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BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 2 “We Accelerate Growth”
Contents
Background and Company Performance ........................................................................ 3
Industry Challenges .............................................................................................. 3
Conclusion........................................................................................................... 7
Best Practice Award Analysis for AVI-SPL ...................................................................... 9
Decision Support Scorecard ................................................................................... 9
Visionary Innovation & Performance ..................................................................... 10
Customer Impact ............................................................................................... 10
Decision Support Matrix ...................................................................................... 11
The Intersection between 360-Degree Research and Best Practices Awards ..................... 11
Research Methodology ........................................................................................ 12
About Frost & Sullivan ....................................................................................... 13
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 3 “We Accelerate Growth”
Background and Company Performance
Industry Challenges
User demand for video communications is growing exponentially. Frost & Sullivan
monitors how the proliferation of mobile devices - combined with an unending appetite to
consume video content - has been a big driver for boosting adoption of video
communications including video conferencing. Video conferencing is becoming a key
enabling technology for accelerating digital transformation in sectors such as
manufacturing, banking, health care, education, energy, retail, and hospitality. Video-
enabled customer engagement, digital classroom, mobile and virtual banking, smart
factories, digital talent acquisition, and ehealthcare are just a few areas where video
conferencing is fundamentally changing how business is being done.
Though video conferencing has been around for decades, in the past its usage has been
rife with high costs and complexity. As a result, adoption has often remained limited. Yet
Frost & Sullivan points out that user expectations have greatly shifted. Users want video
conferencing to be as simple as a click away and deliver experiences that are truly
engaging. Businesses understand the value of deploying video conferencing widely across
their organization. At the same time, they are overwhelmed with the technology
implementation and the strain it can put on IT resources.
Organizations report to Frost & Sullivan that they are looking for services and solutions
that enable them to
implement reliable and simple to use video conferencing with guaranteed
service levels
support capacity growth as their needs grow - at affordable costs
support migration to cloud that works with existing investments and allows
them to keep their current infrastructure while integrating new applications
ensure their IT Staff has the right skills to support current video conferencing
infrastructure
offer seamless interoperability between large conference rooms, huddle rooms,
mobile devices, desktop systems, and other varied meeting spaces
As more and more businesses make video conferencing a core part of their
communications and deploy it organization wide, these requirements are creating a
groundswell of demand for managed services. A new breed of service providers are
disrupting the market with next generation cloud and managed services that are
transforming how communications and collaboration capabilities are purchased and
consumed delivering dramatic changes in cost savings, risk reduction, business agility,
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 4 “We Accelerate Growth”
ease of use, and management. Frost & Sullivan recognizes the fact that AVI-SPL is a
leading provider in offering a new class of video conferencing solutions which are not
only affordable to deploy in every meeting space, but also make the experience both
simple and reliable.
Addressing a Wide Range of Customer Needs
The video conferencing market is changing dynamically. An influx of providers is now
offering next generation solutions to capitalize on the growth opportunity. As such, Frost &
Sullivan points out that enterprises have more options than ever before when choosing
technology and implementation models. However, many providers are offering cookie
cutter services that are not aligned with the complex communication needs of today’s
enterprises.
AVI-SPL’s approach to technology implementation hinges on a strategy that is
comprehensive, yet flexible enough and targeted at organizations that are looking for a
measured and practical approach to video conferencing. AVI-SPL works closely with
enterprises to understand and optimize their business operations and requirements. It has
an established portfolio of managed services that is very much aligned with the
predominant needs of enterprise users. Moreover, its cloud services span across public,
private and hybrid collaboration solutions which gives organizations the flexibility to
maintain existing investments while planning for next gen services.
AVI-SPL stands out in the enterprise collaboration market with a portfolio that is both
broad and deep, addressing everything from small team collaboration to large scale
events.
In the managed video conferencing services market, AVI-SPL offers:
Comprehensive remote managed services which offer around-the-clock monitoring
of AV and video collaboration systems.
Private hosting of infrastructure that is deployed in AVI-SPL’s data centers with
hardware, storage and network dedicated to a single company.
On-premise deployment and management of customer’s infrastructure, with the
AVI-SPL team providing on-site systems management.
End to end management of video conferencing, including call scheduling and
launching, and an on-demand help desk that’s available during video calls.
AVI-SPL’s Symphony Platform is its cornerstone technology that offers a range of value-
add features and services including monitoring and management; scheduling; actionable
analytics on usage; signal quality and meeting experience including a new QoE (Quality of
Experience) measure; a rich admin dashboard for a global view of conferencing estate and
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 5 “We Accelerate Growth”
its performance; and integration via APIs with other monitoring and scheduling
applications like Crestron Fusion. Symphony adapts to customers’ workflows so there is
no need for an overhaul of existing processes. Symphony’s Business Process Automation
Module allows AVI-SPL to customize how client meetings are organized, monitored and
managed down to the device level. In addition, for customers that are ready for cloud
migration, AVI-SPL offers multi-tenant OPEX based Unify ME VMR, a Virtual Meeting Room
(VMR) service.
While other service providers in the market are pushing their customers to adopt public
clouds, AVI-SPL works closely with enterprises to understand and optimize their business
operations and requirements to see when and how the organizations can realistically
migrate to the cloud. Frost & Sullivan recognizes how AVI-SPL clearly remains in lock-
step with changing customer needs.
Strong Financial Performance
With over 40 years of audio/video conferencing service expertise, AVI-SPL supports over
5,000 conferences monthly. AVI-SPL has a dominant presence in the AV systems
integration market, which it has successfully leveraged to extend the depth and scale of
its offerings.
The company’s recent financial highlights include:
In 2015, AVI-SPL saw a 20 percent bookings growth, which is almost double that of
the average growth of the industry. The company is looking to continue the
momentum into 2016 with a heavy focus on providing reliable service, developing and
acquiring talent, and evolving into the collaboration provider space.
More than 50 percent of AVI-SPL’s systems bookings are now video conferencing
related. It is estimated that its 2016 video conferencing sales run rate is roughly
$290M, and represents a 20 percent growth rate over the prior year.
In 2015, a third of AVI-SPL’s video conferencing managed services sales were from its
cloud-based services, including remote monitoring and management, hosted bridging
services, and Collaboration as a Service. In the first six months of 2016, its cloud-
based services have grown by 112 percent YoY.
In 2016, AVI-SPL has reached a fast growing installed base of hundreds of enterprise
customers that are using its cloud and managed video conferencing services. Frost &
Sullivan applauds how AVI-SPL is aggressively pursuing all opportunities in the
conferencing market. It continues to invest in not only next gen platforms and services,
but also in building a world class workforce that forms the foundation for its managed
services business.
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© Frost & Sullivan 2016 6 “We Accelerate Growth”
Global Footprint
While many of its nearest competitors have a regional focus, AVI-SPL serves its customers
across the globe with a strong footprint in key geographies outside North America. Within
the U.S. market, AVI-SPL has a strong presence from coast to coast. With a strong global
reach through its operations from 37 offices and 3 VNOCs across North America, Europe and
the Middle East, AVI-SPL has completed more than 32,000 installations in 101 countries.
The company has been expanding its presence in the EMEA market since 2013, when it first
stepped into Europe. AVI-SPL now has a broad physical presence across Europe and plans
to move into Germany in the coming months. In 2015, its UK office doubled in size. In
addition, it has formed key partnerships in Australia along with forming a significant
relationship with Vega in Asia. With presence of three global help desks, AVI-SPL’s footprint
enables it to effectively service national and multi-national organizations with standardized
solutions across regions with consistent SLAs.
Consistent Customer Experiences across Varied Meeting Spaces
Business videoconferencing is fast-becoming the go-to communications tool. As more and
more businesses look to implement wall-to-wall video conferencing, they are rolling out
video conferencing devices in diverse environments that include board rooms, conference
rooms, huddle rooms, open work spaces, and over desktop and mobile devices. However, as
users move from one meeting environment to another, they face the daunting challenge of
acclimatizing with varied devices and user interfaces and consequently inconsistent user
experiences. This also compounds the management challenges for IT.
A key requirement to minimize user inertia is to create a consistent and standardized
experience. AVI-SPL simplifies this complex process. It focuses on providing the resources
so that clients do not end up with a mish-mash of workflows. AVI-SPL implements an end-
to-end video conferencing implementation with the right management and support that
provides not only a consistent front-end experience for users, but also an integrated service
and support at the backend for IT admins.
Strong Microsoft Capabilities
AVI-SPL has a well-established ecosystem of key partners ranging from AV heavyweights,
monitor/display manufacturers, control system designers, to video technology providers. In
recent months, a big game changer for AVI-SPL has been its strong and fast growing set of
Microsoft capabilities. AVI-SPL updated its Microsoft practice to Gold Certification in Q3 2015
which is a major feat. It offers robust professional services expertise with its Microsoft
practice – it can manage Skype for Business deployments from migration plans to license
sales to implementation services.
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© Frost & Sullivan 2016 7 “We Accelerate Growth”
In addition, AVI-SPL is a global delivery partner for Microsoft Surface Hub with partner
agreements in U.S., Canada, Europe and Middle East. The Microsoft Surface Hub
incorporates interactive touch screen technology with its own speakers, microphone arrays,
and software apps to help create advanced meeting room collaboration experiences. More
importantly, Surface Hub allows users to connect to each other through Skype for Business,
and share their work during meetings in real time. AVI-SPL provides services surrounding
Microsoft Surface Hub beyond transactional product sales as part of its growing Microsoft
practice. Utilizing its global services infrastructure, AVI-SPL offers value-added services
including design, installation and configuration, and professional readiness assessments
such as network assessment and room readiness. In addition, AVI-SPL will support Surface
Hub customers post-installation with system monitoring and management, enhanced
warranty and support services, and end-user training.
Conclusion
Frost & Sullivan monitors how AVI-SPL has demonstrated clear and effective execution on
its growth strategy. While the overall AV integration industry has gone through a major
upheaval, AVI-SPL has been able to grow successfully by balancing its core systems
integration business with a keen focus on investing in a broad range of next generation
collaboration software and services.
Frost & Sullivan is proud to recognize AVI-SPL with the 2016 Company of the Year Award.
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 8 “We Accelerate Growth”
Significance of Company of the Year
To receive the Frost & Sullivan Company of the Year Award requires a market participant
to demonstrate excellence in growth, innovation, and leadership. This kind of excel lence
typically translates into superior performance in three key areas: demand generation,
brand development, and competitive positioning. These areas serve as the foundation of a
company’s future success and prepare it to deliver on the two criteria that define the
Company of the Year Award (Visionary Innovation & Performance and Customer Impact).
Understanding Company of the Year As discussed above, driving demand, brand strength, and competitive differentiation all play
a critical role in delivering unique value to customers. This three-fold focus, however, must
ideally be complemented by an equally rigorous focus on visionary innovation to enhance
customer value and impact.
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 9 “We Accelerate Growth”
Key Benchmarking Criteria
For the Company of the Year Award, Frost & Sullivan analysts independently evaluated
two key factors: Visionary Innovation & Performance and Customer Impact.
Visionary Innovation & Performance
Criterion 1: Addressing Unmet Needs
Criterion 2: Visionary Scenarios Through Mega Trends
Criterion 3: Implementation Best Practices
Criterion 4: Blue Ocean Strategy
Criterion 5: Financial Performance
Customer Impact
Criterion 1: Price/Performance Value
Criterion 2: Customer Purchase Experience
Criterion 3: Customer Ownership Experience
Criterion 4: Customer Service Experience
Criterion 5: Brand Equity
Best Practice Award Analysis for AVI-SPL
Decision Support Scorecard
To support its evaluation of best practices across multiple business performance
categories, Frost & Sullivan employs a customized Decision Support Scorecard. This tool
allows our research and consulting teams to objectively analyze performance, according to
the key benchmarking criteria listed in the previous section, and to assign ratings on that
basis. The tool follows a 10-point scale that allows for nuances in performance evaluation;
ratings guidelines are illustrated below.
RATINGS GUIDELINES
The Decision Support Scorecard is organized by Visionary Innovation & Performance and
Customer Impact (i.e., the overarching categories for all 10 benchmarking criteria; the
definitions for each criteria are provided beneath the scorecard). The research team
confirms the veracity of this weighted scorecard through sensitivity analysis, which
confirms that small changes to the ratings for a specific criterion do not lead to a
significant change in the overall relative rankings of the companies.
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 10 “We Accelerate Growth”
The results of this analysis are shown below. To remain unbiased and to protect the
interests of all organizations reviewed, we have chosen to refer to the other key players
as Competitor 2 and Competitor 3.
Measurement of 1–10 (1 = poor; 10 = excellent)
Company of the Year
Visionary
Innovation &
Performance
Customer
Impact Average Rating
AVI-SPL 9.4 9.0 9.2
Competitor 2 8.7 8.9 8.8
Competitor 3 7.6 7.8 7.7
Visionary Innovation & Performance
Criterion 1: Addressing Unmet Needs
Requirement: Implementing a robust process to continuously unearth customers’ unmet
or under-served needs, and creating the products or solutions to address them effectively
Criterion 2: Visionary Scenarios Through Mega Trends
Requirement: Incorporating long-range, macro-level scenarios into the innovation
strategy, thereby enabling “first to market” growth opportunities solutions
Criterion 4: Implementation Best Practices
Requirement: Best-in-class strategy implementation characterized by processes, tools, or
activities that generate a consistent and repeatable level of success.
Criterion 3: Blue Ocean Strategy
Requirement: Strategic focus in creating a leadership position in a potentially
“uncontested” market space, manifested by stiff barriers to entry for competitors
Criterion 5: Financial Performance
Requirement: Strong overall business performance in terms of revenues, revenue growth,
operating margin and other key financial metrics
Customer Impact
Criterion 1: Price/Performance Value
Requirement: Products or services offer the best value for the price, compared to similar
offerings in the market
Criterion 2: Customer Purchase Experience
Requirement: Customers feel like they are buying the most optimal solution that
addresses both their unique needs and their unique constraints
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Criterion 3: Customer Ownership Experience
Requirement: Customers are proud to own the company’s product or service, and have a
positive experience throughout the life of the product or service
Criterion 4: Customer Service Experience
Requirement: Customer service is accessible, fast, stress-free, and of high quality
Criterion 5: Brand Equity
Requirement: Customers have a positive view of the brand and exhibit high brand loyalty
Decision Support Matrix
Once all companies have been evaluated according to the Decision Support Scorecard,
analysts can then position the candidates on the matrix shown below, enabling them to
visualize which companies are truly breakthrough and which ones are not yet operating at
best-in-class levels.
)
High
Low
Low High
Cu
sto
mer I
mp
act
Visionary Innovation & Performance
Competitor 2
Competitor 3
AVI-SPL
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 12 “We Accelerate Growth”
The Intersection between 360-Degree Research and Best
Practices Awards
Research Methodology
Frost & Sullivan’s 360-degree research methodology represents the analytical rigor of our
research process. It offers a 360-degree-
view of industry challenges, trends, and
issues by integrating all 7 of Frost &
Sullivan's research methodologies. Too
often, companies make important growth
decisions based on a narrow
understanding of their environment,
leading to errors of both omission and
commission. Successful growth strategies
are founded on a thorough understanding
of market, technical, economic, financial,
customer, best practices, and
demographic analyses. The integration of
these research disciplines into the 360-
degree research methodology provides an
evaluation platform for benchmarking
industry players and for identifying those
performing at best-in-class levels.
360-DEGREE RESEARCH: SEEING ORDER IN
THE CHAOS
BEST PRACTICES RESEARCH
© Frost & Sullivan 2016 13 “We Accelerate Growth”
About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth
and achieve best in class positions in growth, innovation and leadership. The company's
Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined
research and best practice models to drive the generation, evaluation and implementation
of powerful growth strategies. Frost & Sullivan leverages almost 50 years of experience in
partnering with Global 1000 companies, emerging businesses and the investment
community from 31 offices on six continents. To join our Growth Partnership, please visit
http://www.frost.com.