Ben Evetts, a former colleague of mine, pointed me to this article a few days ago. It is an interesting and rather damning critique of industry analyst firms.
Here's just a few extracts from the blog by James Gardner (but do read the whole piece, there's plenty more good stuff in it):
“And here is my problem with analysts: if we are taking strategic advice from such firms, then they'd better have better people than us. Experts, not graduates who have worked their way up the analyst ranks without much experience doing whatever-it-is for real.”
This is one of my bugbears. Like many of my colleagues working in analyst relations, I spend a large portion of my life educating people about the value of the industry analysts.
Then you set up a meeting – either a briefing or an inquiry call – and in strolls someone who knows less about the market than I do (never mind my CEO, CMO, product manager or technology guru). It is happening more and more frequently. It's almost as if the industry analyst firms have a death wish.
Get wise guys. People pay a lot of money for your insight. You're important because of your influence. You're valuable because you're the experts. And you need to keep proving it continually.
Thankfully, it's not all bad news from James:
“I'll accept that there is some value in analyst research, and that the reports written by the superstars have a value that counteracts the journalistic reporting that is mainly what's provided.”
What's most concerning is that these type of complaints aren't just coming from James. I hear similar comments every week.
There are some really strong analysts out there in the market but there are also a lot of people who use the title when they're really just market researchers, marketing consultants, journalists or industry commentators.
Even some of the more reputable analyst firms are doing themselves a disservice by increasingly trying to trade off a global brand while in Europe, the calibre (and / or size) of their analyst teams simply isn't there to support the promise.
If you call yourself an 'industry analyst', people have certain expectations of your knowledge, your insight, your abilities, your expertise. Nowadays, these are often not met.
Wednesday, February 04, 2009
Friday, January 16, 2009
Catching up with Bathwick
Bathwick is not a firm that I have come across very often in recent years, so it was good to catch up with Katy Ring a little while ago and find out more about it.
Her decision last year to join Bathwick after leaving NelsonHall came as a surprise to many of us in the analyst relations community who watch the IT services and outsourcing analysts.
With her experience and reputation in the market (before NelsonHall, Katy headed up Ovum's European IT outsourcing practice), we expected that she'd turn up at a big firm. Her move to a small company with no reputation in the services market came as a real surprise.
Set up in 1997 by Jonathan Steel, Bathwick says it “researches how businesses actually buy and apply IT to their business, how they innovate using technology, and how IT is supporting changes in market and organizational models.”
The company splits the world into four main domains - green, open, smart (including CRM and business intelligence) and dynamic (including services). These are all attributes that Bathwick says users need to achieve in today's world, and therefore vendors must be able to address.
Rather than provide traditional research subscriptions, Bathwick instead offers research-based consulting and co-branded research-led whitepapers (which - although vendor-funded and branded - are independent, according to Katy). To facilitate its primary research, Bathwick has established a partnership with CNET and surveys the IT professionals that regularly use its websites. Bathwick is also involved in benchmarking and publishing.
The company's biggest client is rumoured to be IBM. While Katy doesn't deny this, she is adamant that Bathwick is not just an IBM shop and works with plenty of other vendors as well.
According to the website, over the past three years, clients have included Accenture, BT, Cisco, Ernst & Young, IBM, Intel, Microsoft, Novell, Oracle, Orange, Sun Microsystems, TCS and Unisys.
What's also interesting – but not mentioned as much – is the high regard in which Jonathan is held by many of his peers. His ability to attract both Katy and her former Ovum colleague Gary Barnett adds further testament to his standing in the analysis and research world.
Going back to Katy's story, she joined Bathwick to set up the IT services group. A quick hire was Kate Hanaghan from Ovum. Together the two are now busy building up the business. The most public of their efforts is the quarterly Bathwick Services Index (BSI) which surveys the 20 leading IT services vendors that together shape the IT services market in Western Europe. The first Index (on Industrialisation) came out in November.
We're going to watch progress with interest. Katy and Kate are both very good but let's not fool ourselves. The market will be tough this year and there is a lot of established competition out there.
However, we are firm believers that a small group of well respected individuals can do very well, provided they are able to deliver the right type of high-quality service at a reasonable price (think Freeform Dynamics and CCS Insight for example).
And, let's be honest, some of Bathwick's rivals are not so great and do seem to be living off their reputation as much as the value they provide.
Interesting and exciting times...
Her decision last year to join Bathwick after leaving NelsonHall came as a surprise to many of us in the analyst relations community who watch the IT services and outsourcing analysts.
With her experience and reputation in the market (before NelsonHall, Katy headed up Ovum's European IT outsourcing practice), we expected that she'd turn up at a big firm. Her move to a small company with no reputation in the services market came as a real surprise.
Set up in 1997 by Jonathan Steel, Bathwick says it “researches how businesses actually buy and apply IT to their business, how they innovate using technology, and how IT is supporting changes in market and organizational models.”
The company splits the world into four main domains - green, open, smart (including CRM and business intelligence) and dynamic (including services). These are all attributes that Bathwick says users need to achieve in today's world, and therefore vendors must be able to address.
Rather than provide traditional research subscriptions, Bathwick instead offers research-based consulting and co-branded research-led whitepapers (which - although vendor-funded and branded - are independent, according to Katy). To facilitate its primary research, Bathwick has established a partnership with CNET and surveys the IT professionals that regularly use its websites. Bathwick is also involved in benchmarking and publishing.
The company's biggest client is rumoured to be IBM. While Katy doesn't deny this, she is adamant that Bathwick is not just an IBM shop and works with plenty of other vendors as well.
According to the website, over the past three years, clients have included Accenture, BT, Cisco, Ernst & Young, IBM, Intel, Microsoft, Novell, Oracle, Orange, Sun Microsystems, TCS and Unisys.
What's also interesting – but not mentioned as much – is the high regard in which Jonathan is held by many of his peers. His ability to attract both Katy and her former Ovum colleague Gary Barnett adds further testament to his standing in the analysis and research world.
Going back to Katy's story, she joined Bathwick to set up the IT services group. A quick hire was Kate Hanaghan from Ovum. Together the two are now busy building up the business. The most public of their efforts is the quarterly Bathwick Services Index (BSI) which surveys the 20 leading IT services vendors that together shape the IT services market in Western Europe. The first Index (on Industrialisation) came out in November.
We're going to watch progress with interest. Katy and Kate are both very good but let's not fool ourselves. The market will be tough this year and there is a lot of established competition out there.
However, we are firm believers that a small group of well respected individuals can do very well, provided they are able to deliver the right type of high-quality service at a reasonable price (think Freeform Dynamics and CCS Insight for example).
And, let's be honest, some of Bathwick's rivals are not so great and do seem to be living off their reputation as much as the value they provide.
Interesting and exciting times...
Friday, January 09, 2009
Redundancies made by big analyst firms
Thursday, January 08, 2009
Ovum reborn in IT services?
It's been interesting and encouraging to watch the revival of Ovum's IT services practice over recent months. Under the leadership of Eamonn Kennedy, the company is slowly but surely re-establishing its reputation as a tier one player in the market.
The IT services team looks stronger than it has done for the past few years. Luring Eamonn back from NelsonHall was a real coup for Ovum. He's a world-class analyst.
With David Mitchell's support and encouragement, Eamonn has been busy since his return, building out the team, strengthening the skill base and expanding its geographic coverage.
Hiring Alexander Simkin from Clarendon was an inspired choice, given that his previous experience as an analyst was in software rather than services. He is already impressing with his thorough, research-driven approach to analysis.
Alexander's recruitment should help Ovum sharpen the intellectual rigour of its research, something that Eamonn is keen to do. In a world where some analyst firms are blurring the lines between analysis and journalism, Eamonn recognises that high quality analysis will help Ovum stand out in the future and add real value to its clients.
Eamonn also has global ambitions. As well as the five analysts in Europe (Ian Brown, Samad Masood and John O’Brien are the others), his team now includes John Madden who has responsibility for North America while Jens Butler was hired back in November specifically to look after Asia-Pacific.
Starting to position Ovum as a worldwide IT services analyst firm makes sense. If the old cliché of 'get big, get niche or get out' holds true for the analyst market, then this is the only route available to the company.
Datamonitor, which owns Ovum, is ambitious. It won’t be content for Ovum to remain a niche UK and EMEA specialist. There is a much bigger IT services market out there and Eamonn wants his team to reflect this.
It doesn’t mean that Ovum will stop covering the UK market - but we expect growth outside of the UK to remain a priority for Eamonn.
Then there's Orbys. Purchased by Ovum several years ago, this advisory firm works with firms looking to procure IT outsourcing services. It could give Ovum a real competitive edge over most of its rivals. Apart from Gartner, how many analyst firms are there covering the IT services market that can bring together qualitative research (Ovum), quantitative research (Datamonitor) and the first hand experience of working with buyers (Orbys)? The resulting research and analysis could really sing.
We think that David and Eamonn have made a good start to re-establishing Ovum as a tier 1 player in the IT services market. High quality, fact-based research and analysis are sometimes hard to find in this sector (which is surprising given the number of players out there). It looks like this is what Ovum wants to deliver so we wish Eamonn well in his efforts.
Hopefully, John Leigh – the newly appointed research and analysis director – will support Eamonn as he continues on the journey. Great progress has been made so far - but Eamonn is the first to say that there's plenty of work still to be done.
The IT services team looks stronger than it has done for the past few years. Luring Eamonn back from NelsonHall was a real coup for Ovum. He's a world-class analyst.
With David Mitchell's support and encouragement, Eamonn has been busy since his return, building out the team, strengthening the skill base and expanding its geographic coverage.
Hiring Alexander Simkin from Clarendon was an inspired choice, given that his previous experience as an analyst was in software rather than services. He is already impressing with his thorough, research-driven approach to analysis.
Alexander's recruitment should help Ovum sharpen the intellectual rigour of its research, something that Eamonn is keen to do. In a world where some analyst firms are blurring the lines between analysis and journalism, Eamonn recognises that high quality analysis will help Ovum stand out in the future and add real value to its clients.
Eamonn also has global ambitions. As well as the five analysts in Europe (Ian Brown, Samad Masood and John O’Brien are the others), his team now includes John Madden who has responsibility for North America while Jens Butler was hired back in November specifically to look after Asia-Pacific.
Starting to position Ovum as a worldwide IT services analyst firm makes sense. If the old cliché of 'get big, get niche or get out' holds true for the analyst market, then this is the only route available to the company.
Datamonitor, which owns Ovum, is ambitious. It won’t be content for Ovum to remain a niche UK and EMEA specialist. There is a much bigger IT services market out there and Eamonn wants his team to reflect this.
It doesn’t mean that Ovum will stop covering the UK market - but we expect growth outside of the UK to remain a priority for Eamonn.
Then there's Orbys. Purchased by Ovum several years ago, this advisory firm works with firms looking to procure IT outsourcing services. It could give Ovum a real competitive edge over most of its rivals. Apart from Gartner, how many analyst firms are there covering the IT services market that can bring together qualitative research (Ovum), quantitative research (Datamonitor) and the first hand experience of working with buyers (Orbys)? The resulting research and analysis could really sing.
We think that David and Eamonn have made a good start to re-establishing Ovum as a tier 1 player in the IT services market. High quality, fact-based research and analysis are sometimes hard to find in this sector (which is surprising given the number of players out there). It looks like this is what Ovum wants to deliver so we wish Eamonn well in his efforts.
Hopefully, John Leigh – the newly appointed research and analysis director – will support Eamonn as he continues on the journey. Great progress has been made so far - but Eamonn is the first to say that there's plenty of work still to be done.
Friday, September 26, 2008
A tale of two analyst firms
I was delighted to hear the other day that CCS Insight continues to expand. It's launching a new consulting division, headed up by Thomas Reuner; hiring two new researchers in the core research business; and opening up a new office in Slough.
CCS Insight's decision to bring in Thomas to run the consulting business is consistent with the way the company has grown over the past two years. Bring in experienced individuals with good reputations who can hit the ground running and deliver value from day one. Thomas certainly fits that mould, as a former strategic consulting partner with IDC as well as stints with Gartner, NelsonHall and KPMG Consulting.
The Yankee Group layoffs were made the same week that Ben and I spoke. It's an interesting contrast. Both firms play in the same market, yet one is experiencing tremendous growth while the other is having to cut back costs drastically.
I've always wondered about Yankee's 'Anywhere' model. It struck me as another example of an analyst firm looking to create a differentiator and then trying to force its views on to the market.
I’m sure Yankee has also suffered from the increased competition in the analyst market. CCS Insight is just one of the smaller firms that have popped up in recent years. Staffed by senior-level, experienced analysts, these boutiques are hungry. They are able to provide a high-quality of service at a competitive price. The boutiques may not be able to provide the same breadth of coverage as Gartner or IDC but they can often compete very effectively in a particular niche or market sector.
Mind, the boutiques aren't having it all their own way. Some of the mid-sized firms are hitting back. Yankee might be shrinking but look at Analysys Mason. Since bringing in Tony Lavender from Ovum a couple of years ago, the company has transformed itself and is now reinforcing its position as a major player in the telecoms market.
No-one knows how the market will play out in the next few months or years. There will certainly be more victims as the economy continues its downward trend and some big, well-established names are likely to disappear. At the same time, we can hope that the boutiques will thrive – at least the good ones which are delivering what customers want.
CCS Insight's decision to bring in Thomas to run the consulting business is consistent with the way the company has grown over the past two years. Bring in experienced individuals with good reputations who can hit the ground running and deliver value from day one. Thomas certainly fits that mould, as a former strategic consulting partner with IDC as well as stints with Gartner, NelsonHall and KPMG Consulting.
The Yankee Group layoffs were made the same week that Ben and I spoke. It's an interesting contrast. Both firms play in the same market, yet one is experiencing tremendous growth while the other is having to cut back costs drastically.
I've always wondered about Yankee's 'Anywhere' model. It struck me as another example of an analyst firm looking to create a differentiator and then trying to force its views on to the market.
I’m sure Yankee has also suffered from the increased competition in the analyst market. CCS Insight is just one of the smaller firms that have popped up in recent years. Staffed by senior-level, experienced analysts, these boutiques are hungry. They are able to provide a high-quality of service at a competitive price. The boutiques may not be able to provide the same breadth of coverage as Gartner or IDC but they can often compete very effectively in a particular niche or market sector.
Mind, the boutiques aren't having it all their own way. Some of the mid-sized firms are hitting back. Yankee might be shrinking but look at Analysys Mason. Since bringing in Tony Lavender from Ovum a couple of years ago, the company has transformed itself and is now reinforcing its position as a major player in the telecoms market.
No-one knows how the market will play out in the next few months or years. There will certainly be more victims as the economy continues its downward trend and some big, well-established names are likely to disappear. At the same time, we can hope that the boutiques will thrive – at least the good ones which are delivering what customers want.
Friday, July 18, 2008
Gartner and happy folk
I'm starting my day with a smile.
Sometimes I just read a blog post and go "yeah, I know how that feels!"
Read what Jesse Freund of Sun had to say about Gartner:
http://blogs.sun.com/analyzethis/entry/gartner_vendor_rating_and_software
I'm nothing to do with Sun (never have been) but I know how it feels when it all comes together.
It feels great!
Sometimes I just read a blog post and go "yeah, I know how that feels!"
Read what Jesse Freund of Sun had to say about Gartner:
http://blogs.sun.com/analyzethis/entry/gartner_vendor_rating_and_software
I'm nothing to do with Sun (never have been) but I know how it feels when it all comes together.
It feels great!
Friday, July 11, 2008
Matt Hatton joins Analysys Mason
Matt Hatton has joined Analysys Mason as a principal analyst covering the wireless and mobile area.
Matt is probably best known for his work at Yankee Group, where he covered the consumer wireless/mobile market. He left there last summer to join 3UK in a market intelligence role.
Nice to have you back Matt. And a good hire by Tony Lavender, who runs Analysys Mason's research business.
Matt is probably best known for his work at Yankee Group, where he covered the consumer wireless/mobile market. He left there last summer to join 3UK in a market intelligence role.
Nice to have you back Matt. And a good hire by Tony Lavender, who runs Analysys Mason's research business.
Rob Enderle: Gartner Goofs on Server Numbers
Just read an interesting article by Rob Enderle that starts off telling how Gartner has had to restate some market share numbers before moving on to a closer look at the whole 'numbers' process.
Hat tip to Ludovic for pointing this out (via Twitter - yes, I'm starting to see the point...)
Hat tip to Ludovic for pointing this out (via Twitter - yes, I'm starting to see the point...)
Tuesday, July 01, 2008
Updated / IDC can take over 24 hours to moderate comments on blog
I just noticed the comments policy on IDC's blog, 'eXchange'.
"Submitted comments are moderated; some comments may not appear. Posting may take longer than 24 hours. Please check back."
Longer than 24 hours? Wow, they must have a lot of comments to go through.
So, I checked. Nope. There's been a handful this year - and most are trackbacks.
Credit to Frank Gens though. When someone has left a question, he's answered it.
-----------
Update: Read the comments on this post - IDC has changed its policy and its process (and to be fair, it was already in progress and not as a result of this post!)
"Submitted comments are moderated; some comments may not appear. Posting may take longer than 24 hours. Please check back."
Longer than 24 hours? Wow, they must have a lot of comments to go through.
So, I checked. Nope. There's been a handful this year - and most are trackbacks.
Credit to Frank Gens though. When someone has left a question, he's answered it.
-----------
Update: Read the comments on this post - IDC has changed its policy and its process (and to be fair, it was already in progress and not as a result of this post!)
Monday, June 30, 2008
New analyst covering 'sustainability' at Quocirca
Quocirca has taken on an analyst covering the 'Sustainability' market.
Simon Perry, who started earlier this month as a principal associate analyst, will be covering green issues.
In addition, Clive Longbottom, an owner of the company and service director for Business Processes Facilitation, explained that Simon will also be looking at "more advanced matters around the impact of sustainability on businesses - whether looking at cost-effective sustainability (for example, saving electricity through consolidation and virtualisation), investment sustainability (longer-term pay back that may not be seen on the bottom line for an extended period of time), mandated sustainability (as in Australia and India, where the governments have passed laws to force organisations to be more sustainable), or ethical sustainability (where it is purely a choice by the organisation involved)."
You can find out more about Simon by reading his biog.
Simon Perry, who started earlier this month as a principal associate analyst, will be covering green issues.
In addition, Clive Longbottom, an owner of the company and service director for Business Processes Facilitation, explained that Simon will also be looking at "more advanced matters around the impact of sustainability on businesses - whether looking at cost-effective sustainability (for example, saving electricity through consolidation and virtualisation), investment sustainability (longer-term pay back that may not be seen on the bottom line for an extended period of time), mandated sustainability (as in Australia and India, where the governments have passed laws to force organisations to be more sustainable), or ethical sustainability (where it is purely a choice by the organisation involved)."
You can find out more about Simon by reading his biog.
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