2017 North American Inbound Contact Center Routing Systems Market Leadership Award

Transcription

1 2017 North American Inbound Contact Center Routing Systems Market Leadership Award

2 Contents Background and Company Performance... 3 Industry Challenges... 3 Conclusion... 7 Significance of Market Leadership... 8 Understanding Market Leadership... 8 Key Performance Criteria... 9 Best Practices Recognition: 10 Steps to Researching, Identifying, and Recognizing Best Practices...10 The Intersection between 360-Degree Research and Best Practices Awards...11 Research Methodology...11 About Frost & Sullivan...11 Frost & Sullivan We Accelerate Growth

3 Background and Company Performance Industry Challenges The rich history of customer contact is firmly rooted in the core systems that are the bread and butter of early contact centers; inbound contact routing (ICR) or automatic call distribution (ACD), interactive voice response (IVR) and outbound dialers. As the needs of customer contact and the customer changed a bevy of new channels, including mobile and social were added, making the contact center landscape quite complex. A large part of this complexity is how to marry these channels to provide seamless customer journeys, eliminating the breakpoints between systems and data silos. Additional challenges that influence development plans are the need to address homebased agents, the integration of advanced applications for performance management and customer interaction, and complementary applications, such as customer relationship management (CRM). Cultural changes also affected contact center development. In particular, as Baby Boomers, whose entrepreneurship and influence created the industry, moved onto other pursuits or retirement, they were replaced by Millennials and younger generations, who were brought up using technology. Their needs as workers and consumers greatly affected both customer service and the contact center in myriad ways. New channels of interaction, the need for faster resolution time, the desire for more self-service options, and ability to collaborate and share with others, are just some of the resulting drivers of change contact center system providers have had to handle. Broader technology trends also introduced additional hurdles. The move to the cloud across technology sectors has had a huge effect on system providers, forcing them to continually transform product stacks to remain relevant. Finally, the drive to provide global customer support, and handle issues of privacy and security, also are important factors systems providers have had to address. Market Leadership of Avaya Avaya has held a market leadership position in inbound contact routing for years, because of its legacy of innovation and focus on customer needs. This leadership position is can be attributed to many factors including the following. Brand Strength Avaya s long history of innovation within the communications and contact center space, along with an impressively large installed base has firmly cemented Avaya as one of the most well-known brands in the industry. The company s roots go back more than a century, providing it with a wealth of industry knowledge and expertise, and allowing it to weather the storms of change the contact center industry has gone through. The company has been at the forefront of these changes, helping to develop broad trends in customer Frost & Sullivan We Accelerate Growth

4 contact. Among these are the addition of new interaction channels, the focus on improving the Customer Experience, handling the emerging needs of a changing consumer and worker landscape, and satisfying the ever present need organizations have to cut costs and optimize performance. Besides experience, one of the strengths of the brand has always been its depth of product portfolio. This has been one of Avaya s key strengths in addressing the needs of a broad range of company sizes and industries, and in playing in a competitive market that ranges from contact center players focused on SMBs to large enterprises to multinationals, and those selling both system and cloud solutions. To ensure this success continues, earlier this year the company decided to double down on marketing in order to further extend and refresh brand awareness through the use of executive interviews, videos, articles, executive briefing center days, and other outreach, and success is realized by an increase in new customer logos and upgrades. Customer Purchase Experience Avaya customers rest easy in the knowledge that the company provides a complete suite of integrated capabilities, fine-tuned through decades of development and testing. The portfolio of Avaya Aura solutions is one of the most feature-rich in the industry, with applications spanning customer contact from ACD, IVR and outbound solutions to mobile, social and more, enriched with advanced analytics, centralized management and reporting. In 2016, the company further strengthened its portfolio with the addition of Avaya Breeze, Avaya Oceana, Avaya Oceanalytics, and Avaya Oceana Workspaces, as follows: Avaya Breeze is a communications, application development and workflow platform that is designed to allow developers and non-technical staff to create workflows that connect customers to the best resources and data to assist them, and to streamline business processes within an organization. Breeze was designed for ease-of-use, making extensive use of pre-programmed tools and snap-ins of the most commonly used business processes. Disseminating information to a work group, sending out alerts and notifications, monitoring calls for compliance, managing communication preferences for customers are just some examples of the types of modular components that can be used to quickly design workflows using Breeze. Avaya Oceana, next generation omnichannel solution, is context-driven, fully integrated and customizable through the open, easy to use Avaya Breeze platform. It provides simple drag and drop visual workflow capabilities to create and manage customer journeys across any touch-point including phone, tablets, desktop, kiosks, the Web, and others, while providing consistent user experiences across all of them. Avaya Oceana preserves rich context from all touch-points, and uses this Frost & Sullivan We Accelerate Growth

5 data to personalize customer journeys at each point in the customer journey. The solution also uses attribute-based matching to manage customer interactions, and defines business rules by priority, segment, and behavior to pair customers to the right agents and resources. Avaya Oceanalytics, included in Avaya Oceana, is a feature-rich analytics solution with advanced analytics and reporting capabilities. Avaya Oceanalytics provides customer journey mapping with context across all touch-points. It also allows for the collection of data across Avaya and non-avaya systems both within the contact center and across the enterprise historically or in real-time, and can be used to provide rich visualization on Oceana Workspaces or feed into existing visualization tools such as Oracle, MicroStrategy, SAP and others. Avaya Oceana Workspaces is an intuitive, user-friendly desktop for agents, supervisors and other contact center experts. It provides a cumulative view of customer journeys across all touch-points, including Avaya and non-avaya systems. Customers can make use of Avaya Breeze to create their own workflows or take advantage of resources such as Avaya Professional Services, or a partner offer. The breadth of its portfolio along with premise, cloud, hybrid and managed service offerings also is particularly attractive to customers as it affords them the flexibility to work with budgets and infrastructure needs as required. Customer Ownership Experience New product additions, such as those above, which focus on ease-of-use, business outcomes, and improving employee and customer experience, are part of a regular cadence of development Avaya customers have come to expect over time. In an age where businesses are defining their competitive advantage in terms of customer service and experience, having a provider to partner with that understands the concepts of omnichannel customer journeys and digitally transformative experiences, and can provide the tools to achieve them is critical to success. What is interesting to note is one of the early-days marketing mantras of cloud-only contact center providers was the claim that cloud providers offer customers all-in-one solution suites, built from the ground up to support customer contact. But every organization starts at a different part of the journey, not necessarily willing to rip and replace their infrastructure to start over. Avaya, with its immense installed base of premise-based customers, has had a long history of helping customers move along the evolutionary curve from call center, to multichannel and then omnichannel customer care and offers flexible deployment models - on-premises, cloud, and hybrid - providing organizations a choice. Frost & Sullivan We Accelerate Growth

6 This is a core component in why Avaya has been in a leadership position for years. As the call center went through this evolution, Avaya has acted as a trusted partner to its growing installed base, by being attuned to the needs of customers and consumers alike, no matter where they are in the journey from point solutions to digital transformation. Technology Leverage Integration of disparate applications is a critical success factor for companies achieving omnichannel excellence. Avaya assists customers, during any part of this transformation by providing the building blocks they need to get there. This includes a single data repository that captures and stores all data across disparate systems and applications both inside and outside the contact center (including back-office software such as CRM and marketing automation tools); a single agent desktop; centralized management and reporting tools; and web services that make it easy to link new technologies as they are added to a customers contact center and business environment. Furthermore, in keeping with the demands of a changing consumer base that favors selfservice over live assistance, Avaya provides customers with the tools for omnichannel routing, using a universal routing engine, and data-driven resource matching, that pairs customers with the right resources at the point of need, balancing digital channels and the most appropriate live assistance. To achieve outcomes like this, Avaya also draws from its broad portfolio of partner solutions. For instance, its recent strategic partnership with Salesforce broadens the capabilities for creating unique customer experiences through an Avaya-developed connector specifically for Salesforce integration. Implementation Excellence Avaya has a solid set of professional services and consulting to assist customers from presales to implementation. Avaya Professional Services (APS) provides tools, expertise, and resources to assist customers, no matter what size of project they have, from installation of new systems or applications, integration of Avaya or partner offerings, or in the upgrade or replacement of new or existing communications solutions. Customer can chose one service, or an entire suite of services, based on their needs and technical expertise. APS also is a global service offering, with many services delivered remotely or on-site if required. Avaya also has Contact Center consultants who review customer s contact center operations, objectives, and business requirements for implementation. A typical engagement includes data gathering, design, testing, cutover, and go-live support. The company also provides customization options for additional functionality if required. Growth Strategy Excellence In January 2017 Avaya commenced formal proceedings to restructure its balance sheet and filed voluntary petitions under Chapter 11 of the US Bankruptcy code. At the time the company assured customers, partners, and other interested parties that it would quickly emerge as a stronger, better company and would remain keenly focused on minimizing Frost & Sullivan We Accelerate Growth

7 disruption to customers, partners and employees. Certainly whenever the term bankruptcy is bandied about it strikes a certain cord of fear, uncertainty and doubt (FUD), which provides fodder for the competition to mine for prospects and partners. It could have frozen Avaya, but it did not. In fact, despite rumblings that Chapter 11 might occur, 2016 turned out to be a solid performing year for Avaya as evidenced by its market leading position in inbound contact routing systems, and that does not account for the numbers from selling cloud, hybrid, or managed services either. The company has sailed through the process, and will emerge later this year in a better position than ever before, as a public company. Here are a few of the highlights from the August, 2017 earnings update call to analysts: Avaya s operating business is profitable and generating positive cash flow The company continues to invest in R&D at above the industry average Avaya has a Net Promoter Score (NPS) of 49, which is >20 points ahead of key competitors Avaya s adjusted EBITDA is $204 million or 25.4% of revenue; a record percentage for a third fiscal quarter The company filed an amended plan of reorganization on August 7 with support of major creditors and expects to emerge from chapter 11 as a public company with shares traded on NYSE or NASDAQ It signed over 2,400 major customer contracts since filing for chapter 11 through June 30, 2017 Moreover, the company has a solid plan for growth. It has invested heavily in R&D and marketing. It recently revamped its partner program, and while is typical during a transition such as this, it had some partners waver, but the majority have stayed the course and are doing really well selling the portfolio. Also, with the final stages of restructuring taking place, any deals on hold waiting for resolution will only increase the pipeline. Conclusion Avaya remains a stalwart leader in customer contact, with an enviable portfolio of products and partner offers, backed by solid consulting and professional services support. Avaya has achieved a leadership position in the Contact Center Systems market, with a market share of 17.4%. With its strong overall performance and Frost & Sullivan is proud to present to Avaya, the 2017 Market Leadership Award for Contact Center Systems in North America. Frost & Sullivan We Accelerate Growth

8 Significance of Market Leadership Ultimately, growth in any organization depends upon customers purchasing from a company, and then making the decision to return time and again. Loyal customers become brand advocates; brand advocates recruit new customers; the company grows; and then it attains market leadership. To achieve and maintain market leadership, an organization must strive to be best-in-class in three key areas: understanding demand, nurturing the brand, and differentiating from the competition. This three-fold approach to delivering market leadership is explored further below. Understanding Market Leadership As discussed on the previous page, driving demand, strengthening the brand, and differentiating from the competition all play a critical role in a company s path to market leadership. This three-fold focus, however, is only the beginning of the journey and must be complemented by an equally rigorous focus on the customer experience. Best-practice organizations, therefore, commit to the customer at each stage of the buying cycle and continue to nurture the relationship once the customer has made a purchase. In this way, they build a loyal, ever-growing customer base and methodically add to their market share over time. Frost & Sullivan We Accelerate Growth

9 Key Performance Criteria For the Market Leadership Award, we focused on specific criteria to determine the areas of performance excellence that led to the company s leadership position. The criteria we considered include (although not limited to) the following: Criterion Requirement Growth Strategy Excellence Demonstrated ability to consistently identify, prioritize, and pursue emerging growth opportunities Implementation Excellence Processes support the efficient and consistent implementation of tactics designed to support the strategy Brand Strength The possession of a brand that is respected, recognized, and remembered Product Quality The product or service receives high marks for performance, functionality, and reliability at every stage of the life cycle Product Differentiation The product or service has carved out a market niche, whether based on price, quality, or uniqueness of offering (or some combination of the three) that another company cannot easily duplicate Technology Leverage Demonstrated commitment to incorporating leading-edge technologies into product offerings, for greater product performance and value Price/Performance Value Products or services offer the best value for the price, compared to similar offerings in the market Customer Purchase Experience Customers feel they are buying the most optimal solution that addresses both their unique needs and their unique constraints Customer Ownership Experience Customers are proud to own the company s product or service, and have a positive experience throughout the life of the product or service Customer Service Experience Customer service is accessible, fast, stress-free, and of high quality Frost & Sullivan We Accelerate Growth

10 Best Practices Recognition: 10 Steps to Researching, Identifying, and Recognizing Best Practices Our analyst team strives to follow a 10-step process (illustrated below) to evaluate Award candidates and assess their fit with our best practice criteria. The reputation and integrity of our Awards are based on close adherence to this process. STEP OBJECTIVE KEY ACTIVITIES OUTPUT 1 Monitor, target, and screen Identify Award recipient candidates from around the globe Conduct in-depth industry research Identify emerging sectors Scan multiple geographies Pipeline of candidates who potentially meet all bestpractice criteria 2 Perform 360-degree research Perform comprehensive, 360-degree research on all candidates in the pipeline Interview thought leaders and industry practitioners Assess candidates fit with best-practice criteria Rank all candidates Matrix positioning of all candidates performance relative to one another 3 Invite thought leadership in best practices Perform in-depth examination of all candidates Confirm best-practice criteria Examine eligibility of all candidates Identify any information gaps Detailed profiles of all ranked candidates 4 Initiate research director review Conduct an unbiased evaluation of all candidate profiles Brainstorm ranking options Invite multiple perspectives on candidates performance Update candidate profiles Final prioritization of all eligible candidates and companion best-practice positioning paper 5 Assemble panel of industry experts Present findings to an expert panel of industry thought leaders Share findings Strengthen cases for candidate eligibility Prioritize candidates Refined list of prioritized Award candidates 6 Conduct global industry review Build consensus on Award candidates eligibility Hold global team meeting to review all candidates Pressure-test fit with criteria Confirm inclusion of all eligible candidates Final list of eligible Award candidates, representing success stories worldwide 7 Perform quality check Develop official Award consideration materials Perform final performance benchmarking activities Write nominations Perform quality review High-quality, accurate, and creative presentation of nominees successes 8 Reconnect with panel of industry experts Finalize the selection of the best-practice Award recipient Review analysis with panel Build consensus Select recipient Decision on which company performs best against all best-practice criteria 9 Communicate recognition Inform Award recipient of Award recognition Present Award to the CEO Inspire the organization for continued success Celebrate the recipient s performance Announcement of Award and plan for how recipient can use the Award to enhance the brand 10 Take strategic action Upon licensing, company is able to share Award news with stakeholders and customers Coordinate media outreach Design a marketing plan Assess Award s role in future strategic planning Widespread awareness of recipient s Award status among investors, media personnel, and employees Frost & Sullivan We Accelerate Growth

11 The Intersection between 360-Degree Research and Best Practices Awards Research Methodology Frost & Sullivan s 360-degree research methodology represents the analytical rigor of our research process. It offers a 360-degree-view of industry challenges, trends, and issues by integrating all 7 of Frost & Sullivan's research methodologies. Too often companies make important growth decisions based on a narrow understanding of their environment, leading to errors of both omission and commission. Successful growth strategies are founded on a thorough understanding of market, technical, economic, financial, customer, best practices, and demographic analyses. The integration of these research disciplines into the 360-degree research methodology provides an evaluation platform for benchmarking industry 360-DEGREE RESEARCH: SEEING ORDER IN THE CHAOS participants and for identifying those performing at best-in-class levels. About Frost & Sullivan Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best practice models to drive the generation, evaluation and implementation of powerful growth strategies. Frost & Sullivan leverages more than 50 years of experience in partnering with Global 1000 companies, emerging businesses, and the investment community from 45 offices on six continents. To join our Growth Partnership, please visit Frost & Sullivan We Accelerate Growth