Embed Size (px)
Citation preview
The Science of SellingStreaming Media
2 March 2002
1
TABLE OF CONTENTS
Introduction/ A Brief Description of Offering…………..…………………………3Product Overview
The Opportunity/ Why Now……………………………………..……….………...4
Who Is A successful Customer?………………………………………………..….5
Impact Analysis……………………………………………………………………...6
Competitive Landscape/The Competition………..……………….………………7The Streaming Marketplace………………………………………….……7Competition Chart…………………………………………….………….…8Competition List……………………………………………….…………....9
Ideal Customer Profile……………………………………………………………..13
Objections/Overcoming Objections………………………………………………14
Steps Af A Sale/Sales Strategy…………………………………………………...15OverviewA Different Approach……………………………………………………...15Feature/Value Sale………………………………………………………..15The Silver Bullets………………………………………………………….16
Sales Cycle…………………………………………………………………..……..17Immediate Sale Potential…………………………………………………17Long Term Sale Potential…………………………………………………17
Two Minute Drill/The First Step………………………………………………...…18Questions
Qualifying Questions…………………………………………………………….…19
How Do I Execute/Product Demonstrations………………………………….….20
Resources to Assist in Selling……………………………………………………..21
2
INTRODUCTION
A Brief Description of Offering
For companies that require a streaming media solution, NaviSite Streaming Media Group provides an easy-to-use, browser based, upload, content management and delivery system. The platform is highly scalable to both the customer and NaviSite. The customer can add as much content as budgets allow with no additional hardware or software upgrades, and NaviSite can add numerous customers with virtually no hardware or personnel enhancements.
Product Overview
streamOS™ is a web-based application, accessible by logging into http://www.streamOS.com. After entering a valid username and password, a person can use the following tools:
Distributed File Manager (DFM) to upload, check-in, organize and manage files.
Statistical Report Manager (SRM) to gather comprehensive statistical data.
Broadcast Relay Manager (BRM) to automatically schedule and stream live events.
Digital Rights Manager (DRM) to set business rules and licensing rights.
Each of these management layers is combined in the streamOS platform, allowing management to utilize all of these disparate services from any desktop.
The most unique streamOS feature is its use of multiple Content Delivery Network partners, (CDNs). streamOS distributes content to multiple CDNs without additional cost to the client. This process removes delays in getting content distributed and reduces response times when more bandwidth is needed. streamOS automatically publishes files to an appropriate content delivery network maintaining the highest quality stream performance available.
This sales guide is designed to pinpoint sales opportunities, strategies, potential competitive obstacles and customer profiles. This document also provides contact links to many resources that can help. It is meant to be a resource for the NaviSite sales team and channel partners.
3
THE OPPORTUNITY/WHY NOW Companies are beginning to realize the benefits of on-line training. Universities are beginning to realize the benefits of e-learning. Sales forces are beginning to realize the benefits of on-line product rollouts. For streaming media, this is truly the beginning.
Jupiter Media Metrix reports revenues from the enterprise streaming market will double at a phenomenal rate from $290 million in 2001 to $580 million in 2002, growing to $2.8 billion in 2005. – November 2001
According to Wainhouse Research, an industry analyst firm, the market for audio, video, and Web conferencing services is expected to reach $9.8 billion by 2006, up from $2.8 billion in 2000.
According to Gartner Group, 85 percent of enterprises that deploy video over IP for corporate training will realize a positive return on investment in less than one year.
According to Forrester Research, companies are beginning to expand the applications of streaming media.
Microsoft Corporation announced findings by independent market research firm Market Decisions Corporation, revealing that one in four large US-based companies is using streaming media in their organizations.
Research shows that companies can effectively cut corporate communications and training budgets by more than half by leveraging rich media across the organization. In addition, by decentralizing content delivery and serving rich media from the edge of the network, companies can also reduce their bandwidth budgets by 30-60
Jupiter Media Metrix put the number of consumer homes with broadband access (cable, DSL, satellite or fixed wireless) at 7.9 million as of second quarter 2001 and estimates about 10 million today (barring drop-offs from the Excite@Home debacle).
4
WHO IS A SUCCESSFUL CUSTOMER?
ENTERTAINMENT COMPANIES: Universal, NFL Films
Entertainment companies with sizeable vaults of content are interested in utilizing the Internet medium to distribute and extend their media. These companies find value in the streamOS management tool with how it helps them easily organize and manage large quantities of media files.
CONSUMER BRAND COMPANIES: Anheuser-Busch, MSN
Consumer brand companies are finding that placement of advertising and brand extension campaigns are highly successful when supported by a streaming initiative. These companies stream their commercials, sponsorships, and event promotions, which have been valuable components to their successful advertising campaigns.
HEALTH CARE ORGANIZATIONS: St. Jude’s Hospital, BioGen
Health care organizations have found value with a streaming media tool when it comes to training and distance learning. Not only has streamOS shown value with the ability to scale for large events, the application supports their training programs that in many cases extends across international borders.
GOVERNMENT ORGANIZATIONS: Fed-Net, City of San Diego
Government organizations have been using streamOS to support programs that allow public access to the proceedings. City council meetings, public marriages, and committee proceedings have all been made available for public viewing via streaming media.
5
IMPACT ANALYSIS
Customer Need IMPACT If We Solve The Need Customer Benefit (COPE)
Scalability Reliable delivery, less financial and hardware resource outlay
C
File Management Saves time, organizes files quickly and easily
E
Live Event Delivery Saves time of creating and planning a live webcast event
E
Metrics / Reporting Departments are accountable for ROI of campaign dollars, can show success of project with accuracy
E
Digital Rights Management
Creates mechanism whereby client can build a transaction system to gain access to valuable media
P
Rich Media App Provides an audio-visual and interactive learning environment at a fraction of the cost of traditional in-service training
O
COPE MODEL:
C =Less CostO =More OutputP = More ProfitE = Less Effort
6
COMPETITIVE LANDSCAPE / THE COMPETITION
The Streaming Marketplace
The word streaming is frequently misused. You will face companies that claim to provide streaming media services when all they do is production and encoding. Encoding is only one part of the streaming process, it does not include hosting, file management, distribution rights management, statistical reporting and secure multiple user features. The key is to identify the service level of the competitor. Do they offer FTP file Upload as opposed to a manual process? If they have file management, is it easy to use. Can multiple users be securely added and removed without total account disruption. The depth of service offered by almost every competitor is dramatically inferior to streamOS.
A competitive analysis chart targets the various streaming media provider categories from production and encoding to file management and delivery. The chart is a series of circles arranged in the pattern of an archery target. The closer to the center of the target a company is categorized, the more competitive it is considered.
Group One: Companies that provide file management, delivery and storage. They are direct competitors.
Group Two: Content delivery networks. CDNs are definite competitors, however, their business model is primarily based on a different revenue source.
Group Three: Companies that outsource management, delivery and storage. These companies are direct competitors but are susceptible to ownership and management comparisons.
Group Four: Firewall solution providers. In most cases, these are companies that provide other streaming services.
Group Five: Rich-Media providers. Group Six: Internet broadcasters. Group Seven: Production and encoding houses.
7
WHO IS THE COMPETITION
8
Classification Notes
1 Management, Delivery, Storage
Activate (loudeye bought) www.activate.com Purchased by Loudeye
enScaler www.enscaler.com
ibeam www.ibeam.com
Streamcase www.streamcase.com
StreamPipe www.streampipe.com Purchased by TenTV
VideoDome www.videodome.com
yahoo broadcasting
Digital Pipe www.digitalpipe.com
PlayStream www.playstream.com
Ten-TV/Streampipe www.tentv.com
2 Content Delivery Network Streamers
Akamai www.akamai.com
Broadstream www.broadstream.com
Globix www.globix.com
Digital Island www.digitalisland.com
Speedera www.speedera.com
Streaming Media Corporation www.streamingmedia.com
Servecast www.servecast.com
3 Managed, Delivery, Storage Outsourced
sonic foundry www.sonicfoundry.com
videonetservices www.videonetservices.com
Vital stream www.vitalstream.com
power stream www.power-stream.net
xstream www.xiweb.com
Clipstream www.clipstream.com
4 Firewall Solution Product
Infolibria www.infolibria.com
9
Digital Fountain www.digitalfountain.com
5 Rich Media Product
2 educate www.2educate.com
brainshark www.brainshark.com
Centra www.centra.com
dynamic minds www.dynamicminds.com
eloquent www.eloquent.com
focus vision www.focusvision.com
InterWise www.interwise.com
ipresentation suite www.presenter.com
media 1st www.media1st.com
Mshow www.mshow.com
Placeware www.placeware.com
pr webcast www.prwebcast.com
Webinars www.webinars.com
WebEx www.webex.com
Avacast www.avacast.com
6 Internet Broadcasters
Loudeye www.loudeye.com
Servecast www.servecast.com
caliber www.caliber.com
CLBN www.clbn.com
Fastbroadcast www.fastbroadcast.com
inter-tainment www.inter-tainment.com
Tracksite www.tracksite.net
7 Production, Encoding
Crawford www.crawford.com
Overdrive Media www.overdrivemedia.com
vidco www.vidco.net
videostory www.videostory.com
CastPro www.castpro.com
video java www.videojava.com
10
AlinQ www.alinq.com
all video network (neuron broadcasting) www.allvideonetwork.com
approach www.approach.com
atlanta entertainment www.atlantaentertainment.com
burn productions www.burnproductions.com
desktoplive www.desktoplive.com
Digevent www.digevent.com
Digital Farmhouse www.digitalfarmhouse.com
ev broadcasts www.evbroadcast.net
grsv.com www.grsv.com
itv.net www.itv.net
Las Vegas Entertainment www.lve.com
live global network www.liveglobalnetwork.com
master casters www.mastercasters.com
media on demand www.mediaondemand.com
mediasite www.mediasite.com
net broadcasters service www.netbroadscasterservices.com
netcasters 1 www.netcasters1.com
neuron broadcasting www.neuronbroadcasting.com
nsi web www.nsiweb.com
nyc nites www.nycnites.com
sorenson-usa www.sorenson-usa.com
starr 2000 www.starr2000.com
stream engine www.streamengine.com
Stream Vision www.streamvision.com
Tellsoft Technologies (aquired by rebar) www.tellsoft.com
Tree Media www.treemedia.com
USA Video www.usvo.com
video 2 net www.video2net.com
visionwise www.visionwise.com
voli www.voli.com
webcasts www.webcasts.com
11
wolfcom www.wolfcom.com
Mediachase www.mediachase.com
12
IDEAL CUSTOMER PROFILE
TARGETS
Identify WHO you will be selling to, by title:Decision Maker: VP IT, VP Corporate Communications, Marketing, CEO
Financial Approver: CFO or Procurement Department
Technical Evaluator: CTO, Internet New Media Dept
Influencer: IT Department
Recommender: Technical Assistance within the organization
Approver: CIO, VP Corporate Communications, VP IT
Champion:Gatekeeper: IT Department
Ideal Customers are companies looking to: Reduce Training Costs (i.e., travel, expenses, book, instructors, etc.) Efficient and Inexpensive Corporate Communications Reduce Material Distribution Costs (i.e., CD-ROM, VHS, etc.) Corporate Product Launches (faster time to market) Advertising Brand Awareness Increased revenues Overall competitive advantage
13
OBJECTIONS / OVERCOMING OBJECTIONS
1. streamOS is too expensive.a. Does streamOS solve all client needs?b. What is the architecture of the competition? c. Multiple CDN distribution gives us the network of networks!d. No one else has automated live-event scheduling.e. Dedicated client services representative.f. Client services are available 24x7x365.g. No competitor offers automatic live event scheduling.
Note: streamOS is a high quality sale!
2. NaviSite doesn’t accommodate Mpeg4 files.a. We accommodate the most popular players.b. Mpeg4 has not been circulated yet.c. License issues may make its release several months away. We
want to accommodate your streaming now.d. streamOS is codec agnostic. While we don’t accommodate
Mpeg files our engineers will look at accommodating them
3. What about the financial stability of NaviSite?a. The fact is, NaviSite has survived and analysts are rating us
higher.b. The streamOS platform is built on a sound business model.c. The streamOS platform easy to maintain.d. We can offer a 6-month agreement if that is more comfortable.
14
STEPS OF THE SALE/ SALES STRATEGY
OverviewSelling streaming media, especially streamOS is entirely different then selling more technical applications. The initial contacts are different. The appeal of the product is focused on different individuals. Therefore, to successfully sell streamOS requires a different approach.
A Different ApproachFirst, streaming media doesn’t usually appeal to a company’s IT department. If a company has an aggressive streaming strategy through an IT department, the IT department has probably developed a file organization structure. They probably have more technically inclined staff uploading materials. They probably don’t find the human interaction with a content delivery network as annoying as a less technically inclined individual. Immediate statistical reporting and the ability to schedule live events may have an appeal, but the benefits are not usually as compelling as they might be to other members of the company.
As a result, the streamOS sale frequently begins with the marketing, human resources, Chief Financial Officer, advertising agency, or the sales management office. These departments are more likely to recognize the benefits of streaming and are more likely to request streaming capability. They are also more likely to see the appeal of the product features. Since streamOS is an easy-to-use platform, this is where the sale usually begins!
Feature/Value SaleWhile streamOS stacks up well on price against some competitors, there are always people who can sell for less. Price oriented competitors we frequently face:
CDN gives streaming away for static content contract.Counter: CDN doesn’t concentrate on streaming therefore doesn’t have the management features streamOS offers.Counter: CDN doesn’t have the presence of our multiple CDN’s.
A small local or regional company, usually with a cache server, offers lower rates.
Counter: High activity will cause site to crash.Counter: No edge delivery for long distances.Counter: No file management, DRM, drag-and-drop upload.Counter: No automatic live-event scheduling tool.
A client whose quality of streaming media is imperative is a perfect client. It is important to sell streamOS quality of features, quality of service, and dedicated technical support. The total quality orientation of streamOS is second to none!
15
THE SILVER BULLETS
The NaviSite Streaming Media Group has three major unique selling propositions. The first is the use of multiple content delivery networks (CDNs). This advantage is achieved because a CDN has to decide on one of two design models. They are either a content cache model or they are a pre-populated model. Each has their own set of advantages and disadvantages.
The caching model CDN immediately populates its servers that stream from a central location. The advantages of the caching model are that the infrastructure is smaller and easier to maintain. As a result, the costs are generally less expensive. Also, the content is immediately available. The negatives of the caching model are that the CDN might have redundancy problems, and are certainly susceptible to problems and overall network congestion. The quality of their streams often suffers.
The second type of CDN is the Pre-Populated CDN. These CDN’s boast servers “on the edge.” The server locations shorten the distance between the viewer and the content providing a quicker delivery and higher quality streams. (Interestingly enough, Akamai, regularly boasts of their edge delivery and hundreds of servers. In fact, these are static content servers. Akamai only has a few servers dedicated to streaming content. They are actually a caching delivery system.) The disadvantages of the pre-populated CDN is that content is not immediately available. Delays can take anywhere from 24 hours to several days. Load balancing is an issue and server problems are not always immediately apparent to the IT staff.
1. USP #1: Dynamic routing through multiple CDN’s, both pre-populated and cache based, give NaviSite Streaming Media the advantages of both without the negatives of either! Our content is immediately available and we can handle more streams and deliver higher quality streams than any single CDN.
2. USP #2: CDN’s, while competitors, focus more on static content delivery and hosting more than streaming. The bulk of their IT departments time is dedicated to making sure their static servers are operating appropriately. Streaming is a sideline, so the attention to features are usually inferior.
3. USP#3: No other business provides the entire spectrum of streaming media services. The complete streaming feature line is located in one easy-to-use, browser based platform.
16
SALES CYCLE
The streamOS sales cycle is immediate to 180 days. If the client hasn’t purchased in 180 days, the client should be removed from the current forecast.
Immediate Sales Process:Prospects who usually have an upcoming special event they want streamed.Entertainment groupsRadio groupsEnterprise customers who are about to make earnings or other business oriented announcements
Long Term Sales Process:Companies looking to incorporate streaming media on an on-going basisEnterprise customersEducational Institutions
17
TWO MINUTE DRILL/THE FIRST STEP
The first step in any streaming media sales process is to survey the clients Web site. If the prospect uses streaming media, you’ll approach them with one set of questions. If they don’t, you’ll use another series of questions.
If they incorporate streaming media:How do they use streaming media?
Entertainment, Marketing, Sales, Human ResourcesWhat formats do they utilize?
Windows Media, RealMedia, Apple Quicktime, Mpeg
Note: Just because they don’t feature streaming media on the home page, the prospect may use or may want to use streaming media internally. The sophistication of their Web site may offer clues.
If they don’t incorporate streaming media:Do they use Flash on the home page?
If so, they might be more inclined to use streaming for internal purposes.
Does their product line require extensive training?If so, they may utilize streaming media for training purposes.
Does the company have a large sales staff including channel partners?
If so, they may utilize streaming media for product launches and information updates.
The questions will change from client to client depending on a variety of factors that can be ascertained by a simple Web site inspection.
18
QUALIFYING QUESTIONS
Application of the ProductAre you utilizing a content manager?Did you build the content manager in-house?How much content do you have?What is the “hit” frequency of your content?
Feature NeedsHow much do you rely on statistical reports for content management?Do you need Digital Rights Management?Do you plan on scheduling live-events?
19
HOW DO I EXECUTE?
Product Demonstrations
A product demonstration is the best way to communicate product features to the prospect. However, since streamOS has so many features, covering them all can make the product appear complicated. Limiting the demonstration to the features most important to the client can minimize feature overload.
Steps For A Demonstration
1. Determine the prospect’s top three most important featuresa. Concentrate on those features during the demonstration
2. Have content to demonstrate upload, check-ina. Be sure to delete file from streamOS after demonstration
3. Determine the attendeesa. Limit attendees to not more than five people
4. Set-up WebEX Meetinga. Email participants
5. Conduct Demonstration
Determining the Decision MakerIn most cases the initial contact will not be the person who will make the
final decision.Who, besides yourself will be involved in the final decision?Who ultimately needs to sign-off on the agreement?
Budget QuestionsHave you already allocated a budget for streaming media?
If so, how much?
If No!What is the budget process?Who ultimately approves the budget?
20
RESOURCES TO ASSIST IN SELLING
LOCATION NAME PHONE # E-MAILSales Guide Owner
San Diego, Ca Gary Howard 858-453-0295 [email protected]
Who do I call?(Key People)
San Diego, Ca San Diego, Ca San Diego, Ca
Gary HowardJerry ScheibelerDavid Gilby
858-453-0295619-339-4674619-813-1591
[email protected]@[email protected]
TITLE LOCATIONWhere do I find specific product information?
All sales, marketing, and press materials are located on the front page of streamOS.com. If a product is not listed, please contact the Streaming Media Marketing Dept for assistance.
www.streamos.com
Where do I find configuration details?
Any configuration details concerning streaming media please contact Gary Howard for assistance.
TITLE/TOPIC LOCATION WEBSITE URLWhere do I find other supporting information?
All materials pertaining to streaming media will be located within the front page of streamos.com. If additional information is needed, please contact the Streaming Media Dept for assistance.
www.streamos.com
Sales Presentations streamOS www.streamos.com
White Papers streamOS www.streamos.com
Press Releases Varies www.streamos.com
Reports by ExpertsCustomer Testimonials Anhauser-Busch Case Study www.streamos.com
21
