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September 2012 IBM Software Business Partner Guide © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. IBM Software Guide – Table of Contents How to Make Money Selling IBM Software IBM Strategy and the Software Opportunity Getting Started Software Value Propositions Business Analytics Collaboration Solutions (Lotus) Industry Solutions Information Management Mobile Foundation PureSystems Rational Security Tivoli WebSphere Click here for Table of Contents 2 © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. Join the IBM Software Team TODAY and Increase Your Profit Potential . IBM Software Business Partners have higher overall satisfaction . Fee-free: no program enrollment fees . Incentives for new licenses and renewals 36% more gross profit per deal . 15:1 increased profitability . 9:1 increased revenue due due to IBM Software Value Plus to IBM Software Value Plus Authorization Authorization 36% . Up to $50K “You Pass, We . Pay” course and test Competitors IBM Revenue from <$100K reimbursement for Premier Gross Profit leads passed averages $1M Business Partners from Middleware Deals . Rich IBM Software incentives reward Business Partners for value-add, influence and referral Click here for Table of Contents Source: 2009 IBM Software Business Partner Profitability Study, 2010 IBM Business 3 Partner Diagnostics Survey, 2011 IBM SVP Program Assessment, competitor websites © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. Why Become an IBM Business Partner Why Team with IBM Why Invest and Grow with IBM Highly rated compensation package for Exploit the market pull of the industry’s largest and well maximum cash flow and return on investment (with recognized IT solution vendor for more business opportunity, additional rewards for mid-market focus and value-add) with a comprehensive, technically advanced portfolio of infrastructure software Comprehensive technical resources, education Improve customer responsiveness with comprehensive, and enablement to build expertise and minimize your cost-effective accessible technical support with access to cost via PartnerWorld, the no-cost Virtual Innovation 24 hour multi-format technical resources and enjoy Center, or advanced support via Techline. rewards through the IBM’s certification program Leverage IBM Software Grow your IBM Software business with revenue multipliers marketing resources quickly and easily with cost-effective, judged highest in the industry by BPs. Enjoy significant up-sell/ personalized campaigns and help from our expert cross-sell and annuity revenue opportunity, and leading agencies and Marketing Centers. financing options for competitive advantage. Become part of “Team IBM” to optimize effectiveness and exploit economies of scale with the aid of IBM resources to help optimize your participation in IBM offerings, share resources, skills, support, opportunities, and jointly develop joint go-to-market plans and tactics using the IBM award-winning PartnerWorld portal. IDC Partner Profitability 2011 Study Business Partners that sell IBM Software report: . The highest overall retained margins for the resell of their primary brands . The components of IBM's programs are greater accelerators to their business as compared to the total population. Click here for Table of Contents 4 Source: IDC Multi-Client Study, Partner Profitability 2011: Changing Business Models and Requirements in the Evolving IT Channel Ecosystem © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. IBM Business Partners are vital to IBM’s business The IBM Business Partner Charter – guiding principles to work together .IBM Business Partners are vital to IBM’s business. .Our relationship is a collaboration of equals. .We strive to provide the industry’s best Business Partner experience in all respects. .We ground our relationships in the core values of IBMers . IBM Business Partners play a critical role in building a smarter planet. - Provide midsize companies with groundbreaking solutions that improve efficiency and accelerate ROI - Help smaller companies level the playing field, increasingly important in a world where ideas trump resources. Click here for Table of Contents 5 © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. PartnerWorld Incentives for Software Business Partners IBM Software Business Partners have a wide range of profit opportunities including cross sell, influence, resell and bundled solution resell Cross Sell Resell and Influence Solutions Bundled Solutions Solution Accelerator Software Value Plus Industry and Capability Application Specific Incentive (SVP) Authorization License (ASL) (SAI) . Global program for HW & . Global program for SW . Recognition for expertise . Resell model for lightly SW resellers resellers / influencers: in providing client embedded and bundled . Earn a Base Reward for . Consistent requirements solutions, based on key solution offerings selling IBM hardware and and benefits in all IBM Software products . Business Partner owns software together countries for Product . Industry: covers key client relationship, . Earn a Solution Bonus Group authorizations Industries (Finance, including the license Reward for selling an . Incentives for resale and Banking, Manufacturing…) agreement IBM-defined solution influence for all client . Capability: Security, . Single point of contact – . Claim is made through opportunities Cloud, Social Business, sales and support IBM SW VADs . Software Value Incentive Smarter Commerce, . Business Partner earns Business Analytics & other . Minimum revenue level (SVI): Incentives for via discount on product high growth solution areas (hw + sw) for a claim is Business Partner sales for both initial sales $20K USD opportunity identification . IBM Business Partner Mark and annual renewals and progression . Earnings opportunities . Earnings opportunity from from 15% to 30% . Earnings opportunities 20% to 30% from 5% to 50%+ Click here for Table of Contents 6 Source: IBM Software SVP, SVI, Value Advantage Plus (VAP), SAI and ASL Program Operations Guides on IBM PartnerWorld © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. How do I Make Money Selling IBM Software? IBM offers multiple programs to help you increase your Margin Business Partners can earn incentives ranging from 5% - 60% .SVI (Software Value Incentive) Rebates paid after the sale has closed .VAP (Value Advantage Plus) Business Partners combine services with the solution sale and get an instant discount from your Value Added Distributor (VAD) .General Business Instant Rebate Increase profitability with instant incentives paid by your VAD Facts: SVI/VAP participating Business Partners are 50% more likely to report high gross profit margins (>20%) on middleware deals than non-participants Click here for Table of Contents 7 Source: 2009 IBM Software Business Partner Profitability Study © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. Supporting Business Partners with the Right Tools Business Partner Grow Your Business Profitability Tool Locator Tool Tool Web Content Ready to Execute Co-Marketing Syndication Campaigns Financing a Smarter Planet Midmarket Asset Gallery Getting Started with IBM Global Financing and Assessment Tool Social Media Click here for Table of Contents 8 © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. Technical Support to help you get to Market Fast! Early Access IBM IBM Solution PartnerWorld Software IBM SWG developerWorks PartnerWorld IBM Industry Support Solution Innovation Assurance Selling Technical and Product Resources for Value Package Frameworks Assistant Centers benefits Resources Training Delivery Guide Developers Assessment PartnerWorld IBM IBM Software PartnerWorld Business Technical PartnerWorld Acquisitions Software Value Partner Support Communities Plus Innovation Resources Centers Click here for Table of Contents 9 © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. Help Build Smarter Profits IBM Supports You and Your Business End-To-End “IBM’s Business Partner program is among the top few in the industry, if Industry Leading Exceptional Worldclassnot the top Products, Solutions Profit Model for Enablementprogram.” and Go- and Services Business Partners to-MarketDarren Bibby, Support IDC Leading Technology New Revenue Streams Demand Generation Training & Skill Building Market Awareness Technical Support $2B IBM Annual Channel Investment Click here for Table of Contents 10 Source: IBM Internal Reports © 2012 IBM Corporation This document is for IBM and IBM Business Partner use only. It is not intended for client distribution or use with clients. Why IBM? 2015 Roadmap for Growth Global IT industry leader serving clients and Business Partners for over 100 years Growth Markets – $234 billion opportunity
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