Thursday, April 21, 2016

What do Industry Analysts Actually do?

I know the answer but I've never actually written it down for clients, prospects, etc. What does the IIAR say?

"Analysts are frequently deemed to be important because they influence sales of ICT products, but very analysts do so directly. They offer a wide range of services, from advising end-user organizations to measuring market penetration and producing best practice guidance, all of which deliver benefit in what can be a complex and confusing space."

Analyst activities include:

  • Provide telephone-based advice to clients
  • Gather intelligence for future industry reports
  • Sift through vendor marketing and press reports
  • Call on peers to discuss issues and share views
  • Respond to briefing requests with vendors
  • Deal with vendors' internal inquiries and requests
  • Participate in sales support activities
  • Research and draft industry reports
  • Peer review of research prior to publication
  • Prepare conference and seminar presentations
  • Public speaking, webinars and podcasts
  • Attend vendor briefings by telephone or face-to-face (F2F)
  • Attend vendor, analyst and public conferences and events
  • Interact through blogs, forums, and social media

The analyst shared sense of purpose: "to increase the success rates of their clients, to help technology add value and make a difference in what is still a nascent and fast moving industry."

Analysts make a difference. Between and 40% and 60% of ICT buying decisions are influenced by analysts.

Tuesday, April 19, 2016

How much do consultants get paid?

Hmmm.... this is a tough one because the answer is "it depends".

Quora has a good thread on the topic with the following insights:

"I believe an average benchmark for good consultants are about US$300/hour. For a classic consulting team in MBB (one partner, an engagement leader and 3 associates), a 3 month engagement is about US$1M."

So, let's back this up and assume that a consultant is about the same position as Robert Half's Practice Manager$125,000 - $173,500 (median ~ $150K). This rate assumes 2000 hours per year or $75 per hour. So, to get to our hourly rate we're probably looking at a factor of 4x hourly rate to get to the consulting rate.

Let's test this out. Robert Half has the median salary of a DBA at $120K or $60 per hour. So, our consulting rate should be about $240/hour. This provider gives us $275... not bad. What does say? Hmmm... maybe not the data I'm looking for.