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Sales and

Process of

A Report by
Sachin R
Marketing LMN

EMC sold 15% of the company in a New York Stock Exchange IPO. In practice. are bare-metal hypervisors that run directly on server hardware without requiring an additional underlying operating system. and claims to be the first to commercially successfully virtualize the x86 architecture. In 2004 it was acquired by and became a subsidiary of EMC Corporation. Each of these transitions is completely transparent to any users on the virtual machine at the time it is being migrated.About the Company VMware. and parallel devices. a system administrator can pause operations on a virtual machine guest. The host provides pass-through drivers for guest USB. . and there resume execution exactly at the point of suspension. VMware is based in Palo Alto. separate storage can be used. Inc. serial. VMware ESX and VMware ESXi. 2007. Linux. VMware Workspace Suite gives you the utmost flexibility to provide the right technology for the right use case. for enterprise servers. with vMotion Storage. In this way. a network adapter. and the right employees. move or copy that guest to another physical computer. a feature called vMotion allows the migration of operational guest virtual machines between similar but separate hardware hosts sharing the same storage (or. VMware software provides a completely virtualized set of hardware to the guest operating system. because every host looks nearly identical to the guest. Product in Discussion The product considered for the discussion is VMware Workspace Suite. and hard disk adapters. and Mac OS X. Founded in 1998. too). VMware Workspace Suite allows you to build your own workspace based on the individual requirements of your organization. VMware's desktop software runs on Microsoft Windows. California. while its enterprise software hypervisors for servers. VMware virtual machines become highly portable between computers. Alternatively. VMware software virtualizes the hardware for a video adapter. then on August 14. The company trades under the symbol VMW. is an American company that provides cloud and virtualization software and services.

Prospecting and Qualifying: VMware’s way of doing that is by the event vForum. But in majority of the cases. Desktop Managers. It is designed especially for Infrastructure and Data Center Managers. The companies who had attended the event will be segmented according to industries and their needs. and trends in the field. Administrators and Developers. The Product Launch of their latest technologies is presented in this event. This involves identifying and establishing a relationship with the target customers. tips. Application Managers. IT Directors and Managers. After every year’s event. The agenda of each year’s vForum would be different and is shaped by the technological advancements in the industry as well as within the company.Sales Process PRESALES Presales is a process or a set of activities normally carried out before a customer is acquired. VMware vForum is a free one-day event that offers a unique setting for IT professionals to engage with experts and learn about the latest technologies. IT Directors and Managers and IT Operation Directors and Managers. the customer database is updated. . vForum is the starting point of the Presales cycle at VMware as this event marks the entry of new potential partners as well as reinforces the relationship with the existing customers. the prospect client will send an RFI asking for the basic information about the product. All the companies attended are followed up by making calls with the intention of setting up a business proposal meet using an appropriate opening statement. Virtual Server Administrators Systems Administrators.

even after knowing about the testimonials which were given by reputed companies.Proposal and Presentation: The clients interested in the product will then send a RFP. This is a part of the Experiential Marketing which VMware does and helps in grasping the confidence of the client by demonstrating how easy the product is to use and also conveying the solidity of their claims. the sale is closed by penning down a contract agreed by both the parties. Once this is done. A review of the Pilot with the client is done after the Knowledge Transfer by the employees from the client side who attended the training session or experienced the pilot. It is at this point of time. Once the appointments are confirmed. It is then that the sales person pitches in the value proposition of the product and makes sure that the pitch is constantly being linked to the vForum event. But the pilot must impress the customer so that he agrees for a contractual closure. it is the sales person’s responsibility to see that the installation has been done in quite a strategic way. for better understanding. the sales person goes to the concerned point of contact at the Client side. Here the customer’s experience is heard by VMware and any customizations too be done is duly noted. Here the specific needs of the customer is understood and what is the implications of the scenario. and promising to eliminate the customer pain points. The proposal can either be sent in a document or the proposal can be made by fixing an appointment. The will be the RFQ document. Negotiation. The possibility of the value proposition being refined and customized as per the requirements of the client will be discussed along the way. Final Quote and Closing The Sale: Based on the customer’s requirements the final proposal of the product is given with an initial quote with the detailed breakup. Before this. The Pilot/Trail Period: The client may still be not completely convinced with the product. . When the customer agrees to install the pilot. The installation must not feature all the features of the product but only the most basic ones. it is even trickier. the sales person of VMware offers a Pilot period by actual implementation of the product within the company system. This quote is then moved to the financial head of the client so that they sanction the financial terms. the salesman also will offer free training for a select number of employees with respect to the functioning of the product. eliminating any perceived risks from the client side. It is often a very critical area to handle as the features that on show in the pilot can make or break the deal and since there is a considerable amount of cost incurred by the company without a sure shot promise on revenue.

As we often say. requiring a cohesive solutions strategy. Marketing Process VMware focused on virtualization and cloud computing. however. As one marketer put it. but none of them by themselves offered the cross-functional. Moving to this new way of going-to-market wouldn’t be easy. The reason for this approach can be traced back to its historic roots — it started out as a single-product company. not just marketing. high level business solutions that many of VMware’s customers were really looking for. The breadth of offerings and lack of focus results in highly diffused messages to a lot of different constituents. The problem that this traditional strategy created for marketing. Through new technology developments. especially technology-based companies.POST CLOSURE FOLLOW UP The salesperson from VM ware needs to constantly follow up with the client and monitor the performance of the product. the portfolio was comprised of 60+ separate products that were sold separately. the company quickly expanded its portfolio with no shift in its go-to-market or sales strategy. solutions-oriented approach. have encountered. It is also the responsibility of the salesperson to provide any assistance to the client. This was a transformation for the company.” A 4-Step Approach to Solutions Marketing Transformation Recently. This is a very important phase of the sales cycle as this phase decides if the client is going to stick with VMware or not. ‘a thousand lights blind everyone’. The company broke it down into four major steps: . was that they were expected to support and promote all the products equally. plus a succession of acquisitions. and then incenting the sales force to go out and sell licenses for all of them. however. The business model was to develop and sell software packages. These packages were created and sold as products — traditional product development processes were applied. recently faced a classic dilemma that many companies. In effect. VMware was doing what many software companies have always done — focused on developing a broad portfolio of differentiated products. “It’s hard to be relevant to customers in new markets with this model. the company decided to take a more strategic. and the marketing programs and messages were designed to support each of the product categories independently.

Not only were they expected to be skilled at solutions marketing. sales enablement. One key step was to create a solutions marketing group that would have a different set of objectives and activities to focus on. Analysis then went into understanding how they operated. In one of their solution areas. provided 3 distinct capabilities: Virtualization of Business Critical Application. the organization was charged to take a new perspective — the customer perspective vs. and recast as the leading solutions sets. especially at a business issue level. a product perspective. In order to make significant changes in how VMware would go to market. . they decided that they were actually providing software and related services that. Step #3: Map the solutions offerings to the executives who are most concerned and responsible to address the business issues that VMware can impact. sales enablement and the regional field. Without the support and inclusion of product marketing. and who/what influenced them. and regional field teams. they were able to identify which products could and should be better integrated with other services and products. Once the marketing team was satisfied that the restructured suite of solutions were better focused on a higher level of pain points. Step #2: Create real solution sets out of discrete products and services In November 2010. as well as all the functional teams within corporate marketing in the solutions prioritization and go-to-market activities. when integrated together. the solutions go-to-market strategy would have been stopped in its tracks. By having cross-organizational collaboration as part of their objectives. They needed to include product marketing. By gaining a deeper understanding of the customers’ real pain points. there needed to be alignment around what they would do and how it would be done. They staffed the solutions marketing team with new hires that did not have specific product responsibility — the way the company has traditionally organized — in order to bring a fresh. Infrastructure & Operations Management. the next step was to determine who within their customer organizations were accountable for resolving these issues.Step #1: Ensure organizational alignment across Sales and Marketing. higher level set of contacts at the C and VP levels. for example. but they were also expected to be able to work fluidly and seamlessly across the organizational boundaries. cross-portfolio perspective. they were able to ensure that all of the key internal stakeholders used the same solutions taxonomy and were aligned in launching the new solutions and themes. This was a major step in how VMware could reorganize and combine its technology and human assets to better address broader and more critical customer issues. and an Enterprise Hybrid Cloud. their sources of information. This led them to a newer.

awareness. (b) better coordination between the marketing groups in all aspects of the marketing funnel. the organization became much more unified and focused on the same go-to-market priorities. It’s good to see that VMware “gets it” when it comes to solutions. The last key element of the go-to-market strategy that was affected by the emphasis on solutions was enabling both the direct and indirect sales forces. In essence. In February of this year. and (c) closer alignment between sales enablement and the marketing teams. by thinking in terms of broader-based solutions sets. global campaigns and partner marketing. . VMware then put together the go-to-market plan. They also developed the content and tools that were needed for the sales force to be comfortable in discussing the new business themes and challenges that the company’s solutions sets can address. This consisted of 4 main elements:     Own thought leadership on the key solutions issues Develop theme-based marketing messages Create demand through a rebalancing of push and pull marketing strategies Enable the channel — including direct sales — to move to a solutions selling approach In order to create an effective go-to-market strategy and successfully implement the 4 main elements. This shift to solutions forced them to pay more attention to creating an integrated solutions program with (a) much better collaboration across the various product and solutions marketing groups. the organization had to make major changes in how they operated. VMware conducted solutions selling training across its entire sales force. including thought leadership.Step #4: Create and Implement the Go-To-Market strategy. Having re-defined the solutions offerings and identified the target audiences. Moving from a product focus to a solutions focus was exactly the right thing to do — and they’ve done it the right way.