LAER Explained: A New Customer Engagement Model for a New Business Era

Posted by Thomas Lah on 10/17/17 9:14 AM

The act of selling technology has undergone a radical change. Purchases are no longer the large up-front investments they once were, but are instead made up of lower cost subscriptions and value-add services. As a result, the features and function of the technology are now less important when compared to the business outcome achieved by using the technology. In this new era of technology-as-a-service (XaaS), the ability to successfully deliver customer outcomes, keep customers on your platform, and get them to spend more money over time will be what determines your company’s profitability and success. 

In order to thrive in this changing marketplace, TSIA believes that today’s technology providers need to shift their focus from selling more assets to growing customers successfully. To aid in this transition, TSIA has developed the supplier view of a customer engagement model called LAER (pronounced “layer”). While we have discussed this in blogs, TSW conferences, and the new Technology-as-a-Service Playbook, here are the basics of LAER explained and its impact to the customer-supplier relationship.

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Topics: XaaS (x-as-a-service), customer-supplier relationship, customer adoption, customer outcomes, expand selling, LAER, customer engagement, Technology-as-a-Service Playbook

3 Ways to Lead Your Company to Success in the Cloud

Posted by J.B. Wood on 10/4/17 8:30 AM

The Cloud. It's where cool tech ideas get funded by eager venture capitalists and mega fortunes are made when the next big thing goes viral. For all of the excitement and hype surrounding the Cloud, there are some sobering realities that tend to get swept under the rug: namely the fact that, on the whole, the cloud business model is not a profitable one. Surprised?

Yes, cloud companies (such as software-as-a-service and technology-as-a-service, just to name a few) are all the rage, and rightly so, for they are the future of tech. They regularly enjoy double- or triple-digit growth rates and garner enviable media coverage and razzle-dazzle headlines. But the mostly unspoken truth is that they are underpinned by unproven financial fundamentals that, frankly, wouldn't be allowed to persist in any other industry.

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Topics: XaaS (x-as-a-service), big data, cloud, subscription-based offers, SaaS (software-as-a-service), Technology-as-a-Service Playbook, digital transformation

Another CEO Who Delivers Record Profits is…Gone

Posted by J.B. Wood on 6/1/17 5:00 AM

I am on a plane half way around the world going to visit (yet another) tech company who is in internal disarray over the subject of who they want to be. Will they stay a product company who sells features or become an as-a-service, recurring revenue company who delivers business outcomes? I finally finish my email somewhere over the Emperor Seamounts and grab the Wall Street Journal. The first article that catches my eye is about a very successful CEO who has been sacked at an iconic company.

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Topics: Technology-as-a-Service Playbook

How to Be Profitable in the Cloud

Posted by Thomas Lah on 2/14/17 12:00 AM

While it's clear that revenues from cloud-computing offers are rapidly growing, exactly how profitable these offers will be for technology companies remains to be seen. As part of Mediaplanet's Cloud Solutions campaign that unites like-minded industry leaders to highlight the technologies, people, and processes that are helping to empower, as well as seamlessly connect organizations across the globe, I contributed an article on behalf of TSIA exploring what it takes to be profitable in the Cloud. Here's an excerpt of the article I wrote which was published in both the San Francisco Chronicle and online.

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Topics: XaaS (x-as-a-service), cloud, Technology-as-a-Service Playbook, cloud computing

TSW Keynote Preview: 7 Steps to Unlock Profitable Revenue Growth

Posted by Technology Services Industry Association on 10/7/16 5:00 AM

Over 1,600 technology services professionals will be gathering at the TSW Las Vegas 2016 conference to learn about how to align their business for growth and outcomes in the cloud economy. For a sneak peek at one of the many impactful sessions we have planned for this year's event, view this SlideShare of a keynote presentation by TSIA's Executive Director, Thomas Lah, “Report from the Road: 7 Steps to Unlock Profitable Revenue Growth."

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Topics: XaaS (x-as-a-service), cloud, slideshare, Technology Services World Conference, Technology-as-a-Service Playbook

[TSIA Spotlight] How to Actually Make Money in the Cloud

Posted by Thomas Lah and J.B. Wood on 8/24/16 6:30 AM

An article we wrote called, “How to Actually Make Money in the Cloud” was featured on Inc.com, the web presence of Inc. Magazine, which has been the premier print publication for entrepreneurs and business owners for more than 30 years. In this article, we provide a brief background into the emergence of cloud-based business models, explaining that even though they attract the financial interest of visionary entrepreneurs, many are struggling to be profitable. Using examples from our newest book, Technology-as-a-Service Playbook: How to Grow a Profitable Subscription Business,” we discuss the emerging financial patterns that can help business leaders think more completely about their journey to creating a profitable SaaS business. Here's an excerpt from the full article, which you can read here on Inc.com.

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Topics: XaaS (x-as-a-service), cloud, SaaS (software-as-a-service), Technology-as-a-Service Playbook

TSIA Service Trends Webinar Roundup: Summer Edition

Posted by Technology Services Industry Association on 8/10/16 6:30 AM

At TSIA, we are dedicated to helping technology services organizations of all sizes stay on top of the latest best practices for growing and advancing their business. Our 30-minute  TSIA Pulse webinars  are a great way to hear directly from our research team about how emerging industry trends are affecting their respective service discipline, and what you can do to stay current. Here's a recap of this summer's TSIA Pulse webinars, in case you missed them! 
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Topics: cloud, webinars, TSIA Research, Technology-as-a-Service Playbook

[Video] See What Tech Leaders Are Saying About Technology-as-a-Service Playbook

Posted by Technology Services Industry Association on 6/23/16 6:30 AM

Since its debut at the spring Technology Services World conference, technology leaders across the industry have been expressing their praise for Technology-as-a-Service Playbook: How to Grow a Profitable Subscription Business. In this new book, TSIA's Thomas Lah and J.B. Wood take readers on a step-by-step journey to understanding the dramatic impact the cloud is having on the tech industry, successfully implementing recurring revenue “as-a-service” subscription-based offers and business models, and how to be profitable in the future of XaaS. Check out this video to get a sneak peek at what you can learn about succeeding in the cloud market and hear what your peers have to say about this groundbreaking new book.

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Topics: XaaS (x-as-a-service), video, Technology-as-a-Service Playbook

TSIA Service Trends Webinar Roundup: Spring Edition

Posted by Technology Services Industry Association on 6/1/16 6:30 AM

At TSIA, we are dedicated to helping technology services organizations of all sizes stay on top of the latest best practices for growing and advancing their business. Our 30-minute  TSIA Pulse webinars  are a great way to hear directly from our research team about how emerging industry trends are affecting their respective service discipline, and what you can do to stay current. Here’s a recap of this spring's TSIA Pulse webinars, in case you missed them! 
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Topics: webinars, TSIA Research, Technology-as-a-Service Playbook

[SlideShare] Digging Economic Moats for Your XaaS Business

Posted by J.B. Wood on 5/18/16 6:30 AM

Last week, I attended Gainsight's Pulse 2016 conference and had the honor of presenting as a keynote speaker, as well as facilitating panel discussions with industry leaders. In my main stage keynote, "Digging Economic Moats for Your XaaS Business," I shared a few concepts from TSIA's new book, Technology-as-a-Service Playbook: How to Grow a Profitable Subscription Business, specifically how SaaS and other subscription companies need to evolve their business and financial models in a way that facilitates actual (GaaP) profits for them by delivering great business outcomes for their customers. Take a look at this SlideShare of my Pulse presentation, where I outline the six economic moats that have made tech into such a profitable industry, as well as the critical role that customer success organizations can play in helping your organization maintain competitive advantage, keep customers on your platform, and most importantly, produce profits. You can also watch a video recording of my presentation online.

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Topics: customer success, XaaS (x-as-a-service), keynote, SaaS (software-as-a-service), slideshare, Technology-as-a-Service Playbook

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