Professional Services and Solutions 2011 Brand Tracking Study

Professional Services and Solutions Abbreviated Summary 2011 Brand Tracking Study

Julie Schwartz Senior Vice President Research and Thought Leadership ITSMA ITSMA Brand Tracking Study 2011 Professional Services and Solutions Abbreviated Summary

Note: This Abbreviated Summary highlights some of the significant findings from Professional Services and Solutions, 2011 Brand Tracking Study. A more in-depth analysis can be found in the full report. Strong brands are getting stronger; the rest are stagnating. Yet, there remains plenty of opportunity for services and solutions providers in the middle of the pack to gain ground in terms of brand equity and market positioning. It just takes consistent and persistent marketing.

ITSMA’s Professional Services and Solutions, 2011 Brand Tracking Study helps services providers understand buyer attitudes and beliefs, their company’s brand equity, current and/or aspired market positions, and buyers’ perceptions of performance. ITSMA has been of conducting the Professional Services Brand Tracking study for more than a decade, and continues to see strong brands get stronger.

This sponsored research initiative represents the 11th iteration of ITSMA’s flagship brand awareness and tracking study focusing on professional services and solutions.

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 3 ITSMA Brand Tracking Study 2011 Professional Services and Solutions Unaided Awareness Brand awareness. Which companies come to mind when you think of consulting and technology services? IBM tops the list for the 11th year in a row % of Respondents (N=460) for unaided awareness, and HP has IBM Global Services/IBM 51.1 secured its position in the #2 spot after Hewlett-Packard/HP 28.3 Accenture 18.3 vaulting ahead of Accenture for the first Capgemini 10.7 time in the 2010 study. Oracle 10.0 Deloitte 9.3 Microsoft 8.5 Dell 7.6 PricewaterhouseCoopers/PwC 7.2 SAP 6.5 CSC/Computer Sciences Corporation 6.1 KPMG 5.2 TCS/Tata Consultancy Services 3.7 Atos/Atos Origin 3.5 Logica 3.3 EMC 2.8 Siemens 2.8 Ernst & Young 2.6 Cognizant Technology Solutions 2.4 Infosys 2.4 Viglen 2.2 McKinsey 2.0 Andersen 1.7 … Source: ITSMA, Professional Services and Solutions, 2011 Brand Tracking Study

Market positioning. It is difficult for services providers to break free of their heritage; it takes consistent and persistent marketing. . Deloitte, KPMG, PwC, Accenture, and Capgemini are strongly perceived consulting providers . Wipro, TCS, HCL, CSC, and Cognizant are pegged as outsourcers . HP, IBM, and Infosys are seen as technology services providers . Infosys stands alone as the only global India-based company not seen primarily as an outsourcer

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 5 ITSMA Brand Tracking Study 2011 Professional Services and Solutions Attribute Importance Brand attribute importance. Buyers continue to choose the companies When you and your company are selecting a consulting and technology services provider, who know them best and can get the job how important is it that this vendor: done with the least amount of risk and cost. Mean Rating (N~458)

Is a consistent and reliable provider of services 6.5 Understands your business needs and objectives 6.4 Is able to save you money while also adding value 6.3 Works collaboratively with you 6.3 Has experience and a proven track record 6.2 Is proactive in its approach to problem solving 6.0 Is flexible and adaptable 6.0 Is more of a trusted business partner than a vendor 5.8 Has business process expertise 5.8 Has deep knowledge of your industry or domain 5.6 Brings you new, relevant ideas to consider on a regular basis 5.4 Builds community among clients 4.5 Has a company culture that matches yours 4.4 Puts its employees first, customers second 3.5

Note: Mean rating based on a 7-point scale where 1=not at all important and 7=very important. Source: ITSMA, Professional Services and Solutions, 2011 Brand Tracking Study

Perceptions of services provider performance. Companies with the best performance on the brand attributes that matter most to buyers include Deloitte, PwC, Accenture, IBM, HP, and KPMG. Among the Indian companies, TCS is the top performer.

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Companies that perform best on brand attributes that matter most to buyers include Deloitte, PwC, Accenture, IBM, HP, and KPMG. #psbrand11

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 7 ITSMA Brand Tracking Study 2011 Professional Services and Solutions Views of Outsourcing

Outsourcing trends. Do you think that investing more in technology or business process outsourcing Outsourcing is an area of opportunity for better prepares organizations for economic services and solutions providers. More fluctuations? % of Respondents (N=460) than half the respondents think that investing more in technology or business Don't Know process outsourcing and consulting better 6% prepares organizations for economic fluctuations, and one-third plan to increase spending on outsourcing. No Yes 40% 54%

Source: ITSMA, Professional Services and Solutions, 2011 Brand Tracking Study

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 8 ITSMA Brand Tracking Study 2011 Professional Services and Solutions ITSMA’s Innovative Tools Innovative Tools

ITSMA relies on several innovative tools to ITSMA’s Brand Equity Index (BEI) help companies dig deeper into brand analysis Weight Company Company Company Company (%) Metric A B C D and increase the impact of their brand Unaided 30 36.8 10.0 16.8 5.6 research investments. awareness Aided 10 100.0 100.0 93.2 88.0 ITSMA’s Brand Equity Index awareness 20 Top of mind 22.0 4.4 10.8 2.0 enables companies to construct a single overall 20 Familiarity 3.8 3.1 2.7 2.9 score that integrates a variety of critical brand 20 Favorability 3.7 3.8 3.4 3.7 data points. The index allows companies to BEI Score 55.5 41.6 40.8 37.0

track changes in the brand strength over time Source: ITSMA, 2011 in addition to making competitive comparisons. Metrics incorporated in the Brand Equity Index include unaided awareness, aided awareness, preference, familiarity, and favorability.

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 9 ITSMA Brand Tracking Study 2011 Professional Services and Solutions ITSMA’s Innovative Tools

ITSMA’s Brand Investment ITSMA Brand Investment Matrix

Matrix Maintain Promote Promote maps the attributes clients or prospects consider A Is dependable Best-in-Class B Collaborates with Performers clients most important in a services provider against C Values openness/ G honesty in all their assessment of the way companies are Market A D Is committed to … Performance O HFE D C measurable business performing in those areas. Understanding LK IH B E Mitigates risk [with] … Market M formal quality Average priorities helps a company construct specific N J F Has expertise in your industry messages that resonate with the target audience G Has an established Monitor Build & Emphasize track record as well as focus marketing investments in the Build & Emphasize H Delivers results most efficient manner. quickly I Is easy to do business with J Saves clients money K Offers innovative and insightful ideas Gap Analysis: Competitive Gap Analysis Company A vs. Company D Is able to save you money compares a company’s strengths and weaknesses while also adding value relative to specific competitors. Is flexible and adaptable Builds community, on- or offline, among clients to facilitate best practice sharing Has a company culture that matches yours Is a consistent and reliable provider of services Source: ITSMA, 2011

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 10 ITSMA Brand Tracking Study 2011 Professional Services and Solutions

Study Countries Represented Brazil % of Respondents Australia 7% (N=460) 7% Methodology Germany 11% US 43% Between August and October 2011, ITSMA France completed telephone-based interviews in the US, 11% the UK, France, Germany, Brazil, and Australia with 460 IT and business executives who either UK provide input into or authorize the purchase of IT 21% professional services and solutions. Respondent The interviews were designed to assess the brand Business Perspective 41% awareness, market positioning, and brand % of Respondents attribute performance of the major industry (N=460) IT services providers and explore key market drivers. 59% In addition, ITSMA conducted 25 qualitative interviews with buyers. For the purposes of this study, ITSMA defines Role in Purchasing Authorize spending professional services as: Professional Have Services (and have input) input Technology and/or related business services % of Respondents 44% 56% (such as consulting, systems integration or (N=460) implementation, or outsourcing) valued at $100,000 or more. Source: ITSMA, Professional Services and Solutions, 2011 Brand Tracking Study

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 11 ITSMA Brand Tracking Study 2011 Professional Services and Solutions

Study respondents all held director, vice president, or C-level positions and Respondent Titles % of Respondents represented organizations in seven major (N=460) industries with revenue or operating 45 budgets ranging from $100 million to over $20 billion. 28

12 15 Organization Size Annual Revenue % of Respondents Director VP/ General CXO, such as (N=460) Assistant VP/ Manager/ CIO, CEO or Senior VP President COO 36 38% with $1B or more in annual revenue Industry Sector 11 Retail % of Respondents (N=460) 12 Energy/Utilities 18 15 15 12 Healthcare 9 7 4 15 Government/Public Sector 14 $100– $300– $500– $1– $5– $10– >$20B Communications 299M 499M 999M 4.9B 9.9B 20B 20 USD Manufacturing

Source: ITSMA, Professional Services and Solutions, 2011 Brand Tracking Study 15 Financial Services

© 2011 ITSMA. All rights reserved. Reproduction or forwarding of this document to others is prohibited. www.itsma.com | BPS011AS | 12 ITSMA Brand Tracking Study 2011 Professional Services and Solutions Table of Contents for Professional Services and Solutions, 2011 Brand Tracking Study Slide Executive Summary 4 Study Overview 13 Study Methodology 13 Respondent Demographics 15 Brand Equity 20 Top-of-Mind Provider 21 Unaided Awareness 23 Aided Awareness 26 Familiarity 27 Favorability 29 Likelihood to Recommend 30 Brand Equity Index 31 Market Positioning 34 Leaders and Contenders 35 Market Positioning 36 Brand Attribute Performance 39 Brand Attribute Importance 40 The Best Firms by Attribute 45 Brand Attribute Performance 46 Outsourcing Trends 50 Technology Consulting and Services Attitudes 51 Outsourcing and the Economy 52 For More Information Consulting and the Economy 53 Julie Schwartz Buyer Behavior Trends: More Results from the Qualitative Interviews 54 Senior Vice President Crosstabs Research and Thought Leadership By Country 64 ITSMA By Perspective 93 Email: [email protected] By Industry 120 Phone: +1-781-862-8500, Ext. 112 By Size 150 By Region 177