Selling Customer Relationship Outsourcing Services into the Technology Sector

SUMMARY

Introduction

Technology is a well-established and mature market for OSPs and is currentlythe third largest market globally. Since the bubble burst at the beginning ofthe new millennium, technology vendors have seen the markets shrink and theirincomes fall, resulting in both a threat and an opportunity for OSPs as thevendors take actions to cut costs and penetrate new markets.

Scope

• Covers hardware and software vendors and systems integrators
• Covers North America, EMEA and offshore markets

Report Highlights

Currently 17.5% of technology agent positions in North America areoutsourced. As Figure 2 illustrates, Datamonitor expects only a small amount ofgrowth in the North American domestic market over the next five years - by 2008this figure will have risen to 18.5%.

Currently 17.1% of technology agent positions in EMEA are outsourced. AsFigure 3 illustrates, Datamonitor expects a large amount of growth in the EMEAmarket over the next five years - by 2007 this figure will have risen to 25.7%.

TABLE OF CONTENTS

ABOUT DATAMONITOR

WHY ARE WE LOOKING AT THE TECHNOLOGY INDUSTRY?

• Recovery in sight?

WHAT ARE THE KEY PAIN POINTS IN THE TECHNOLOGY SECTOR?

• Cost control
• Managing technical support
• Managing partnerships, supply chain and distribution channels
• Product diversification
• Market consolidation
• Piracy
• Product and service mix

HOW CAN OUTSOURCERS SELL INTO THE TECHNOLOGY INDUSTRY?

• Offshore outsourcing
• Technical support
• Agent training and HR services
• Partner management
• A global approach for large vendors
• Proven multimedia capabilities
• Differentiate B2B and B2C offerings
• Integration with back-office systems
• Selling to internal technical support functions and helpdesks
• North America
• EMEA

APPENDIX

• Supplementary data
• SPP writing team
  • Author
  • Sales enquiries
• How to contact experts in your industry

List of Tables

• Table 1: Annual revenues and net incomes of 25 leading technology vendors,2000 – 2002
• Table 2: Technology agent positions in North America, 2003 & 2008
• Table 3: Technology agent positions in EMEA, 2003 & 2008

List of Figures

• Figure 1: Annual revenues and net incomes of 25 leading technology vendors,2000 – 2002
• Figure 2: Technology agent positions in North America, 2003 & 2008
• Figure 3: Technology agent positions in EMEA, 2002 & 2007