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Software Value Management

Software Value Management

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Software Value Management

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  1. Software Value Management Fred Amoroso President and CEO Macrovision

  2. Dateline: 2008 SHOW 1st VIDEO “DOOM & GLOOM” SOFTWARE INDUSTRY ON THE BRINK? MAJOR PRODUCERS DECLARE MASSIVE LOSSES

  3. “Cut the Complexity”

  4. Market Dynamics Vendor Enterprise

  5. Market Dynamics Vendor Enterprise

  6. Market Dynamics Vendor Enterprise

  7. Market Dynamics Vendor Enterprise

  8. S o f t w a r e L i f e c y c l e M a n a g e m e n t Software Development Management Software Inventory Management Software Value Management Vendor Enterprise The Role of Software Value Management

  9. Vendor Enterprise The Role of Software Value Management Enterprise

  10. Enterprise Building Blocks of Software Value Management Software & Hardware Vendors

  11. Sept 2005 SoftSummit Pricing & Licensing Study…. Software & Hardware Vendors Enterprises

  12. ISV’s are not Listening to Their Customers SOFTWARE VENDOR vs. ENTERPRISE Satisfaction with Pricing & Licensing Strategy ISV Enterprise N=484

  13. To Get Off The WallStreet Tread Mill, ISV’s Are Adopting Subscription Pricing % Software Vendors Offering Subscriptions 43% of ISV’s “Want a more predictable revenue stream”

  14. …But Enterprises Still Prefer Perpetuals ENTERPRISE: Preferred Pricing Model

  15. …And They Prefer Concurrent Licensesto Those Locked to a Person or Server ENTERPRISE: Preferred Licensing Model

  16. …And that preference is growing ENTERPRISE: Preferred Licensing Model 2004 vs. 2005 % Change in Enterprises

  17. SVM Success Stories Software & Hardware Vendors Enterprises

  18. Customer Agility “ “Citrix customers enjoy an easy, streamlined process to monitor, maintain and track software licenses. Citrix eliminated costs associated with complex licensing agreements and offers their customers a wide range of flexible pricing models.” Harvey TenenSenior Product Manager Citrix “

  19. SVM Success Story Software & Hardware Vendors Enterprises

  20. Outstanding Out-of-the-Box Experience “ “ We wanted end users to have a user-friendly install process while providing enterprise IT departments with the advanced administrative features they require. ” John Senez Director of Localization Corel Software “

  21. SVM Success Story Software & Hardware Vendors Enterprises

  22. Hiding Complexity & Improving Productivity “ With our existing staff we migrated 100+ legacy applications to 600 machines in 72 hours…all without any interruption to our customers. ” Darrin Veit Technologist II Comcast Cable “

  23. Software Value Management means… • Cutting the Complexity • Flexible systems & processes that enable responsiveness to changing customer demands

  24. SVM Ends The Complexity Crisis Enterprises want…. • To buy only what they need • Software that is painless to deploy & maintain • Zero professional services (don’t mask your complexity behind people) • Software that “self-heals” • Software that just works… right out of the box

  25. SHOW 2nd VIDEO “GUSTO & GLORY” OCTOBER 10, 2008 SOFTWARE PROFITS TOP NASDAQ

  26. See SVM in Action • Please visit the product showcases, listed in your agenda • A complete copy of the Pricing & Licensing Report is available for download at: www.softsummit.com

  27. METHODOLOGY & SAMPLE Email Survey in September 2005 • 252 Software Vendors • Typical titles were CEO, CMO, VP Product Marketing, and VP Product Management • SIIA, 3rd party databases • 232 Enterprises • Typical titles were CTO, VP Development, and IT Director • InformationWeek, 3rd party databases

  28. 1 2 3 1 2 3 Manage Complexity—Maximize Profits • Focus on your core business • leverage third party experts for non-core activities • Plan with change in mind • Build flexibility into product & service architectures • Prioritize customer needs • Ensure you’re investing in the right places to be successful

  29. 1 2 3 1 2 3 Manage Complexity—Minimize Costs • Optimize decision-making • Look beyond data to find information • Anticipate exceptions • Avoid rigid processes • Align with key suppliers • Make sure they provide what you need