There’s a song by the Black-Eyed Peas, Let’s Get it Started (one of my personal favorites), whose title embodies the essence of the message for the upcoming Technology Services World conference, commencing October 24, in Las Vegas. This conference will announce the release of Consumption Economics: The New Rules of Tech, a seminal book written by TSIA’s leadership team.
In this publication, the impact of moving to the cloud for customer, supplier and everyone in between is discussed. The implications are far-reaching and technology services are not exempt from the inevitable changes that the cloud brings to the conventional way of doing business.
J.B. Wood and Thomas Lah, CEO and Executive Director of TSIA, respectively, will be delivering keynote presentations on Monday, 10/24, at the Mirage Convention Center, highlighting the shifts that are occurring, the impact on technology services, and what service organizations need to be thinking about and doing now, to successfully make the transition to the world of consumption economics.
Some of the key themes in the book are:
- Risk moves from the customer to the supplier
- Revenue will be based on micro-transactions (high volume, low margin)
- Driving consumption/usage is the enabler of profitable growth (no usage – no money)
- Power shifts from IT to the end-user
- Analytics enable; 1) understanding customers’ usage & consumption patterns, 2) marketing at an individual level
- The Consumption Roadmap outlines customers’ preferred paths for using the product and product design mimics the preferred path
- Services drive adoption and usage, and become the focal point for the “up-sell” (think Amazon.com – “Customers who purchase this book also purchased that book.”)
The Research Directors for each discipline, Education Services, Field Services, Professional Services, Support Services and Services Revenue Generation, have written a white paper, for their respective discipline, describing the foreseeable impacts of consumption economics. The article I’ve written for Education Services, entitled, Understanding the Impact of Consumption Economics on Education Services, identifies four key impacts and outlines five steps for getting started now. I highly recommend reading the article to get a better understanding of what consumption economics means to education services. Articles can be obtained at the TSIA booth, located in the Tech Expo area of the Mirage Convention Center.
Things are changing. One only needs to look around to see the cloud-based wars between Oracle and salesforce.com, Microsoft and Google, and any other number of high tech companies, to realize that a shift is underway. So, like the song says, “Let’s Get it Started.” Trust me, you can’t afford to wait.
Safe travels and see you at the conference.