss something positive or status quo with the analysts, there are times such as the current economic uncertainty where that sort of conversation can be very valuable to the analysts.

Question: IT Managers – Have you ever called an analyst to provide input into a situation where nothing negative like budget cuts is happening? Analysts – How do you ensure a balanced set of data points from clients?
 
Are you getting the most from your analyst contracts? SageCircle can help. Our strategists can:

  • Evaluate the usage of your contracted analyst services and suggest ways to maximize business value from your investment
  • Train your colleagues with analysts seats (e.g., Gartner Advisory and Forrester Roleview) through efficient and effective distance learning via webinar or teleconference
  • Critique your upcoming analyst contracts to ensure you are getting the right services from the right firms to meet your business needs
  • Save you time, money and aggravation

To learn more contact us at info [at] sagecircle dot com or 650-274-8309.

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