Software Distribution, Customer Experience and the IoT: Get Ready for Fast, Scalable and Secure...

Software Distribution, Customer Experience and the IoTGet Ready for Fast, Scalable and Secure Software Delivery

David JohnsonPrincipal Analyst

Melis UnsalProduct Marketing

Manager

Christopher FanSenior Product

Manager

4© 2017 FORRESTER. REPRODUCTION PROHIBITED.

First, a Little Background on Customer Experience

The 3 E’s of Customer Experience


How Important is Software Distribution to CX?

› It’s the start of the customer experience journey after the sale

› The quality of your software distribution capability impacts:

• EASE: Is it easy or hard for customers to deploy your products?

• EFFECTIVENESS: Are customers able to deploy them to the right people,

every time, without fail?

• EMOTION: Is the process enjoyable or is it frustrating?

› Psychologically, the effect of negative setbacks on emotion is 3-4

times stronger than the positive impact of progress.

• Poor software distribution has an outsized impact on CX when it fails.

• You must get it right the first time


Improving Customer Experience is the #1 Driver

10%

12%

12%

14%

14%

15%

17%

19%

19%

21%

21%

21%

22%

23%

29%

0% 5% 10% 15% 20% 25% 30% 35%

Achieve better business transparency

Improve business agility for responding to disruption

Consolidating infrastructure

Accelerate transformation to digital

Better leverage our data assets

Create Innovation for the business

Ensure compliance, reduce risks or improve security

Monitor, improve, and optimize process performance

Gain competitive advantage

Streamline processes

Upgrade or replace outdated systems

Key to revenue growth

Develop better products and services

Winning new customers

Improve customer experience

What are the most important goals/drivers your organization considers when planning or

orchestrating your software strategy?


Software Distribution Quality Impacts

› Direct revenue: Conversion & abandonment rates, average order

size, cost per order, margin.

› Support costs: Number of calls, cost per call, time to resolve

› Customer loyalty: Customer sat., feature usage, net promoter

score, customer lifetime value, incremental purchase revenue, etc.


The Problem Is Getting Bigger

› “31 billion devices connected” by 2020 (Intel)

› “41 billion active wireless connections” by 2020 (ABI)

› “50 billion connected devices by 2020” (Ericsson)

› “50 billion things” connected by 2020 (Cisco)

› “75 billion devices connected” by 2020 (Morgan Stanley)


Other Trends Affecting Software Distribution

› Rising user experience expectations of enterprise buyers

› Compliance mandates that require accurate counts for entitlement,

export and record-keeping

› Security mandates requiring software to come from trusted

sources, and frequent software updates

› Today, 44.8% of enterprise application portfolios are vendor-built

• In 2 years, it will still be 44%

› Today, 35.5% of application portfolios are traditional, on-premise.

• In 2 years, we expect it will still be >30%


Budget, security and alignment are the top concerns

13%

15%

15%

17%

19%

20%

21%

23%

25%

25%

32%

43%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Difficulty mixing architecture governance with Agile and DevOps

Lack of business C-level executive support

Availability of partners to help us

Inadequate change management programs (communications, incentives, etc.)

Lack of strategic vision

Legal and regulatory compliance

Lack of adequate user training

Inadequate or missing relevant internal skills

Inflexible or hard to change culture

Lack of alignment between IT and business

Security

Budget

What are the biggest challenges your firm faces when orchestrating its software strategy?


Source: Forrester’s Global Business Technographics Networks and Telecommunications Survey, 2016


Hot Spots Emerge in Different Industries

Source: The Internet of Things Heat Map, 2016 Forrester report

https://www.forrester.com/report/The+Internet+Of+Things+Heat+Map+2016/-/E-RES122661


Kroger’s IoT temperature monitoring helps customers AND employees

Kroger’s grocery stores use

IoT to improve food quality

and lower rates of spoilage

A highly manual process

(2 employee visits a day to

check temperature) replaced

by an automated one

https://www.forrester.com/report/How+To+Design+InternetOfThings+Engagements+In+Retail+Hospitality+And+Travel/-/E-RES135858


Every Device Has a Lifecycle to Manage

• Image/Flash the device

• Initial deployment

• Apply personality, configuration, install apps

• Ongoing patching/updating

• Configuration changes

• Break-fix

• Retirement

Lifecycle Steps


Which Creates Special Problems for Software Management

› MDM/EMM vendors have limited PC, Mac management capabilities

› IoT platform companies have poor software deployment…

› …or they add to the management tool proliferation problem

› Accurate device targeting with contextual data remains a challenge

› IT pros need both excellent software deployment AND one tool and

platform to do it with for all devices.


Mobile Strains Conventional Software Distribution Methods

› Devices vary widely in OS platforms, update mechanisms and

software package sizes.

› Example: Updating 20,000 LTE IoT devices with a 100MB package

= 2TB data transfer over wireless network.

› Doing it reliably requires advanced features like checkpoint restart,

peer-to-peer, rapid deployment and validation.

• Perfect set of use cases for a content distribution network


Does your firm have security policies and tools in place for the following types of activities?

5%

5%

4%

4%

5%

4%

4%

4%

14%

13%

10%

12%

12%

10%

10%

9%

34%

33%

32%

32%

31%

33%

31%

30%

45%

45%

48%

48%

49%

50%

51%

52%

3%

4%

6%

4%

2%

3%

4%

5%

Employee use of tablet devices

Employees' personal use of social networking sites likeFacebook and Twitter

Business use of Internet of Things (IoT)/M2M solutions

Business use

Employee use of smartphones

Business use of consumer-oriented file-sharing and sync tools

Business use of SaaS applications

Business use of IaaS and PaaS services

No security policies

We have security policies but no tools to enforce them

We have security policies, but our tools are insufficient

We have security policies, and our tools are sufficient

Only 48% Believe Their Tools are Sufficient for IoTGlobal

Base: N=3,158 (Global); Security decision-makers (20+ employees)

Source: Forrester's Global Business Technographics Security Survey, 2016


When thinking about Internet of Things (IoT)/M2M initiatives, what level of concern does each of the following

present for your firm?

58%

59%

60%

60%

61%

62%

63%

65%

67%

73%

Internal hackers

Analytics

Internet of Things (IoT)/M2M device hardening

Physical compromise due to Internet of…

Firmware updates

Lack of authentication and authorization for…

Third party collection of device usage…

Denial of service attacks to intelligent devices

Privacy violations

External hackers

Updating is the Most Important Capability Because…

Base: N=2,053 (Global); Security technology decision-makers who are concerned with the risk that Internet of Things (IoT)/M2M solutions can introduce

to their firm

Source: Forrester's Global Business Technographics Security Survey, 2016


Review

› IoT is driving disruptive change in global business

› The diversity of devices is straining software distribution capabilities

• You need accuracy and reliability

• Entitlements and security

› Enterprise technology decision-makers don’t have the right tools

• Too many consoles

• Too many different targeting and transport mechanisms

FORRESTER.COM

Thank you© 2017 FORRESTER. REPRODUCTION PROHIBITED.

David K. Johnson

+1 303.522.0579

[email protected]

Twitter: @david_kjohnson

LinkedIn: https://www.linkedin.com/pub/david-

johnson/3/720/610

mailto:[email protected]

https://www.linkedin.com/pub/david-johnson/3/720/610

AKAMAI

Melis Unsal - Product Marketing Manager

©2017 AKAMAI | FASTER FORWARDTM

AUDIENCES

ARE GROWING

DOWNLOAD

CADENCE IS

RISING

DEVICE

LANDSCAPE IS

FRAGMENTED

FILE SIZES

ARE

INCREASING

SOFTWARE

DELIVERY

ISN’T LIKE

IT USED TO

BE


File Sizes are Increasing

Ways to optimize handling of larger files

Smaller initial downloads, more frequent updates1

Prepositioning content on devices close to the end user2

Leveraging various delivery protocols3


Audiences are Growing

Managing Unpredictable Demand Spikes

12AM11/12

20,000

15,000

10,000

0

Gbps

5,000

12AM11/20

12AM11/28

12AM12/06

12AM12/14

12AM12/22

20+ Gbps

12AM12/30

12AM01/07

Marketing CampaignSoftware/Product Launch


The Device Landscape is Fragmented

Security is a Critical Consideration

Source: Akamai State of the Internet, Security, Q3 2017

TOP DDoS ATTACK

COUNT Q3 2017:

612

Access Control

to manage user access to your

software

Token Authentication

to prevent link sharing

HTTPS-supported delivery

to securely transport content

over TLS

Shared & Custom Certification

to provide an additional layer of

authenticity

Content Targeting

to limit content in certain

geo regions

https://www.akamai.com/us/en/multimedia/documents/state-of-the-internet/q3-2017-state-of-the-internet-security-report.pdf


Download Cadence is Rising

Driving Long-Term User Engagement is Key

Performance

Download failure rates

can be as high as 50%

for large files1

Speed40% abandon when

software takes too

long to update2

Reliability

Undelivered software

won’t generate

returns for your

business

1 Akamai Internal, https://content.akamai.com/PG1526-PerformanceMatters.html

2 Cooper Waddell, Deconstructing Mobile & Tablet Gaming (EEDAR, 2014), 32.


The Must-Haves for a Download Delivery Solution

Ensure 100% Reliability

for delivery of downloads to even

the most remote users

Enable Visibility and Reporting

into download performance,

fulfillment rates and the user

experience

Provide Flexibility

to work around changes in

network conditions and to

prioritize critical downloads

Improve End User Experience

by efficiently managing speed

and performance of large file

downloads

Secure Delivery to Users

over HTTPS, encryption

capabilities, access control and

token authentication


The Solution


230,000+ SERVERS – 1,400+ NETWORKS – 110+ COUNTRIES

ACCELERATING DAILY TRAFFIC

40+ TERABITS PER SECOND

40+ MILLION HITS PER SECOND

2+ TRILLION DELIVERIES PER DAY

100+ PETABYTES PER DAY

100 MILLION PAGE VIEWS PER SECOND

DAILY MOBILE TRAFFIC PEAKS OF 1 TEREBIT

100+ BILLION API REQUEST PER DAY

Akamai – Making the Internet Fast, Reliable, and Secure

We are the leading provider of cloud services for delivering, optimizing and securing

online content and business applications.


The Solution: Akamai

An integrated solution with a global footprint to ensure your software

and licenses are delivered fast, reliably, and securely.

Media AccelerationDownload Delivery NetStorageForeground

Download

Enhances

performance of

content delivered

over the internet

A delivery solution built

for superior capacity,

scalability, performance,

and availability

Secure, redundant,

cloud storage to

maximize delivery

performance and

reliability.

Improved download

speeds and times for

large files

FLEXERA

Christopher Fan - Senior Product Manager

ELECTRONIC SOFTWARE DELIVERY

• Deliver software electronically, based on customer entitlements

• Fast, secure and scalable, using the Akamai Content Delivery Network

• Clear revenue recognition event

• Automate the fulfilment of export compliance requirements

• Track downloads

Deliver Software to Right Contacts – At the Right Time

33Based on Akamai Technology

FLEXERA + AKAMAI = Partnership for Customer Success

© 2017 Flexera | Company Confidential 34

• What products need software delivered?

• What users are eligible for download?

Recognize Revenue

Download Receipt

Customer Portal

Ship a Secure Product and

Protect Your IP

Manage Software, Devices, and

Customer Entitlements

Analyze Adoption, Feature Usage and Account/Renewal

Health

Monetize and Drive Recurring

Revenue

SOFTWARE SUPPLIERS:SHIP A SECURE PRODUCT AND GROW YOUR BUSINESS

Monitor Usage and Device Data

FLEXNET OPERATIONSModular, to Meet Your Demands

Data and AnalyticsProducts & CustomersEntitlements, Usage, Renewals, ...

E N A B L E N E W B U S I N E S S M O D E L S

A U T O M A T E S U B S C R I P T I O N M A N A G E M E N T

D R I V E C U S T O M E RG R O W T H

87%

Advanced Lifecycle

Management

Advanced Organization Management

Usage Management

Electronic Software Delivery

Customer Growth

Cloud Licensing Service

FLEXERA SOFTWARE MONETIZATION PLATFORM

Data and AnalyticsProducts & CustomersEntitlements, Usage, Renewals, ...

E N A B L E N E W B U S I N E S S M O D E L S

A U T O M A T E S U B S C R I P T I O N M A N A G E M E N T

D R I V E C U S T O M E R

G R O W T H

87%

SaaS

ApplicationPlatforms

Embedded & Devices

FlexNet Operations FlexNet Licensing

Customer Portal

IntegrationFramework• ERP• CRM• Billing• …

All Deployment ModelsAll Monetization Models

QUESTIONS?

© 2017 Flexera | All rights reserved

THANK YOUDavid JohnsonPrincipal Analyst

[email protected]

Melis UnsalProduct Marketing Manager

[email protected]

Christopher FanSr. Product Manager

[email protected]

Software Distribution, Customer Experience and the IoT: Get Ready for Fast, Scalable and Secure...

Technology

Transcript of Software Distribution, Customer Experience and the IoT: Get Ready for Fast, Scalable and Secure...