Small Biz Tech Talk ™

Dallas-based Dell, Inc. stated Friday that it will buy the UK-based IT consulting firm The Networked Storage Co.  Network Storaged was created in 2002 and has 26 employees.  While a spokesperson for Dell would not discuss the deal with the IT consulting firm or the company’s revenues, the company advises many of Europe’s top financial institutions and customers that need help with infrastructure maintenance and management.  

At the same time as it decided to buy the IT consulting firm, Dell decided to work with retailer Tesco in order to sell XPS and Inspiron notebook and desktop systems in 500 stores based in the UK, Ireland, Poland, the Czech Republic and Slovakia.  

Dell has joined forces with many IT consulting firms and also retail stores in recent months as it breaks away from its direct-to-business and direct-to-consumers via phone and the Internet.  Dell’s agreements currently include selling computers in more than 10,000 stores throughout the world.

Added By:  Computer Consulting Kit

There are many great things about using direct mail postcards as part of an IT marketing campaign, but one of the best benefits is that – because they are already “opened” piece of mail – you don’t have to worry about them getting tossed in the garbage unread.

Postcards are also less expensive than other types of direct mail and can save you IT marketing budget money.

Your IT Marketing Campaign Should Be Focused

You shouldn’t send the same exact message to a couple thousands random small businesses in your area and hope you will strike gold.  You should instead target a very specific group.  For example, if you have experience with accounting offices, create an IT marketing message that speaks directly to these.  Make your expertise in a specific area very clear.  

Relationship IT Marketing

Direct mail postcards help you with relationship marketing.  Your goal with them is not to close a sale or agree to a huge project.  Your goal is to generate a response and start up a relationship.  You want people to raise their hands and say “Yes” to learning more about you.  Once you have their attention, you can figure out how to cultivate the opportunity. The next step after this is to hold seminars with a group of interested people or offer a free report or needs analysis.  

Time is Important with IT Marketing

You need to create a sense of urgency or you might find out that people take your postcards and file them away for indefinite periods of time and then don’t act on them.  You need to get your targets to know, like and trust you, which means you need to get past the postcard and move onto getting one-on-one contact or one-to-group contact (IT marketing seminars) where they can see you in person and know what it is like to work with you.

Added By:  Computer Consulting Kit

VARs recently received news that credit information provider ICC is set to present two new services and enhance its previous offerings in 2008.  

The initial new service will be labeled “Consult ICC” and will offer VARs with credit risk scores that will allow those working with businesses to get vital information to assess relationships, etc.  The second new service will be called “Integrate ICC” and is for clients that want to improve how they manage information and their own systems.

An ICC representative reported to CRN that their new services are specifically designed to help VARs determine credit ratings of customers regularly to help assess their expectations and relationships.  Because all VARs have different concepts of risk and their own markets, these scores help them decide how to offer the best solutions to clients and also better gauge performance over time.   

ICC opened its doors over a year ago and has continued to add new services in the past year.  The new offerings for VARs will slowly replace ICC’s Juniper and Juniper XD Services in 2008.

ICC will also offer three new themed services:  “My ICC” for credit management; “My ICC” for analysis; “My ICC” anywhere that will help with PDAs and other mobile technologies and tracking of VARs and their clients.       

For more information on these new services for VARs, visit the attached link.

Added By:  Computer Consulting 101 Professional Kit

You need to look at your current customers and figure out which will need IT audits.  You can judge this based on the number of PCs they have.  Usually businesses with more than five systems are great candidates for IT audits.  

Look at UPSs, data line protection, real surge protectors, the right number of antivirus software licenses, active and valid subscription for the licenses, etc.  You will need to figure out whether these people are dealing with updated software and hardware.  What are they doing with firewalls, network adjust translations and others that are protecting them?

Customers Need to Be Motivated

If you want to create a need for IT audits …

Talk to customers when they are in your store.

Conduct a telemarketing campaign.

Add an IT audits flyer to your invoices.

Do a single mailing – postcard, letter or brochure.  

Current Events and IT Audits

You need to take advantage of current events.  Viruses, power outages and other issues in the news can help you communicate your message.  You need to create urgency for IT audits.  

You need to create the idea that your IT audits are discounted and put deadlines on responses to offers for them.  You can say IT audits are regularly $350, for example and then offer then through a certain date for $199, limited to the first 25 respondents.

Added By:  Joshua Feinberg

When computer business stated it would start a new channel program, many were not fazed.  But the recently released requirements of the computer business’ Managed Services certifications are making some small VARs concerned about being left out of the new program.  

Last week the computer business based in Round Rock, Texas finally started to lay out its plans for the new partner program.  PartnerDirect offers a deal registration plan, a new compensation plan for internal sales people and many of the similar offerings of other channel partner programs:  partner tiers; access to marketing collateral; post sales support; financing options; certifications.  

Many VARs were disappointed by Dell’s announcement because it seemed to be a plan not very far off from every other program, after months of anticipation about what exactly would be offered.  What was more shocking about the computer business’ plan than the details was how long it took to reveal itself.

However, some e-mails sent from Dell to a series of VARs provided some additional information about the Managed Services certification. The first surprising requirement is that one person within a partner organization needs to be a certified ITIL Practitioner or ITIL Manager.  The plan initially for the computer business was to offer ISO 20000, but Dell has stated this was a mistake.

Partners that offer managed services must also buy an MSP Quick Start with Audit package for $4,999, and those that are new to managed services must purchase the MSP Quick Start with Business Builder package for $8,999.

A series of other costs are involved in the partner program offered by the computer business and must be paid out of pocket, leading to the question … how can small VARs afford it and actually participate?  There are restrictions also on the number of systems VARs must deal with, which is 100 or more, once again leaving many small VARs – particularly those just starting out – out in the cold.

For more information about this computer business story, including responses from Dell and VARs, visit the attached link.

Blogged By:  Computer Consulting 101 Professional Kit

Microsoft Small Business Server (SBS) has become increasingly important in the business community in the past decade.  Many consultants, systems integrators and value added resellers have decided to bring this product to their clients.  The following three tips can help those working with Small Business Server.

Tip #1:  Most Small Businesses Don’t Know about Small Business Server

There might be hundreds or thousands of small businesses in your area that could benefit from Small Business Server.  However, you can’t assume that non-technical small business owners will understand what it is.  

If you want to make the most of your computer consulting profits, you need to lead off with a non-product-based offer with prospects such as elimination of viruses, anti-SPAM plans and other security issues.  

Tip #2:  Sell Small Business Prospects on Your Company

Using Small Business Server to gain revenue is not about reselling the software.  To make money, you need to sell the relationship you will make with a small business.  You need to focus on becoming a company’s outsourced IT department.  

There is no small business owner that will decide suddenly he needs Small Business Server, but there will be those that will lose sleep worrying about their computer systems.  Once you develop relationships, you will have a chance to sell software.  

Tip # 3:  Microsoft Does Not Always Think about Computer Consultants

Microsoft Small Business Server was developed in 1996 and released in 1997.  The original code name for the product was “SAM” because it was supposed to be sold at Sam’s Club warehouse clubs and entirely bypass the consultant channel.  

The original creators of the product wanted to make it so simple that small businesses would not need the help of computer consultants to get it up and running.  

However, after the first version shipped, Microsoft decided that the most cost-effective way to get to small businesses with it was to sell it through resellers.

Still, today you will find 5-user versions of Small Business Server in retail stores.  Microsoft is not betting on consultants selling the product any more than it is betting on warehouses selling it.  So you should not put all your eggs in the Microsoft basket.  You need to sell small businesses on YOUR company first.

Added By:  Computer Consulting Kit

On Friday, California-based vendor Firesky Media Corp. made an important announcement for solution providers; it has a new business plan that will concentrate on electronics hardware and computer components.  The company expects to target small-to medium-sized solution providers and VARs.  Initially, it will change its name, adopt a new management team and a new board of directors to start its change.  The hope is that this under-served segment of the industry – and particularly solution providers working in this sector – will gain new resources that will help make business more efficient.

Currently, Firesky is based in Irvine, California.  As part of its restructuring to be more geared towards solution providers for small- and medium-sized businesses, it has stopped all prior real estate and media activities.  It is in the process of reorganization and will continue to provide updates to solution providers periodically as changes are made.  

Blogged By:  Computer Consulting Kit

If you want to grow your customer roster, you need to do additional IT marketing that includes getting out into your community and getting to know decision makers.  How do you connect with decision makers?

If you are targeting the small business owner and manager, you will meet a lot of bank managers, but they will not necessarily be the right decision maker for you.  Similarly with directors from non-profits, you might meet a lot of them but they will not have a lot of money to spend on computer services.  You might also find a lot of big Fortune 1,000 company employees, but again, they will not be your targets for IT marketing.  

You need to know who your target decision maker is so you can get the most out of your IT marketing and networking activities.  

Partner Programs

You can build a name for yourself in the local community by joining a partner or reseller program.  As an example, you could join the Microsoft Certified Partner Program; however, you have to be proactive as a small firm and seek out your local field representative.  Shake hands, talk to your field rep and exchange business cards.  You want the field rep to attach your face with your name.  You can contact him/her every few weeks to give updates and ask questions and brainstorm.   

What Are the Problems?

You should learn about the problems of your chosen niche.  Ask your field rep as part of your IT marketing plan if he/she can think of any ways you might be able to help with the big problems.  Then ask if there is anyone involved in the channel partner programs that would be responsive to partnering, for work quotes or for non-competing skills sets.  Partner programs can bring great opportunities for IT marketing when used properly.

Added By:  Joshua Feinberg

SANZ, a solution provider specializing in storage solutions recently filed for Chapter 7 bankruptcy.  However, some sources close to former employees of the Englewood, Colorado-based solution provider stated that these employees are looking for ways to bring back part of the company.

The company officially filed a form 8-K on November 27th with the Securities and Exchange Commission.  A majority of the SANZ employees were officially let go by way of a single e-mail from the solution provider’s CEO, Todd Oseth.  

A former employee source stated that there have been rumors circulating about re-incorporating SANZ as a storage solution provider.  However, there is another solution provider talking to several former SANZ employees about potential job opportunities, and that person stated there are many employees that would prefer to work for another company that has no storage function.

The former employee source feels that something should be done for SANZ’s customers and former employees.  Many want to take customers with them.  While there is no stipulation for passing customers onto another solution provider, both the customers and the employees will inevitably be affected negatively by the bankruptcy.  

According to sources, SANZ has been in financial trouble for quite some time and was allowed to decline after Oseth joined as CEO in early 2007.  Many employees of the solution provider were very displeased by Oseth’s strategy of alienating employees.  Sources also felt that SANZ’s attempt to be a solution provider and a vendor at the same time contributed to its demise.

While employees were let go, some top executives of the voluntarily resigned.

For more information about this story about solution provider SANZ and its next steps, visit the attached link.  

Submitted By:  Joshua Feinberg