This continues my periodic series of things sales folks say during pitches.
Earlier ones are
here , here
and here.
a) "R&D spend is not correlated to innovation"
"There are a number of studies which show that innovation is not tied to
how much you spend on R&D" is a objection handler when salespeople are
asked why only 5 -10-15% of revenues go towards R&D. True enough, but here
is something which is even more guaranteed. No - zip - product innovation ever
comes out of the 50+% that many tech vendors spend on sales, marketing and
administration. So, try reversing the proportion between R&D and SG&A.
b) "Go ahead save some money now. You will need it during the
lawsuit."
Implication that going with a lower priced competitor is inherently risky.
Well, let's see - Southwest Airlines has consistently been a low cost
competitor. And in 30+ years of its history has the best safety record of all
major US airlines. There are outages every day at Oracle and EDS customers - it's just
if a SaaS vendor has an outage it is more publicized. Most buyers do additional
due diligence when they go with a lower cost vendor. Most come to the
conclusion that incremental risk (if any) is worth the savings.
"Blawging"
If there is no money is blogging, what are all these lawyers doing? Must be the conference and training revenue :-) Courtesy of Zoli.
Nick Carr lists several legal issues specific to employee blogging and also points to an article on blogging and IP issues. Here is another nice list of blogging considerations from another attorney.
March 30, 2006 in Industry Commentary | Permalink | Comments (1) | TrackBack (3)