The summer typically kicks off with a barrage of new offerings from Microsoft and Oracle, as account teams from both companies push new products, solutions and services as well as a wide range of upgrades. My colleague Louis Pellegrino describes how Microsoft’s strategic commitment to online solutions at the expense of on-premise offerings poses a potential risk. Specifically, customers need to be aware that a July buying spree can result in solutions that don’t align with enterprise requirements or capabilities.
Oracle customers face a similar situation. While the beginning of the fiscal year can be a great time to shop, buyers need to be savvy to take full advantage of the spirit of the season. Here are some things to consider:
- Oracle account teams will aggressively pursue deals as they seek an inside track for a banner year and long-term advancement. The rugged routine of making quarterly numbers hasn’t yet set in, and this is a good time to take advantage of the fact that account teams are eager to make deals.
- Customers migrating to cloud-based delivery can leverage Oracle’s strategic commitment to cloud services, which is reflected in sales incentives.
- Be attuned to signs that a business unit (such as an industry vertical) is struggling, as poor performance can create some fire sale opportunities, especially for add-on solutions and services.
- Oracle Services are always an attractive offering early in the fiscal year, as they enable a longer-term commitment and greater revenue recovery for the sales team.
- The Oracle Key Account Director (KAD) program is an ideal way to gain insight into the best opportunities – customers that have access to the KAD program need to leverage it as fully as possible.
To provide some context into why July produces such a buyer’s market, it’s useful to note that both Microsoft and Oracle hold their annual corporate sales meetings in June – meetings which profoundly impact the entire sales forces of both companies and their priorities for the coming year. These high-stakes, high-pressure gatherings invariably produce turmoil, with executives jockeying for position and battling over turf, and with clear winners and losers.
Those who emerge intact from the intensity and upheaval of June approach their client lists with fervor, along with new (and aggressive) quotas, attractive incentives, long product lists and ambitious personal agendas. The challenge for customers lies in navigating the myriad options available and finding the solution that best suits their requirements.
In other words, be sure you are buying what you need – rather than what is being pushed by the most aggressive account team.
