Top 10 Customer Cloud Objections

Businesses spent more than $100 billion on cloud products and services in 2012. While cloud adoption is increasing, customers still have concerns and objections. The CTTA State of the Cloud Channel 2013 study ranks the top concerns solution providers encounter in cloud sales.

  • Tweet  
  • LinkedIn  
  • Facebook  
  • Google plus  
  • Send to Kindle
  • Send to  

Slide 1

Businesses spent more than $100 billion on cloud products and services in 2012. While cloud adoption is increasing, customers still have concerns and objections. The CTTA State of the Cloud Channel 2013 study, a joint project of The 2112 Group and Channel Partners magazine, ranks the top 10 concerns solution providers encounter in cloud sales. In the following pages, you'll find the objections solution providers are encountering when pitching cloud services to end users.

Related articles

>> FIRST UP: #10: Network Quality

Slide 2

>> NEXT: #9: How Much and How Long?

Cloud proponents say that services are accessible through any device with an Internet connection and Web browser. True, but it also requires well-functioning local- and wide-area networks. Some customers can’t or won’t buy cloud services because their legacy networks just won’t support high traffic volumes and rich media.

Slide 3

>> NEXT: #8: Bandwidth, More Bandwidth

While cloud computing, in theory, helps save businesses money, many cloud applications and systems come with upfront investment costs. For some businesses, tight budgets prevents them from making cloud investments because they cannot afford the migration, customization, training and ongoing operations.

Slide 4

 

>> NEXT: #7: Immaturity

The cloud is ubiquitous, but high speed networks are not. Many parts of the U.S. and the world do not have Internet access levels that make cloud computing a viable alternative to on-premises servers, storage and applications.

 Slide 5

>> NEXT: #6: Cloud Naivety

More technologies are finding their way to the cloud. That doesn’t mean that all cloud products and services have the features that customers want and need. Some customers are holding off buying cloud services until they have the right features or become easier to use.

 Slide 6

>> NEXT: #5: Feeling Trapped

As much as the term “cloud computing” is bandied about, customers still have a fair amount to learn about cloud capabilities. Solution providers say customers simply are unaware that cloud options are available and require more education. In other customers understand cloud, but don’t have an appreciation for what cloud services can do for their businesses.

 

 Slide 7

>> NEXT: #4: Data Integrity

A cloud computing benefit is converting IT costs from a capital to an operational expense. There are certain tax and accounting benefits that comes IT as an operational expense. However, cloud is often sold on a subscription that requires renewals to retain access. The nature of having to pay and pay and pay sometimes scares customers.

 Slide 8

>> NEXT: #3: Performance Anxiety

Data integrity is different than security, in that it’s about ensuring data remains available and true. Customers are concerned that their data could become corrupted if it’s placed in clouds build and operated by third-parties. And, in the event of a data loss or corruption, they worry that cloud providers won’t be able to effectively recover their data.

 Slide 9

>> NEXT: #2: Control, Giving Up, Et Al

Ever hit access a Web-based application and the process just hangs and hangs. Ever transfer files into the cloud and the dialogue window says the process will take hours. Customers worry that their cloud apps will be slow, which will hamper productivity. Moreover, they worry that these apps will have outages, which do occasionally happen. In either case, they want assurances that cloud resources will be available and work when they need them.

 Slide 10

>> NEXT: #1: Are You Secure?

Giving up control over IT systems and applications is hard for many organizations. They’ve made years of investment in on-premises hardware and software, and have developed systems and staff for supporting their infrastructure. Some businesses just don’t want to hand over administrative functions to third-party. In fact, IT managers will object to adopting cloud services out of fear that they’ll lose their job.

 Slide 11

>> MORE: Cloud Computing on Channelnomics

No surprise, security of cloud systems and services is the top concern of and chief objective to cloud computing. Customers may be buying more cloud products and services, but they do worry about the susceptibility of cloud systems to malware, hackers and cyber-espionage. These concerns persist despite several studies that have shown cloud services are typically more secure and able to react to treats better than individual companies with on-premise IT infrastructures.

girl with glasses

 

For more on cloud computing in the channel, visit:

>> CHANNELNOMICS on Cloud Computing

>> CLOUD INSIGHTS by CTTA and Channel Partners Magazine

  • Tweet  
  • LinkedIn  
  • Facebook  
  • Google plus  
  • Send to Kindle
  • Send to  
More on Channel Business
call-centre-india-bpo

Cloud bringing BPaaS opportunities

NetSuite and partner talk ways channel partners can capitalize in changing BPO market

women-venture-capital-arrow

Arrow CEO points to 'comprehensive' solutions as driver for Q2 results

Distributors announces financial results, increase in sales

shutterstock-180806804-china-social-media

Microsoft Chinese partner of the year Pactera talks penetrating Chinese market

China-based provider explains obstacles in succeeding in China, why market should matter to channel

king-queen-crown

Synergy Research: Domination by cloud's big four isn't going to change

Research firm says AWS, Microsoft, IBM, Google will keep topping smaller cloud providers

Visitor comments
Add comments
blog comments powered by Disqus
In-depth
100m-starting-line

Alibaba gunning to overtake Amazon, Microsoft in the cloud

China’s online retail giant Alibaba plans to invest $1 billion to globalize its Aliyun cloud infrastructure division, with the intent of overtaking Amazon Web Services, Microsoft and IBM

china-regulation-go-strategy-game

MSP warning against 'strategy' misuse

Hijacking the term means customer confusion

Windows 10 desktop

Microsoft releases Windows 10, but what's in it for partners?

Four ways the channel can cash in on Windows 10

rob-herjavec1

Star turn: MSP boss and reality TV regular talks up security

Robert Herjavec, Founder of MSP Herjavec Group and Dancing with the Stars star, warns cybersecurity is 'really a global problem'