Thursday, September 23, 2010

Marketing Initiatives in Indian IT Services Industry – A Survey 2010

Sponsor: Indira Institute of Management, Pune
Date Published: 15th August 2010

Description:
Although the value of marketing is accepted at a high level, most business executives are unable to definitively articulate the precise contribution that marketing brings to business. There is always a risk of either over–investing or under-investing in marketing.
Simultaneously, the rapid proliferation of new media in which to invest has marketers struggling to understand which options can deliver the greatest return.
Buying cycles can take months and encompass multiple communications vehicles. Deciphering the effectiveness of a specific marketing initiative in such an environment is a daunting task.
Marketers need to gain a better understanding of how to allocate resources across media types to optimize ROI.
Once marketers can analyze and better understand the impact of their marketing initiatives on their prospective buyers, they are in a good position to make smart decisions on how to optimally allocate their investments to have the greatest positive effects on the revenue.
This report gives a detailed look at how a marketing function is handled, various marketing tools used and their effectiveness and also marketing budgets and its performance across the Indian IT services industry.


Key findings highlighted in report:
 Marketing in Indian IT Services Industry has evolved from Push to Pull strategy and is now turning to Inbound Marketing.
 Marketing Tools such as case studies, white papers, blogs & social media, etc are being increasingly used and are becoming more important.
 Content Marketing, therefore becomes new age mantra for IT Services marketing.
 Other marketing tools like Events, Conferences & Exhibitions, Webinars and Analyst Relations remain to be the primary lead generating tools for Indian IT Services Industry.
 With marketing measurement tools & techniques, marketing activities are being made accountable while with web analytics, they are being made more efficient by leading IT companies.

Topics covered in the report:
a) Marketing Function in Indian IT Services Companies
i. Its Role
ii. Its Effectiveness
iii. Its Control
b) Marketing Tools used by Indian IT Services Companies
i. Most Popularly Used Tools
ii. Most Effective Tools
c) Marketing Budget Allocation by Indian IT Services Companies
d) Marketing Performance and Marketing Measurement by Indian IT Services Companies
e) Current Marketing Trends & Innovative Tools used in IT Services Marketing
f) Challenges in B2B IT Services Marketing


Companies included in study:
Capgemini, Cognizant, Cybage Software, Geometric Ltd, Hexaware Technologies, KPIT Cummins, Mahindra Satyam, Mindtree, Patni, Persistent Systems, Symphony Services, Syntel, Tata Consultancy Services, Wipro Technologies, Zensar Technologies, Calsoft Inc, Ignify Software, Innominds, Justmeans, Prion PLM & IT Services, Saama Technologies, Uniken Systems, etc.

Study Methodology:
In June-July 2010, a web-based survey was used to gather data from above mentioned companies about their marketing function, marketing tools they use & their effectiveness, marketing budget, marketing measurement & performance.
24 unique companies responded to it and the collected data- primary & secondary was analyzed based on the company size.

Respondents’ Demographics:
Company Size – No. of employees:
• Small: Less than 100 employees — 4%
• Medium: 100 to 1000 employees — 33%
• Large: More than 1000 employees — 63%
Company's Revenue:
• Less than $500M — 54%
• $500–999.9M — 21%
• $1–5B — 17%
• Greater than $5B — 8%

Limitations:
 It was difficult to reach the relevant marketing managers in the sample IT companies who were responsible for pure external marketing activities of the company.
 Not all marketing managers who took the survey were in a position to answer higher-management level questions such as that of marketing budget, while some others did not wish to disclose confidential information.
 The quality of responses may not be the most credible ones as some respondents took a good 10 minutes time to fill the questionnaire while a few took only 4 minutes as recorded by the system.

For more information, please write to anita.nerkar@gmail.com

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