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Tim Freestone Four reasons CIOs don’t switch (but a big reason why they do)

January 11th, 2010 - Posted by Tim Freestone

newmarketstmrYou can run down the list of enhancements and show that your solution could beat the competition head-to-head. And, it’s cheaper – a lot cheaper. It goes on and on. You’re talking to a prospective client and keep hitting a roadblock: he doesn’t want to switch from what he has now. In the IT sales and marketing space, this could be the most difficult challenge you’ll face.

There are countless reasons why CIOs and IT directors tend to stick with what they know. Below, you’ll find a few, but I’m sure you’ll come up with a few more before you get to the end of this article. What’s important, though, is the one reason that CIOs and IT directors will change from one system to another. Hit this mark, and you’ll find it easier to meet your clients’ needs.

1. Not a matter of cost
It’s tempting to think that everything has a price, especially in a world of constrained IT budgets. But, merely beating the incumbent on cost isn’t enough. Remember that you may be pitching the person who chose the existing solution … which can feel like a judgment. Also, you’re trying to overcome an existing relationship, which may be quite positive. IT decision-makers invest in solutions to their problems; they don’t browse the discount racks.

2. Integrated solutions make life easy
If you are proposing a change for one portion of the architecture, you’ll have to convince the decision-maker that undertaking a possibly extensive systems integration project is worth the effort. We all know that’s a tough sell. When faced with this challenge, we all know that saying “no” is all too easy.

3. New skills = new costs
Switching from a known solution – even if it is known to be suboptimal – entails training. When a new system is introduced into the data center, there’s always a period during which skills lag the collection of possible problems. Even when the learning curve isn’t steep, it still exists … and this translates to risk.

4. Change is inherently disruptive
Upgrades are easier than data conversions, migrations and implementations. Thus, even if you’re selling on price, the cost to switch – when all the hidden costs are included – may be higher than the non-discounted norm. And, this is exacerbated by the burden on your client’s team, from higher workloads to the anxiety of leaving their comfort zones.

So, why bother? It seems like getting a client to switch solutions is more a matter of luck than anything else. Well, while the situation does seem grim, the solution is actually rather simple. To get a client to switch, all you have to do is offer something he needs but doesn’t have.

It sounds so simple, so easy … and it is. IT manufacturers and resellers should have a keen understanding of what their clients need, how their competitors address them and what they can do to differentiate themselves in a way that will resonate with decision-makers. Look for the weak spots in competing solutions, and exploit them. Often, you can help your clients by highlighting something a competitor didn’t think was important.

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