Consumption Economics: The New Rules of Tech

by J. B. Wood, Todd Hewlin, Thomas Lah

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.

Product Details

ISBN-13:	9780984213054
Publisher:	Point B Inc
Publication date:	11/01/2011
Sold by:	Barnes & Noble
Format:	eBook
Pages:	240
File size:	4 MB

About 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, New York Times, Wall Street Journal and other leading publications.Through TSIA, Wood works with the world's largest tech companies on strategies to extend their innovation platform beyond the lab and into the customer experience. 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 renowned for its work helping companies cross the chasm to breakout growth. Previously a partner at McKinsey and a senior executive at Symbol Technologies, Hewlin is regularly found in the boardroom of public and private technology leaders advising them on growth strategy and business transformation. He is an innovative thinker, compelling speaker, and influential author, with articles published in the Harvard Business Review and McKinsey Quarterly.Thomas Lah is executive director of the Technology Services Industry Association (TSIA). Since 1996, Lah has helped a broad range of companies establish or improve their professional services organizations and is knownworldwide for his incisive analysis, strategic thinking, and creative solutions. He is a sought-after industry speaker and has authored several books, including Building Professional Services: The Sirens' Song (2002), Mastering Professional Services (2005), and Bridging the Services Chasm (2009).

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