Industry Specialization by BtoB Vendors Benchmark Summary 4-19

Vertical Market Specialization by BtoB Vendors Benchmarking Study – Summary of Findings Contact The Shirman Group at: www.ShirmanGroup.com info@ShirmanGroup.com +1-650-740-5065 © 2010, The Shirman Group, Inc. All rights reserved. The Shirman Group and TSG are trademarks of The Shirman Group,Inc. All other trademarks are the property of their respective companies. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change. Management & Planning Motivation of Investment in Industry-Focused Activity The need to engage senior decision-makers was the most commonly cited Top reason NOT to motive for aligning activity to target vertical markets. Also important were specialize: the presence of industry-specific products, and the desire to increase average deal size. Competitive pressure was an especially significant horizontal motivator among larger companies, but played a smaller role for companies products with less than $250 million in annual revenue. Target Industry Concentration Smaller companies, and those with less than two years of experience in vertical market specialization focus their efforts on one to three industries. Larger companies with over $250M in annual revenue averaged five target industries in which they invested industry-specialized activities or resources. As companies become more experienced with ...