Category: Commentary

Common Mistakes: the Magic Quadrant & Tech Vendors [part 2]

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For a variety of reasons, communications and IT vendor AR and executives make a number of mistakes concerning the Gartner Magic Quadrant (MQ) and how their companies should react to it. Decision makers at IT vendors need to take a step back and carefully consider the appropriate level of effort to put into “moving the dot.”

The first mistake is proceeding without understanding how your prospects and customers/clients value and use the MQ. You should be surveying your customer/clients and prospects about which research firms and reports they use.

The second mistake is assuming that you know what the underlying market-specific criteria and assumptions are for the MQ without talking to the appropriate analysts. Repositioning your “dot” on a Magic Quadrant doesn’t happen just because you have a great product or service. Often the most […]

Don’t Obsess, Don’t Ignore: the Magic Quadrant & Tech Vendors [part 1]

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Even with the blogosphere and other forms of social media, Gartner’s Magic Quadrant remains the IT market’s most highly visible piece of commentary. Because the Magic Quadrant impacts billions of dollars of corporate IT purchases, some IT vendor executives put too much emphasis on “moving the dot” which drains resources from the overall AR plan. Other vendors decide to ignore Magic Quadrants, missing an opportunity to leverage an effective marketing channel. Neither approach is 100% appropriate. In this post, we provide background on the Magic Quadrant and suggest that vendors take a middle approach between obsession and indifference.*

It is not uncommon for a SageCircle strategist to hear the following comment from an analyst relations (AR) manager: “Our execs – or even board of directors – have made improving our position on the Magic Quadrant THE (not ‘a’) goal for AR.” While ignoring the Magic Quadrant (MQ) can be perilous to a vendor’s top line, too much emphasis on a MQ can drain scarce AR resources from influencing all the analysts covering your particular market. The downside is that AR won’t be able to develop counterbalancing relationships with analysts in other firms, leaving the vendor dangerously reliant on Gartner and the MQ for positive analyst coverage.

We think it’s time that vendors take […]

What is the definition of “analyst”?

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Over on Twitter, there is a conversation starting about the definition of “analyst.” This post is to provide a place to gather ideas and see if we can come to consensus. Please leave comments with your thoughts.

There is almost no barrier to entry for someone to call themselves an analyst. All one needs is an opinion, laptop, cell phone, blog/website and (maybe) a business card. There are no state certification boards, no professional associations and no university degrees.

For analyst relations (AR) and public relations (PR) professionals this is not a trivial issue as there are more and more demands on their […]

Social media is a multi-facet opportunity for major industry analyst firms

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icon-social-media-blue.jpgMajor analyst firms like AMR Research, Gartner, IDC and Ovum are rightly criticized for being slow out the gate when it comes to addressing and using social media. The one major firm that has done the most to leverage the potential of social media is Forrester, but even Forrester has not been as aggressive as it could be. Here are some ways that major analysts firms should be involved with social media tools:

Research it

Social media should be a topic of research.  We think this is quite obvious, but with the exception of Forrester none of the major firms have done any in-depth, systematic research on the topic. No doubt some of the firms will say that […]

Why it is a really bad idea to cut AR, even in a recession

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icon-budget-cuts-105w.jpgIt is common for tech vendors to cut marketing spend in a recession. Because Industry Analyst Relations (AR) is typically in the marketing department, AR is often asked to shoulder part of the cost cutting burden by cutting spending, freezing hiring, or even cutting head count. As a consequence, AR often cuts back on the total number of interactions it conducts with key analysts. This can be short sighted for a variety of reasons:

  • Analysts interact with many communities on a daily basis – As we pointed out in involving the analysts early and often, analysts do a significant number of touches each and every day with IT buyers, reporters, financial analysts and others. Providing analysts with a continual stream of information about your company, customer stories, and so on ensures that the analysts will properly position you with IT buyers, press, investors, et cetera.
  • Top-of-mind presence is ephemeral – Because the analysts have so many interactions and gather so many data points, it is easy for a vendor to get pushed lower in the analysts’ consciousness unless […]

AR managers do not like surprises, which mean they are a little annoyed at blogging analysts

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icon-social-media-blue.jpgObviously SageCircle is a big proponent of social media and the potential for positive impact on the analyst ecosystem. However, that view is not shared by all AR professionals. I recently had an interesting conversation with an AR manager who was more than a little irritated with major firm analysts who blog. Are these normal growing pains in the evolution of the AR-analyst relationship or is this a nascent backlash?

A big part of this person’s annoyance was centered on the lack of discipline and rigor in the analysts’ […]

Speed versus silence on the Microsoft-Yahoo announcement and the implications for Analyst Relations and the Press

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icon-social-media-blue.jpgIt has been interesting seeing the different responses to the Microsoft-Yahoo announcement. For example, as of 10:15 US Pacific Time:

  • Redmonk’s James Governor on his Monkchips has an interesting post, plus James has been Twittering
  • Forrester has commentary from three analysts (Rob, Charlene and Shar) on three blogs, each with a unique point-of-view
  • Rob Enderle has weighed in on the Technology Pundits blog
  • AMR, Gartner and IDC, nothing so far on their websites or blogs

No doubt, IDC and Gartner analysts have been talking to the press and clients, but frankly so […]

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

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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 […]