What is Happening in the Business Communications Space?
Over the past few weeks since joining Avaya, many people who know me—and others who don’t—have asked me two very specific questions:
- What is going on in business communications?
- Why did you join Avaya?
There are headlines galore about the current status and future of the business communications industry. It’s all been very interesting to watch. If I was merely an observer or if my knowledge of this space was limited to only what I read in the press, I might consider running far away from it all, as fast as possible. But this is business communications. It’s everywhere. We all communicate. There really is nowhere to run. Whether we like it or not, we will be communicating with one another until, well, forever.
I’ve been in and around this industry for more than 20 years. I’ve built applications, platforms, services of all kinds. These days my role is “the strategy guy.” We all have our niche—strategy is mine. For me, strategy is a function of and can be derived from cultural observation. Understand your culture and strategy emerges. This kind of anthropological approach is valuable. Once this insight is embraced, the information itself is the advantage. We can then begin to ask, with the possibility of knowing:
- What direction the industry might be headed?
- How can a company succeed?
- Does it make sense to be a category killer or category creator?
These are among the questions I’m tasked with providing guidance on how best to answer.
What I Know for Sure
Business communications as an industry must evolve. How we got here is no accident. We’ve been innovating for this window of opportunity for years. All of the headlines happening now are expected because what this industry does matters. It affects everyone, every day, from Main Street to Wall Street and beyond. And a huge part of this evolution is the impact of today’s consumers who, armed with multiple smart devices, are operating like individual digital enterprises. They have embraced the Age of Intelligence and are in the business of themselves.
Following their customers’ lead, businesses are now learning that when you can think intelligently, you can think intelligently about information and technology, delivery and consumption of that information, about every industry, every type of consumer and so on. To paraphrase Tony Buzan, world-renowned expert on the brain, memory, speed reading, creativity and innovation: before now, while we have always been making tremendous progress as a society—Industrial Revolution, Era of Manufacturing, Space Age, Age of Information and Technology—we were not doing things intelligently. We were simply getting things done and advancing our capabilities. The technology, tools and skill sets needed were not evolved enough to create the cultural shift that is now happening with consumers, enterprises … the world.
A critical component in succeeding in this new age is the ability to manage how and why the enterprise, consumers and employees think. But then, once managed, how to urgently communicate the data from person to person, employee to consumer, employee to enterprise, consumer to enterprise, consumer to machine, machine to machine, etc., to drive action. Enabling this level of smart digital communications to drive action is not only the barrier of entry to succeeding in the Age of Intelligence, but it is finally possible.
Why Avaya Will Be THE Leader in the Age of Intelligence
When I joined the company, one of my first objectives was to meet as many people as possible. I needed to see the culture in action; see how Avaya’s own culture could impact the broader culture. What I found was nothing short of invigorating. Avaya’s culture has an innate understanding of communications and a deep desire to redefine what it means to have outstanding customer experiences. This is a company that has gone through tremendous change, yet it continues to innovate through insight and influence. It has the qualities required to impact technological and cultural shifts. This company with great history, incredible team, innovative technology and deep desire is now sitting on the cusp of new opportunity.
I would argue that Avaya’s competitors are still going through or have yet to go through this magnitude of change in order to participate in the evolution of the industry. I know many others in the communications marketplace; they are all smart people at smart companies. However, there is a difference. Avaya has the advantage of its own maturity as a company, looking to impact others while perfecting itself.
I see this as a critical lever in devising a market-winning perspective. Avaya knows what it knows and has a savvy that cannot be underestimated. It is a company already hard at work making a difference in the outcomes of its customers and their customers.
Haven’t we all known Avaya for years, just as we know many of its competitors? In my opinion, more than 300,000 Avaya customers worldwide—and many customers to come on the horizon—will continue to benefit from one of the finest communications companies ever.
And Now, Some Details
Here is what I uncovered and why I believe Avaya is the company to lead the evolution of the business communications industry.
Current Customer Sentiment about Avaya
According to an ongoing independent survey commissioned by Avaya and conducted by Walker, a customer intelligence consulting firm:
- In FY16, 85% of Avaya customers agree that Avaya has an overall excellent reputation from company to portfolio. This percentage has increased since 2014.
- In FY16, 82% of Avaya customers agree that Avaya is stable and secure, which has been consistent for the past two years.
- Avaya’s Net Promoter Score of 59 is currently “Best in Class” which is in the 50% to 70% range with Apple and the Ritz Carton. Avaya is striving for the 70% range which is known as “World Class.” Most of Avaya’s competitors are in the 20% to 49% range.
- More than 1,000 companies with 1.3 million users globally have chosen to upgrade to or purchase Avaya Aura® Platform release 7, the software-only contact center platform for companies evolving to a digital enterprise. Commitment to evolving to the digital enterprise with Avaya is strong and growing. With Avaya Aura comes access to Avaya Breeze™, the single integrated application development platform that works in conjunction with any device or system, enabling enterprises and developers to build and deploy collaboration and customer engagement applications in hours to days versus weeks to months, without prior communication development skills.
- With 4.5 million licenses on Breeze, Avaya customers have embraced the ability to access and develop their own apps quickly with Avaya software. According to the Gartner Magic Quadrant for Mobile App Development Platforms published in July 2015, eight months before Breeze was available: “Enterprises seeking a mobile development platform have expressed to Gartner a requirement for rapid mobile app development tools that can be used by less technical staff such as business analysts and process experts.”
Avaya’s Global Market Share by Solution
- Avaya is #1 Contact Center/ACD worldwide with 34.4% global market share.
- Avaya is #1 worldwide in Unified Messaging with 46.8% global market share.
- Avaya is #1 worldwide in Small Medium Enterprise Telephony Systems with 23.1% global market share.
- Avaya is #2 worldwide in Telephony Systems with 18.8% global market share.
- Avaya is #1 worldwide in Voice Maintenance Services with 9.7% global market share.
- Avaya is #1 worldwide in Interactive Voice Response with 21.6% global market share.
- Avaya is #1 worldwide in Audio Conferencing with 29.9% global market share.
- Avaya is #2 worldwide in Unified Communications with 21.4% global market share.
Avaya’s APAC Market Share by Solution Category
- Avaya is #1 in Contact Center/ACD in APAC with 28.8% market share, which is more than 8 points ahead of #2 Huawei.
- Avaya is #1 in Unified Messaging in APAC with 50.7% market share.
- Avaya is #2 in Interactive Voice Response in APAC with 13.5% market share.
- Avaya is #2 in Outbound Dialer in APAC with 17.1% market share.
Avaya’s Canada Market Share by Solution Category
- Avaya is #1 in Contact Center/ACD in Canada with 41.0% market share, which is 6.5 points ahead of #2 Cisco.
- Avaya is #1 in Unified Messaging in Canada with 45.3% market share, which is 28 points ahead of #2 Mitel.
- Avaya is #1 in Small Medium Enterprise Telephony Systems in Canada with 31.6% market share, which is 6.6 points ahead of #2 Cisco.
- Avaya is #1 in Telephony Systems in Canada with 30.7% market share.
- Avaya is #2 in Voice Maintenance Services in Canada with 10.4% market share.
Avaya’s EMEA Market Share by Solution Category
- Avaya is #1 in Contact Center/ACD in EMEA with 33.0% market share.
- Avaya is #1 in Unified Messaging in EMEA with 41.4% market share.
- Avaya is #1 in Interactive Voice Response in EMEA with 23.6% market share.
- Avaya is #1 in Small Medium Enterprise Telephony Systems in EMEA with 15.1% market share.
- Avaya is #2 in Telephony Systems in EMEA with 13.6% market share.
Avaya’s Latin America Market Share by Solution Category
- Avaya is #1 in Contact Center/ACD in Latin America with 40.1% market share.
- Avaya is #1 in Contact Center/Total in Latin America with 32% market share, which is 19 points ahead of #2 Genesys.
- Avaya is #1 in Interactive Voice Response market share in Latin America with 51% market share.
- Avaya is #1 in Unified Messaging in Latin America with 55.1% market share.
- Avaya is #3 in Telephony Systems in Latin America with 18.3% market share.
- Avaya is #2 in Small Medium Enterprise Telephony Systems in Latin America with 18.4% market share.
Avaya’s U.S. Market Share by Solution Category
- Avaya is #1 in Contact Center/ACD in the U.S. with 37.4% market share, which is 14 points ahead of #2 Cisco.
- Avaya is #1 in Unified Messaging in the U.S. with 40.8% market share, which is 20 points ahead of #2 Cisco.
- Avaya is #1 in Voice Maintenance Services in the U.S. with 21.5% market share.
- Avaya is #1 in Interactive Voice Response in the U.S. with 28.5% market share.
- Avaya is #2 in Telephony Systems in the US with 20.1% market share.
- Avaya is #2 in Small Medium Enterprise Telephony Systems in the US with 22.4% market share.
It’s a long list but an important one. Avaya’s customers like Avaya. They like Avaya’s influence in their business lives. They continue to do business with Avaya for too many reasons to list and this is why these numbers are so strong. This company, unlike any other in this space, has been anticipating, planning and innovating for the business communications industry evolution. It is ready to lead the way. I said it before and will say it again: what’s happening now in the industry is not a surprise to those who have vision, it’s an opportunity.