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.
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.
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.
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.
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.
>> 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.
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.
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.
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.
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.
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.
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.
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