• Recent Posts: Influencer Relations

    IDC could flourish after IDG’s sale to Chinese consortium

    IDC could flourish after IDG’s sale to Chinese consortium

    As we predicted in our April Fool’s Joke last year, IDC has been sold as part of a Chinese-led purchase that leaves CEO Kirk Campbell at the helm. IDG Capital will take control of the IDG Ventures; China Oceanwide will control IDG and most of IDC, and an independent trustee will take control of IDC’s High Performance Computing (HPC) practice, […]

    Kea Company acquires UK analyst relations consultancy Active Influence

    Kea Company acquires UK analyst relations consultancy Active Influence

    Merger consolidates Kea Company’s position as world’s largest analyst relations consultancy January 19, 2017. London — Kea Company, the world’s largest analyst relations consultancy, today completed its acquisition of Active Influence. Founded in 2010, Active Influence has helped many of the world’s largest technology companies to gain measurable business benefit from their relationships with analyst firms. Founder Richard East has become […]

    Top ten global analysts: 2016’s outstanding research

    Top ten global analysts: 2016’s outstanding research

    2016 produced some outstanding analyst research. We’ve picked the best articles from each of the world’s ten leading analysts firms, as ranked in the 2017 Analyst Firm Awards. Together they show how diverse analysts’ most compelling content can be, including deep quantitative research into mature markets, like cellphones; pointed competitive insight into corporate changes, like Dell’s integration of EMC, and […]

    IDC overtakes HfS in 2017 global Analyst Firm Awards

    IDC overtakes HfS in 2017 global Analyst Firm Awards

    Gartner and Forrester’s leadership is no surprise, but this year IDC has won back third place in our annual Analyst Firm Awards, pushing HfS Research into a still-impressive fourth place. PAC and Ovum have also risen substantially this year, rounding out the top six. In last year’s awards, we saw that firms that could create business leads for their clients […]

    Analyst Value Survey shows deeper frustration with industry analysts

    Analyst Value Survey shows deeper frustration with industry analysts

    I’ve been in New York this week discussing the Analyst Value Survey with both Kea clients and industry analysts. The 2017 report will be available early in January, but the responses show that many users of analysts’ services are reaching out to more firms than before, and are gathering quite uneven value. Firstly, the good news is that many users […]

TowerGroup is rightsizing for a changed landscape

Logo - TowerGroupThe fact that the financial services industry is changing is on the front pages of news sites and newspapers every day. Banks being closed down by regulators or acquired by other banks are shrinking the market. Other financial institutions are slamming their checkbooks shut as they try to conserve capital. This turmoil is obviously impacting technology vendors that sell software, hardware, and outsourcing to banks, insurance companies, and other financial firms. In addition to the tech vendors, this changed landscape also impacts analyst firms, especially those that focus on the financial services vertical.

A case in point is illustrated by our post TowerGroup experiences layoffs. TowerGroup specializes in the financial services vertical market so it is not surprising the market turmoil would impact it. To get the details behind the job action, SageCircle was briefed on July 14th by Bob Egan, TowerGroup’s Global Head of Research & Chief Analyst (Twitter, bio). 

TowerGroup invested heavily in the mid-2000’s to support the rapidly growing financial services market and the tech vendors that sell into that market. This worked out well with 30% annual growth in 2006 and 2007. Even when growth tapered off in 2008 and 2009, TowerGroup was doing “ok.” However, Egan said that the anticipation of an extended recovery and a shrunken set of companies meant that TowerGroup needed to proactively rightsize its operations to reflect the changing realities of the market rather than hang onto the existing strategy too long and be forced to make more drastic cuts later.

The July layoffs were based on what research services were the most relevant to Continue reading