Consumption Economics: The New Rules of Tech

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Overview

If you’re a tech company, the most dramatic effect of megatrends like cloud computing, managed services, and the rise of consumer technology won’t be felt in your company’s product line. The true disruption will be to your business model. Future customers won’t want to pay you high prices out of big “CapEx” budgets anymore. They will expect lower “cloud” prices paid from “OpEx” budgets only when and if they successfully consume the business value of your products.How your company reacts to this risk shift could ...
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Consumption Economics: The New Rules of Tech

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Overview

If you’re a tech company, the most dramatic effect of megatrends like cloud computing, managed services, and the rise of consumer technology won’t be felt in your company’s product line. The true disruption will be to your business model. Future customers won’t want to pay you high prices out of big “CapEx” budgets anymore. They will expect lower “cloud” prices paid from “OpEx” budgets only when and if they successfully consume the business value of your products.How your company reacts to this risk shift could either accelerate the commoditization of your products or lead you to a new stage of profitable growth. For the first time, the tools are on the table to truly eliminate barriers of cost and complexity created by the last generation of tech. Consumption Economics is the owner’s manual for tech company executives who want to drive their company successfully into the next one.
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Product Details

  • ISBN-13: 9780984213030
  • Publisher: Point B Inc
  • Publication date: 11/1/2011
  • Pages: 232
  • Sales rank: 188,998
  • Product dimensions: 6.00 (w) x 9.10 (h) x 0.90 (d)

Meet the Author

J.B. Wood is president and CEO of the Technology Services Industry Association (TSIA). He is a frequent industry speaker and author of the popular book Complexity Avalanche (2009), and has appeared in Fortune, the New York Times, the Wall Street Journal, and other leading publications. He was formerly the CEO of Prognostics and executive vice president of InsightExpress. Todd Hewlin is managing director of TCG Advisors, a Silicon Valley consulting firm. Previously a partner at McKinsey and a senior executive at Symbol Technologies, he is regularly found in the boardroom of public and private technology leaders advising them on growth strategy and business transformation. His articles have been published in the Harvard Business Review and McKinsey Quarterly. Thomas Lah is executive director of the Technology Services Industry Association (TSIA). Since 1996, he has helped a broad range of companies establish or improve their professional services organizations and is known worldwide for his incisive analysis, strategic thinking, and creative solutions.
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Table of Contents

Foreword v

Chapter 1 How Good We Had It: The Money-Making Machine Known as High-Tech 1

Chapter 2 Shifting Clouds and Changing Rules 16

Chapter 3 Looking Over the Margin Wall 50

Chapter 4 Learning to Love Micro-Transactions 66

Chapter 5 The Data Piling Up in the Corner 85

Chapter 6 Consumption Development:The Art and Science of Intelligent Listening 92

Chapter 7 Consumption Marketing: Micro-Marketing and Micro-Buzz 111

Chapter 8 Consumption Sales: After a Great Run the Classic Model Gets an Overhaul 128

Chapter 9 Consumption Services: Will They Someday Own "The Number"? 148

Chapter 10 ustomer Demand vs. Capital Markets How Fast Should You Transform? 197

Chapter 11 The "S" Stands for Services 218

Endnotes 220

Index 222

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Sort by: Showing all of 2 Customer Reviews
  • Posted July 24, 2012

    more from this reviewer

    Visionary, practical advice on how “Consumption Economics&

    Visionary, practical advice on how “Consumption Economics” will change enterprise technology

    The “Consumption Gap” is the difference between what enterprise technology companies deliver and what their corporate customers actually use. Just as you’ll likely never understand – much less use – all the functions and features of your smartphone, computer or software, tech firms frustrate their corporate clients with unnecessary bells and whistles. But change is afoot, and tech companies must prepare for a radical industry reworking. Tech consultants J. B. Wood, Todd Hewlin and Thomas Lah detail the transformations wrought by recession, the cloud and consumer electronics, and offer tech suppliers practical advice on adapting to those changes. getAbstract applauds this treatise on how technology itself affects technology companies and recommends its long-term vision to all business managers.

    1 out of 1 people found this review helpful.

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    Posted August 5, 2013

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