Welcome!

@CloudExpo Authors: Pat Romanski, Zakia Bouachraoui, Yeshim Deniz, Elizabeth White, Liz McMillan

Related Topics: @CloudExpo

@CloudExpo: Blog Feed Post

Top Five Pitfalls to Avoid When Selling the Cloud

Amazon has dropped the price of their Cloud services more than 19 times in the last 5 years


As the organizations involved in traditional sales of shrink-wrapped software enter the Cloud business, they face a challenge dealing with the new paradigm. While the best practices of selling do not change much, they need to get comfortable pitching, positioning and selling the new ‘anything as a service’ model. Based on my experience, I am going to touch upon some of the pitfalls that can be avoided in closing a sale. These are not only important for the sales teams of Cloud service providers but anyone who is a part of the Cloud ecosystem.



1. Lack of grip on the pricing models – Traditional software release cycles are long and the price will not change for a long time. Once the sales team understands the SKU, price points and the licensing options, they will be able to confidently position the product to a diverse set of customers. Enter the Cloud and they have to deal with a price point that only drops once every few months and sometimes just in a few weeks! Amazon has dropped the price of their Cloud services more than 19 times in the last 5 years and the competition follows the suit. Knowing the latest pricing of various services including storage, compute and bandwidth is critical for the Cloud sales rep. He should be able to quickly identify the paid vs. free components of a solution that’s being considered and come out with a ballpark cost estimate that closely reflects the monthly bill of the customer. For example, AWS offers a free tier, which doesn’t charge the customer up to a specific threshold during the first year. Discounting those components from the estimate will show a significant cost benefit to the customer. Knowing what is free and what is charged is important for the sales team to accelerate the sale.

2. Inability to position the right solution stack – Though this is often differed to a presales specialist or a solution architect, every sales rep should be able to articulate the value of Cloud and do an elevator pitch of each service in the stack. Anyone who is in a customer facing role involved in selling the Cloud should be able to connect the dots and pitch a high level solution. Most of the sales reps harp on the CAPEX factor. But the fact is that the customer never considers the Cloud only for the cost advantage. Articulating the core value of Cloud in terms of the ability to automate, shorter mean times between failures and elasticity is absolutely critical to win the customer confidence. Knowing the complete stack that is rapidly evolving is a big challenge for the sales teams.

Read the complete article at CloudStory.in

Read the original blog entry...

More Stories By Janakiram MSV

Janakiram MSV heads the Cloud Infrastructure Services at Aditi Technologies. He was the founder and CTO of Get Cloud Ready Consulting, a niche Cloud Migration and Cloud Operations firm that recently got acquired by Aditi Technologies. In his current role, he leads a highly talented engineering team that focuses on migrating and managing applications deployed on Amazon Web Services and Microsoft Windows Azure Infrastructure Services.
Janakiram is an industry analyst with deep understanding of Cloud services. Through his speaking, writing and analysis, he helps businesses take advantage of the emerging technologies. He leverages his experience of engaging with the industry in developing informative and practical research, analysis and authoritative content to inform, influence and guide decision makers. He analyzes market trends, new products / features, announcements, industry happenings and the impact of executive transitions.
Janakiram is one of the first few Microsoft Certified Professionals on Windows Azure in India. Demystifying The Cloud, an eBook authored by Janakiram is downloaded more than 100,000 times within the first few months. He is the Chief Editor of a popular portal on Cloud called www.CloudStory.in that covers the latest trends in Cloud Computing. Janakiram is an analyst with the GigaOM Pro analyst network where he analyzes the Cloud Services landscape. He is a guest faculty at the International Institute of Information Technology, Hyderabad (IIIT-H) where he teaches Big Data and Cloud Computing to students enrolled for the Masters course. As a passionate speaker, he has chaired the Cloud Computing track at premier events in India.
He has been the keynote speaker at many premier conferences, and his seminars are attended by thousands of architects, developers and IT professionals. His sessions are rated among the best in every conference he participates.
Janakiram has worked at the world-class product companies including Microsoft Corporation, Amazon Web Services and Alcatel-Lucent. Joining as the first employee of Amazon Web Services in India, he was the AWS Technology Evangelist. Prior to that, Janakiram spent 10 years at Microsoft Corporation where he was involved in selling, marketing and evangelizing the Microsoft Application Platform and Tools.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


CloudEXPO Stories
Big Data Federation, Inc. develops and applies artificial intelligence to predict financial and economic events that matter. The company uncovers patterns and precise drivers of performance and outcomes with the aid of machine-learning algorithms, big data, and fundamental analysis. Their products are deployed by some of the world's largest financial institutions.
DevOpsSUMMIT at CloudEXPO will expand the DevOps community, enable a wide sharing of knowledge, and educate delegates and technology providers alike. Recent research has shown that DevOps dramatically reduces development time, the amount of enterprise IT professionals put out fires, and support time generally. Time spent on infrastructure development is significantly increased, and DevOps practitioners report more software releases and higher quality. Sponsors of DevOpsSUMMIT at CloudEXPO will benefit from unmatched branding, profile building and lead generation opportunities.
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settlement products to hedge funds and investment banks. After, he co-founded a revenue cycle management company where he learned about Bitcoin and eventually Ethereal. Andrew's role at ConsenSys Enterprise is a multi-faceted approach of strategy and enterprise business development. Andrew graduated from Loyola University in Maryland and University of Auckland with degrees in economics and international finance.
FinTech Is Now Part of the CloudEXPO New York Program. Financial enterprises in New York City, London, Singapore, and other world financial capitals are embracing a new generation of smart, automated FinTech that eliminates many cumbersome, slow, and expensive intermediate processes from their businesses. Accordingly, attendees at the upcoming 22nd CloudEXPO | DXWorldEXPO November 12-13, 2018 in New York City will find fresh new content in two new tracks called: FinTechEXPO New York Blockchain Event which will incorporate FinTech and Blockchain, as well as machine learning, artificial intelligence and deep learning in these two distinct tracks. FinTech brings efficiency as well as the ability to deliver new services and a much improved customer experience throughout the global financial services industry. FinTech is a natural fit with cloud computing, as new services are quickly develope...
David Friend is the co-founder and CEO of Wasabi, the hot cloud storage company that delivers fast, low-cost, and reliable cloud storage. Prior to Wasabi, David co-founded Carbonite, one of the world's leading cloud backup companies. A successful tech entrepreneur for more than 30 years, David got his start at ARP Instruments, a manufacturer of synthesizers for rock bands, where he worked with leading musicians of the day like Stevie Wonder, Pete Townsend of The Who, and Led Zeppelin. David has also co-founded five other companies including Computer Pictures Corporation - an early player in computer graphics, Pilot Software - a company that pioneered multidimensional databases for crunching large amounts of customer data for major retail companies, Faxnet - which became the world's largest provider of fax-to-email services, as well as Sonexis - a VoIP conferencing company.