Avaya - Confidential Win in Mid Market with Avaya IP Office - Release 8.1 Data Networking Comprehensive Services Today’s Discussion Overview Up to – Avaya Portfolio and Positioning Avaya IP Office 8.1 – What’s New – How to solution sell up market Avaya Data solutions – Why stop at just ‘voice’? Avaya IP Office Software Support – Why it’s ideally suited to help you deliver more, at an SME price point © 2012 Avaya Inc. All rights reserved. Avaya - Confidential 2 Positioning: It’s about what they want to buy Not what we want to sell © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 3 Avaya Portfolio Serves the market based on varying customer types and needs Worry Free no equipment on premise Basic, Cloud, no up front costs Simple, scalable, flexible for the growing office Turn key UC Collaboration Enterprise-class UC and Contact Center Custom platform integration. ACE, Lync, FMC Custom platform integration e.g. ACE, Lync, FMC Data Networking Avaya Support Services © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 4 Communications for Your Growing Business. We create the most Flexible Workforce. With a Scalable Solution. That delivers now and for Your Future. © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 5 Handsets, smart phones, desktop, tablets Home, work, on the road IP Digital © 2012 Avaya Inc. All rights reserved. Analog SIP 5 - 1,000 users in one or more offices SME, Mid Market, Branch Adaptable office from key system to UC Investment Protection Flexible Architecture Savings, Low TCO Avaya – Confidential 6 Avaya IP Office Recognition and Market Traction Over 260K IP Office systems sold worldwide Avaya is serving over 30 Million SME users WW #1 Worldwide for Small & Medium businesses (<250) – 19.5% Market Share* Bridges Technology: BCM, Norstar, Integral & Partner – One platform provides easy Business Partner adoption * Source: Dell Oro – Revenues © 2012 Avaya Inc. All rights reserved. TMC – Product of the YEARIP Office 8.0 March 2012 Frost & Sullivan Product of the Year Award – Nov 2011 Evaluated on 4 criteria: Value for money Product features & benefits Go-to-market strategy Market potential & customer adoption Avaya - Confidential 7 Avaya IP Office R8.1 © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 8 Avaya IP Office 8.1 Objective Extend Reach to Mid Market Why Mid Market © 2012 Avaya Inc. All rights reserved. $6.67Billion Opportunity* Collaboration and Mobility are among their top spending priorities Major change in mindset over last 3 years** Spend focus 2009 Today % Cost reduction 53% 21% 32% Customer focus 11% 31% 20% Innovation 11% 16% 5% *RDA, Includes UC, CC, Networking and services ** Inside the Midmarket, a 2011 Perspective - IBM Avaya – Confidential 9 Avaya IP Office R8.1 What’s new … Highlights Now scalable to 1,000 users on a single site! • New Linux based server with centralized licensing and management • IP Office 500v2 acts as a gateway to enable hybrid implementation Flexible Workforce Mobility On iPad and Windows! • Flare Communicator extends IP Office UC to tablets • Now included with IP Office Power User and Office Worker solutions More to sell with new service & networking offers! • New IP Office Support Services – Incredible value, amazing price for SME – and secure high speed remote login (SSL/VPN) • New 3500 ERS delivers SME price with enterprise-class performance © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 10 Introducing Avaya IP Office Server Edition Enables Greater Scalability, Flexibility and Choice Users on single site or multisite (500 users per server) Up to Up to Up to Up to Voice Messaging ports sharing the same Linux server one-X ®Portal users sharing the same Linux server one-X ®Portal users on a dedicated server All IP or Mixed Deployment – Your choice Centralized Licensing Centralized Management © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 11 IP Office Server Edition Wins on Price/Value & Functionality Market Differentiators • Low TCO • Easily scaleable • Centralized management • Centralized Licensing • Flexible Architecture • Hybrid versus VOIP only • Best in class mobility • iPhone, Android, Tablets, PC/MAC • Best in class audio conferencing • Included 128 party v per port pricing Add Robust, aggressively priced services and full suite of data networking for unrivalled single source solutions © 2012 Avaya Inc. All rights reserved. Avaya - Confidential 12 IP Office Server Edition Implementation Example IP Phones Avaya IP Office Server Edition Primary Server SIP Secondary Server adds 500 Users Avaya IP Office 500v2 Expansion System Avaya IP Office for Linux Expansion System IP © 2012 Avaya Inc. All rights reserved. Digital PRI/T1 Analog Avaya – Confidential 13 Avaya IP Office Server Edition What You Need To Know With this edition, highly reliable IP Office communications are Linux based Dual power supply is built into the server Hot plug hard drives are configured in RAID Dual quad core processors add speed, redundancy © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 14 Avaya IP Office Server Edition Powerful Resiliency, and Voice Messaging Redundancy Secondary Server Primary Server Voice Messaging Expansion System Resilience for all IP Phones in the network Digital/Analog © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 15 Avaya IP Office Editions Flexible, scalable options based on customer needs Essential Edition (IP Telephony/Essential Mobility) Basic Edition (Basic telephony) • Key System • Single site only • Digital/Analog phones only • Auto-attendant Adds to Previous: • IP PBX functionality • Up to 40 Auto attendants • One-X Mobile Essential (all users) • Basic call control on mobile devices • 128 party ad hoc conferencing • Up to 4 remote phones/system Preferred Edition Advanced Edition (UC with Preferred Mobility) (UC with Call Center) Adds to previous: Adds to previous: • Secure “Meet me” audio conferencing • Unlimited multi-level auto attendant • Scalable, resilient voicemail • No limit on VPN phones/system (w/Teleworker) • Call recording • Add user solutions – Desktop on mobile device, HD video conferencing, IM/presence, calendar mining, Outlook & Salesforce integration • Track, measure customer service • Password protected call recording with search, replay, archiving • Alarm notifications • Detailed actionable reports • Interactive Voice Response (IVR) • Text To Speech • Visual Basic Scripting • PC Wallboard Adds All Options: Power User, Office Worker, teleworker, mobile worker Adds Options: Agent, Supervisor • 64 party ad hoc conferencing • Voicemail & voicemail to email Very Small, single site basic needs Add Receptionist, and Multi-site Small, can be multi-site with mobility needs © 2012 Avaya Inc. All rights reserved. Small to Midsize growing, with UC needs OPTIONAL No user solutions, or multisite options +$2,995 NPL Small to Midsize with customer service center (Total: $3,540) Avaya – Confidential 16 R8.1: Avaya IP Office Server Edition Adds Scalable Linux-based Option for Midsize Enterprise Server Edition (UC with Preferred Mobility, Greater Scalability) Flexible deployment – Linux servers or IP Office 500v2 Supports up to 1,000 users on a single site Centralized licensing and centralized management Resilience built in, redundancy built up (including voicemail with optional secondary server)) Expanded voice ports – up to 100 Full “Meet me” audio conferencing w/user passwords Unlimited multi-level auto attendant Call recording Includes all elements of Essential & Preferred Edition Midsize Business Seeking greater scale, lower TCO and simple deployment and management © 2012 Avaya Inc. All rights reserved. Office Worker Power User Receptionist Note: • Cannot add Advanced Edition to the Server Edition Avaya – Confidential 17 Avaya IP Office Server Edition Easy to manage, seamless to upgrade Centralized Management Centralized Licensing One view, All locations, groups, users Share licenses across sites Monitor license usage Secure Remote Access Less truck-rolls Broadband speeds using SSL-VPN Server Edition © 2011 Avaya Inc. All rights reserved. 18 More Flexibility for the Workforce Avaya Flare® Communicator Delivers Audio, IM & Presence capabilities over 3G and WiFi Apple iPad and Microsoft Windows Feature set and device interoperability expand over time Delivering the World’s Most Flexible Workforce © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 19 Scalability Extends to Avaya Aura® Serving Branch Markets With Avaya IP Office Before B5800: A re-named IP Office 500v2 with Avaya Aura® features inside After Just sell Avaya IP Office 500 “edge in” by adding a software SD card (at POS or later)* Migrating from IP Office to the B5800 required a forklift It’s built into the IP Office and relabeled as B5800 Easy upgrade based on software on an SD card * Must be Avaya Aura certified to sell the Avaya Aura SD card. © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 20 Avaya Session Border Controller Coming soon to Avaya IP Office! Yes, IP Office supports SIP trunks natively For those customers that want greater security, SBC will be a strong asset to your selling portfolio – Application-layer security, Ideal for Mid Market Avaya SBCAE Untrusted Network (Internet, Wireless, etc.) intuitive and easy-to-manage – Enterprise feature set with Security upgrade option – Advanced toll fraud protection – Remote worker – VPN’less security solution Inside the Midmarket, a 2011 Perspective - IBM © 2012 Avaya Inc. All rights reserved. Avaya - Confidential 21 Solutions Surround Expand Your Selling, Aim Higher © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 22 Avaya Networking…. Supporting IP Office In SME & Mid Market A technology leader. Building faster, more reliable networks that reduce complexity. All while reducing total cost of ownership by up to 50%. © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 23 Customers who buy end to end solutions spend more money than Customers who just buy UC or CC Avg UC/CC Annual Revenue per Customer (Q3'10-Q2'11) $37k CC - No Networking $129K CC - With Networking UC - No Networking UC - With Networking 0 25 50 75 100 125 150 175 200 UC customers spent 6X more money with Avaya when sold an end to end solution Eliminates competitors that can only provide one piece of the solution © 2012 Avaya Inc. All rights reserved. Avaya - Confidential 24 Avaya Networking Solutions for the Mid Market Deliver reliable and secure connectivity for devices ERS 3500 ERS 4000 - for remote branch / SME - larger sites / wiring closet New! • 10 and 24 port Gig E • Gigabit uplinks • Support for PoE and PoE+ • Models that operate fanless • Local and static routing • Stacking capacity up to 80 Gig (v5.1) • • • • • • 24 and 48 port Gig E Gigabit and 10 Gig uplinks Support for PoE and PoE+ Redundant power Dynamic routing Stacking capacity up to 384 Gig Zero touch IP phone deployments – auto-detect, auto-provision, auto-QoS Automated set up of ERS 3500 with IP Office with a single command! 3-5x more virtual backplane capacity Automatic software and configuration downloads for new units in a stack Industry aligned CLI with robust GUI management Avaya - Confidential •© 2012 Avaya Inc. All rights reserved. 25 Solving BYOD Challenges with Avaya WLAN and IDE Identity-based Secure Network Access Control Network & Device security Identity each employee and guest device that enters the network. Apply rules based on User and Device ID, Device & Connection type Enforced network security policies and compliance Secure remote VPN-less access WLAN 8100 and Identity Engines Scalable Future-proof Wireless Industry-leading high-scale voice and video performance Unified, future-proofed architecture © 2012 Avaya Inc. All rights reserved. Optimized For collaborative, real time apps Over 20% better voice and 30% better video performance than competing networks Avaya – Confidential 26 Support Services Global Offer Available July ’12 with IPO 8.1 IP Office Support Services are consistent, flexible and simple Single fee per server Block of Hours still applicable for IPO 8.0 and older Base offer includes: Remote Technical Support (for both Hardware and Software, 8x5) Access to Major Software Upgrades Optional Add-Ons 24x7x365 Support Parts Replacement • NBD, 4 hour delivery • Parts Onsite Installation by Technician – US Only Access to Software Patches and Updates Enhanced Secure Remote Connectivity SSL/VPN 1, 3 or 5 year prepaid terms Available in Wholesale & CoDelivery Models Consistent Flexible Simple Same offer elements for SME and Mid Market Multiple service delivery options available Industry standard support model at a fixed price © 2012 Avaya Inc. All rights reserved. * Promotional pricing is currently available. Avaya – Confidential 27 Release 8.1 Entry Pricing – 3 Year Prepay Offer also available in 1 year and 5 year pre-pay Wholesale List Price IP 500 V2 HP DL360G7 Linux HP DL120G7 Linux 8x5 Rem Tech Support & S/W Upgrades $599 $599 24x7 Rem Tech Support & S/W Upgrades $767 8x5 Rem Tech Support, NBD APR & S/W Upgrades 24x7 Rem Tech Support, NBD APR & S/W Upgrades Co-Delivery List Price IP 500 V2 HP DL360G7 Linux HP DL120G7 Linux $599 $540 $540 $540 Per Server $767 $767 $691 $691 $691 Per Server $792 $1,705 $1,089 $715 $1,535 $979 Per Server $959 $1,872 $1,256 $866 $1,687 $1,130 Per Server 8x5 Rem Tech Support, 4-Hour APR & S/W Upgrades $985 $2,808 $1,577 $887 $2,529 $1,418 Per Server 24x7 Rem Tech Support, 4-Hour APR & S/W Upgrades $1,152 $2,975 $1,744 $1,039 $2,680 $1,570 Per Server $889 $2,257 $1,332 N/A N/A N/A Per Server $1,057 $2,425 $1,499 N/A 8x5 Rem Tech Support, On-Site 4-Hour APR & S/W Upgrades $1,071 $3,307 $1,796 N/A 24x7 Rem Tech Support, On-Site 4-Hour APR & S/W Upgrades $1,238 $3,474 $1,964 N/A Offer Options Remote Technical Support & S/W Upgrades With NBD Advance Parts Replacement (APR) With 4-Hour Advance Parts Replacement With On-Site NBD Advance Parts Replacement 8x5 Rem Tech Support, On-Site NBD APR & S/W Upgrades 24x7 Rem Tech Support, On-Site NBD APR & S/W Upgrades With On-Site 4-Hour Advance Parts Replacement © 2012 Avaya Inc. All rights reserved. IP Office Support N/A Services isN/A pricedPeraServer few dollars above the price of a above N/A N/A Per Server single major Software Upgrade. N/A N/A Per Server Note: 48 options, available in 1, 3 or 5 year terms. On-Site options are available in the US-only. Avaya – Confidential 28 Key Partner Benefits Offer designed with partner and client input Avaya and partners ensure customers receive quality support Flexible Predictable Costs Choose Co-Delivery or Wholesale Choice in coverage: 8x5 & 24x7 Parts replacement delivery options Leverage Avaya onsite services for outof-territory sites (US Wholesale only) One price & material code per server with IP Office 8.1 Keep your customers current with Software Upgrades Minimize cash outlay with Parts options Competitive Industry competitive support pricing Technical expertise from the manufacturer Options to meet a wide variety of needs 1-5 year terms Optional coverage Easy to quote and order-saves time Additional Revenue & Cost Reductions Remote access: improves resolution times, reduces dispatches, enables new revenue streams Add installation, prof services & annuity service wrapper to base support Multi-year support options minimize sales / renewal expense Remain engaged with your customers and provide them with continued value © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 29 Selling Today Are You Using All Available Ammunition? Roadmaps TCO paper Case studies Promos & Programs Competitive Sheets Pricing tools Industry Toolkits Positioning Tools White Papers © 2012 Avaya Inc. All rights reserved. 30 IP Office 8.1 Launch Summary Avaya’s July Solution Launch 1. Expand the addressable market for IP Office to include the mid-market (up to 1000 users) 2. Deliver the services and footprint efficiency in the mid-market that are indisputably best in class for partner margin and win rate superiority 3. Launch compelling networking, security and video complements to IP Office that deliver the most relevant and complete turnkey mobility and collaboration story available 4. Enable new levels of remote support and diagnostics on IP Office that improve customer service experience, partner service profits 5. Provide a release upgrade subscription in the base manufacturer support that enables a best in class investment protection story and better upsell/revisit opportunities This represents a significant incremental profit opportunity for Avaya partners © 2012 Avaya Inc. All rights reserved. Avaya – Confidential 31