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Frugalnomics Demands That
                                    Vendors Prove
                                    Superior
                                    Competitive Value
       Customers forced to do-more-with-less

                   61% “Keeping-lights-on” operations

                   24% Already designated projects

                   15% Discretionary funds for new proposals


  Purchase process is more complex
    More buyers involved in each purchase decision                                           Average purchase
                        2010                      2011                Growth                 process takes longer

                                                                      16%                    2009
                                                                                                     4.3 months

                                                                      17%                    2010
                                                                                                     5.6 months

                                                                      7%



  More Economic Scrutiny
  It’s easier for B2B buyers to “do-nothing” than change




          90%                                         81%                                           85%
      of buyers require a                        expect vendors to                             doubt vendor claims




      !
      business case for                          provide economic                              unless there is 3rd-
      new projects                               justi cation                                  party proof



    Frugalnomics
    is in Full Effect


  To Fight Frugalnomics requires a new approach
     Yet most still sell using antiquated techniques:

     10%
     Provocative
                                                        60%
                                                        Traditional
     Value Selling                                      Product Selling




     30%
     Solution Selling




  Number One Sales Priority for 2011:
  Show Buyers the Money
     Improving sales’ ability to show bene ts / value to prospects is the number one tactic to
     drive B2B sales performance in 2011, according to a recent survey by CSO Insights.

        Improve Ability to
           Show Bene t               30%                               34%                           12%
          Optimize Sales
                Process              17%                15%             12%
        Improve Ability to
           Reach People              16%              14%             13%
      Increase Customer
                 Loyalty             15%              11% 14%
       Optmize Forecast
              Accuracy               11% 14%                     10%
     Optimize Competitive
               Difference            9%         13%          20%                                         1st Priority


        Bow Out of Poor
                                                               2%                                        2nd Priority

          Deals Sooner                 9% 15%                                                            3rd Priority


                                 0%         10%        20%        30%        40%             50%       60%                           70%


  Differentiate with Total Cost of Ownership (TCO)
                          Engage                                                            Diagnose
                with Interactive White Papers                                      with Assessment Tools

                                                      ery
                                                  scov
                                                Di
                                                                            Co




                                                      Customer
                                                                              nsideration




                                                       Buying
                                                      Lifecycle
                                           on




             Differentiate                                                                     Justify
                                        isi




              with TCO Tools                                                                 with ROI Tools
                                       c




                                                De



     Differentiate by Proving Superior Competitive Value
     Use total cost of ownership comparisons to prove superior competitive value
     versus competitive options:
     1. Elevate the discussion beyond purchase price
     2. Tally and compare costs over the useful lifetime
     3. Quantify and prove incremental value / savings
     4. Contrast required investments and bene ts
     5. Summarize the comparison in terms executives need to make the decision




  ROI Analysis Tools
   Components of a successful
   TCO Comparison Tool:
                                                                                                                  the tool




         Solution /                  Total Cost of
        Competitive                   Ownership
        Selections &                Quanti cation &
                                                                                                          Click to view




       Con gurations                 Comparison

                                                                       Red Hat Server
                                                                    Modernization TCO Tool


      Total Bene t of                Competitive
        Ownership
                                                                                                              tool




                                   Comparison and
      Quanti cation &                 Summary
                                                                                                                                 e




       Comparison
                                                                                                                Click to view th




   Great
   Examples                                                         Windows Azure TCO Tool
                                                                                                                    ol
                                                                                                              Click to view the to




                                                                        Shoretel TCO Tool




                         powering B2B sales to economic buyers                                                                         2011
       http://www.alinean.com

About Alinean
Alinean, the leading provider of dynamic sales and marketing tools, empowers B2B vendors to better sell to today's
economic-focused buyer. Alinean-powered interactive white papers, assessments, ROI calculators and TCO comparison tools
create more compelling value-based connections, workshops, presentations and proposals — delivering customized diagnos-
tics, benchmarks, solution recommendations, bene ts, investments, ROI, payback and TCO advantage proof points.

Leading B2B rms leveraging Alinean tools include: HP, IBM, Microsoft, EMC, Dell, Intel, IDC/IDG, AT&T, Siemens, Unisys,
Thomson Reuters, NetApp, Citrix, Symantec, Novell, Cisco, Oracle, Sybase, and CA.

Learn more: at the Fight Frugalnomics™ Resource Center http://www. ghtfrugalnomics.com, by visiting
http://www.alinean.com, or calling 407.382.0005.

Sources
The CSO Insights Sales Management Optimization research report for 2011 can be found at:
http://www.csoinsights.com/Publications/Shop/sales-management-optimization
More research can be found at: http://www. ghtfrugalnomics.com
More examples of successful TCO Tool programs can be found at: http://www.alinean.com/sales-enablement/TCO_tools.aspx

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Frugalnomics Demands That Vendors Prove Superior Competitive Value

  • 1. Frugalnomics Demands That Vendors Prove Superior Competitive Value Customers forced to do-more-with-less 61% “Keeping-lights-on” operations 24% Already designated projects 15% Discretionary funds for new proposals Purchase process is more complex More buyers involved in each purchase decision Average purchase 2010 2011 Growth process takes longer 16% 2009 4.3 months 17% 2010 5.6 months 7% More Economic Scrutiny It’s easier for B2B buyers to “do-nothing” than change 90% 81% 85% of buyers require a expect vendors to doubt vendor claims ! business case for provide economic unless there is 3rd- new projects justi cation party proof Frugalnomics is in Full Effect To Fight Frugalnomics requires a new approach Yet most still sell using antiquated techniques: 10% Provocative 60% Traditional Value Selling Product Selling 30% Solution Selling Number One Sales Priority for 2011: Show Buyers the Money Improving sales’ ability to show bene ts / value to prospects is the number one tactic to drive B2B sales performance in 2011, according to a recent survey by CSO Insights. Improve Ability to Show Bene t 30% 34% 12% Optimize Sales Process 17% 15% 12% Improve Ability to Reach People 16% 14% 13% Increase Customer Loyalty 15% 11% 14% Optmize Forecast Accuracy 11% 14% 10% Optimize Competitive Difference 9% 13% 20% 1st Priority Bow Out of Poor 2% 2nd Priority Deals Sooner 9% 15% 3rd Priority 0% 10% 20% 30% 40% 50% 60% 70% Differentiate with Total Cost of Ownership (TCO) Engage Diagnose with Interactive White Papers with Assessment Tools ery scov Di Co Customer nsideration Buying Lifecycle on Differentiate Justify isi with TCO Tools with ROI Tools c De Differentiate by Proving Superior Competitive Value Use total cost of ownership comparisons to prove superior competitive value versus competitive options: 1. Elevate the discussion beyond purchase price 2. Tally and compare costs over the useful lifetime 3. Quantify and prove incremental value / savings 4. Contrast required investments and bene ts 5. Summarize the comparison in terms executives need to make the decision ROI Analysis Tools Components of a successful TCO Comparison Tool: the tool Solution / Total Cost of Competitive Ownership Selections & Quanti cation & Click to view Con gurations Comparison Red Hat Server Modernization TCO Tool Total Bene t of Competitive Ownership tool Comparison and Quanti cation & Summary e Comparison Click to view th Great Examples Windows Azure TCO Tool ol Click to view the to Shoretel TCO Tool powering B2B sales to economic buyers 2011 http://www.alinean.com About Alinean Alinean, the leading provider of dynamic sales and marketing tools, empowers B2B vendors to better sell to today's economic-focused buyer. Alinean-powered interactive white papers, assessments, ROI calculators and TCO comparison tools create more compelling value-based connections, workshops, presentations and proposals — delivering customized diagnos- tics, benchmarks, solution recommendations, bene ts, investments, ROI, payback and TCO advantage proof points. Leading B2B rms leveraging Alinean tools include: HP, IBM, Microsoft, EMC, Dell, Intel, IDC/IDG, AT&T, Siemens, Unisys, Thomson Reuters, NetApp, Citrix, Symantec, Novell, Cisco, Oracle, Sybase, and CA. Learn more: at the Fight Frugalnomics™ Resource Center http://www. ghtfrugalnomics.com, by visiting http://www.alinean.com, or calling 407.382.0005. Sources The CSO Insights Sales Management Optimization research report for 2011 can be found at: http://www.csoinsights.com/Publications/Shop/sales-management-optimization More research can be found at: http://www. ghtfrugalnomics.com More examples of successful TCO Tool programs can be found at: http://www.alinean.com/sales-enablement/TCO_tools.aspx