This document discusses marketing budget optimization and priorities for channel marketing. It provides three methods for changing paradigms to optimize marketing budgets: 1. Optimize the scope of business by reducing the number of partners, products, and channels to focus resources. 2. Unionize by sharing costs for non-strategic tasks like product catalogs and channel data collection/analytics with competitors. 3. Perform database cleansing to reduce marketing volume by removing outdated, duplicate, or erroneous contact information from databases.

1. Marketing BudgetWhere to cut / where to invest…. Facts and Leads…. November 2009 Jack Mandard - compuBase

2. Who are we ? Created in 1989 European HQ Paris, France 25 persons from 10 different countries 10 outsourced call centres EMEA coverage:25 countries 12 languages used 120.000 profiles Services oriented

3. compuBaseOne universe: ICT industry / One expertise: Channel Partners We cover the 4 Worlds of ICT industry… And all partner population

5. ChannelData

6. Market Capacity

7. Go to Market

8. Mapping & Benchamarking

9. Value Proposition

10. Technical skill index vertical speciality

11. OnlineAccess

12. Knowledge of offer Services, product

13. Contacts Profiling

14. BusinessIntelligence Services

15. Company Profiling

17. Route to success CHANNEL BENCHMARKING CHANNEL RANKING SALES OUT MANAGEMENT CHANNEL SCORING CHANNEL MIRORRING CHANNEL AUDIT SHARE OF WALLET CLIENT STRATEGY INPUT MARKET PRIORITIES INPUT RECRUITMENT RE-ALLOCATION ANIMATION/ EXECUTION © compuBase 2009 In cooperation with other consulting companies compuBase services

18. Marketing priorities…. TOP priorities Demand generation (83%) Client Loyalty programs (80%) Company branding (80%) Launching new offers (64%) DOWN priorities More coop marketing (46%) New Innovative Marketing process (45%) Outsourcing Marketing (3%) Source IDC

19. 2009 Marketing Budget…. - 15 % But what impact for the Channel Marketing Budget ? Source IDC

21. Better usage of provided leads.

22. More skilled partners.

23. More dedicated partners.

25. Direct Contact

26. Ok for leads, but only the qualified ones!

27. No time for training

28. No time for certification? Be my sales force Easier, Faster sales & Margin. Source Aressy/ IT partners

30. N°2 Analysis the market capacity: understanding the territory gap, vertical gap, channel gap.

31. N°3 Setting up systems to monitor and understand: measuring the ROI.

36. Sales out management?

37. Lead distribution?

38. Lead management monitoring?

40. Is this the end...? Next time we will discuss about how to optimize budget.... Or...

41. BUDGET OPTIMIZATION

42. Can you tell the difference today between these two roads? Speed? Time? Easiness? Cleverness? Efficiency? Todayit’sonly MONEY

43. What does not work…. Spend more money to get more revenue…. Spend more money to get more margin…. What works….. Spend less money to get more or less the same and dream for some more! OPEX OPEXOPEX religion…

44. Which are the methods? The magic ones The realistic ones

45. How to spend less…. The magic Method I 30 30 30 100

46. How to spend less…. The magic Method II 30 30 30 80

47. How to spend less…. The magic Method III – The Faraway outsourcing « A man with your abilities should go far..Which is good because we’re outsourcing your job to Thailand »

48. How to spend less…. The magic Method IV: Take out people keeping the same tasks

49. How to spend less…. For the Marketing most of these methods do not work… Why? Most of the time because Marketing people are always short of budget and have already optimize theirs…. Good news: we have clever people. Bad news: is if we cannot change the result, we have to change of paradigm…

50. What means “Changing the paradigm…”? 4 dots in a square… How to jointhese 4 dotswith a max of 2 continuous lines?

51. Remember DELL in the 90s No room in the channel for a new vendor No time to build a channel Too expensive to build a channel Change the paradigm Let’s remove the CHANNEL… Let’s go direct Prices go down fast … Let’s go faster being direct Change again the paradigm Let’s grow again, … Let’s go indirect

52. Remember ACER Top Distributors are blocked by HP Top Distributors are spoiled by MDF vendors Corporate Dealer snob new brands Change the paradigm Remove the TOP Distributors from the scope, let’s invest in local distributors Let’sworkwith local VARsaddressing SMB and forget the coorporate dealers.

54. Unionize

57. By industry

58. By GeoChannel Size 5000 1000 1st Channel Optimization 500 2nd Channel Optimization A new channel Acquisition – Channel Merge 250 Many Distributors A first Distributor 50 Many Key Partners 5 Some Key partners Time

60. Better coverage

61. More money per partner

62. Optimize your channel capacity, share of wallet…

63. Reallocate resources

64. Managed partners

65. Tele managed partners

66. Distributor Managed partners

68. Unionize = cloud Share with your competitors the costs of non strategic tasks

69. What to share?

70. What to share Share Private

72. Avoid matching and duplicates removalcost.

73. Change target effortlessly.

74. Add new information instantly.

75. Manage usage.

76. Pay on usage possibilities.

77. Manage nixies easily.

80. 2,400 found in the channel database

81. 600 errors from client’s database (deletion, duplicates, mergers, etc.)

82. 500 profiling and integration in the compuBase process

83. Online based system, permanent update

85. Increase Sales department’s efficiency and confidence into the internal system, less wrong numbers, out of scope companies…

86. Increase good telephone numbers (+20%)

87. Gain new emails (up to +50%)

88. Gain new contacts (up to 40%)

90. At the end… whatis the difference?

91. Be enthusiastic & Keep the spirit