The Misconception of ‘Pay for Play’ in Industry Analyst Relations

When I’m working with clients or networking, I often hear references to vendor clients’ need to pay to get recognized by the industry analysts (Forrester, Gartner, IDC, etc.). It has been my experience working with analysts, a few of whom have become friends and colleagues, that this is a widespread misconception. Analysts are essentially research writers and problem solvers who happen to have many years of experience working in the disciplines they are writing about. Like all writers, they need stories to tell. These stories, in turn, become their problem-solving answers for clients seeking consult.

Before going further with these thoughts, it is worth defining the players in this blog and “why AR.”

1. A “research client” is generally a member of a business community whose organization pays an industry analyst firm for access to analyst research and access to the analysts.
2. A “vendor client” is a generally a member of the tech community who, like research clients, needs industry research and access to analysts.
3. The reason Analyst Relations is so important to the vendor client community is that #2 above is mostly trying to sell their wares and services to #1 above. There is no better ally who knows an audience and its opportunities for a vendor, than a Gartner, Forrester, IDC, or other similar-industry analyst.

Problem solving for an analyst

A Gartner analyst will spend roughly 75-80% of their time research writing and consulting with research clients. Many of these clients are licensing dozens of seats from the analyst’s organization for access to research that helps them solve problems and do their jobs. Research clients are constantly asking analysts questions about problems they have in their respective orgs and if they’ve seen similar problems solved by other research clients and possible vendors who’ve helped solve these problems. When an analyst has answers, it makes them look good to bosses and research clients. Better yet, when an analyst can say, “your timing is perfect, I just spoke to ABC – your – company and they work in this area that you need help with.”

Best even yet for vendors like yours is when the analyst can say, “your timing is perfect, I just spoke to XYZ software and services, and they shared with me a use case that is very similar to your problem.” My experience working with and getting to know and better understand analysts is that deep down inside – don’t tell their bosses I said this – they don’t care if you are a vendor client or not. They need stories from the vendors about what the vendors are doing because this helps solve the problems the research clients are bringing to them.

There’s a reason they call it analyst ‘relations’

“Analyst relations” is just that – relationship growing and building trust over time. Think about the things that make up a great relationship – good conversation, trust, stories that reveal things about each other, more “tell me about you,” less “let me talk about me the whole time.”

With industry analysts, you too must build a great relationship and help the analyst have better interactions with research clients. Remember, the analysts are spending most of their work week meeting with research clients and writing research. This is where their organizations make the bulk of their money so it is where their organizations’ leaders have them focusing. They need to have answers to the problem-solving questions they get from these research clients and when they meet with a vendor – client or not – if they have vendor stories to help answer these questions, you are helping and building a better analyst relationship.

For a better analyst relationship understand the fundamentals

Just as you would in any relationship, your best foot forward with an analyst is to get to know what they like, as related to them receiving information that will help them do their job better. A first step with an analyst is often a simple, “hello analyst, nice to meet you. Great, now, how do you like to be communicated to and how often?” And just like any relationship, it’s a huge turn-off when your first briefing is, “hi, we’re ABC (your) company and we do this and that and we’re great and so is our product. Look at these awards we have in our beautiful trophy case in our lobby!” If you know how an analyst wants to be communicated too and how often, this shows you’ve taken interest in the analyst and want to help him/her.

I’ve been working with the industry analyst community for nearly 20 years and though they are distinctly different people who work in different disciplines, in general, they all have the expectations that you know how to properly meet with them with the following basics in place:

• Briefing vs. Inquiry, know the difference when you are speaking to them, especially when you are a non-vendor client.
  • A briefing is designed to be one-way communication. You’re generally giving an update. A briefing can be given by a vendor who is not a vendor client, but you must stick to the briefing rule, one-way communication from you to the vendor, then let them get back to their day. If you can make it helpful for their problem solving, it’s a good day for your business with the analysts.
  • An inquiry is two-way communication with an analyst and if you do not have a vendor client license, you do not get access to an inquiry. It is an exchange of information and at times a Q&A to help you solve a problem and at the same time help the analyst feel like they are helping you.
• If you are a vendor client, you must let the analyst help. An analyst wants to help you. You are seeking their advice. If you engage in a vendor agreement with an analyst firm be prepared to take some of their advice and incorporate it into your business processes and products/services roadmaps. When you do this, it feels like “it’s working” with the analyst. If you do heed zero advice from them, they will wonder why you are a vendor client if you aren’t listening and they won’t look forward to meeting with you. More on this in a subsequent blog.
• In your complimentary non-vendor client analyst briefing, don’t waste analyst time on small talk, they need to get back to their research writing and consulting with the research clients. Say hello and tell your prepared story. Story telling is what they want.
  • To reiterate, the analysts love a good story. You have one chance to impress in a complimentary non-vendor client briefing. Long before the briefing get with your team and come up with a client use case of success. If you cannot do this, don’t do a non-vendor client briefing until you can do this.
• Don’t talk about “me, me, me.” If you make the briefing a commercial for your products, the analyst is going to be unengaged answering email or thinking about the work they need to get back to. Give them some answers for the help questions they are getting from research clients.
• Most importantly, remember that the research clients the analysts are working with in nearly all cases are the organizations you are trying to sell to. True, “pay to play” is a misconception but a referral from an analyst on a problem-solving story you briefed them on is a real thing. In a way, I guess, you are paying up front working with your team to build a good story before your analyst briefing. If you have a good product and good client relationships you will get the best prospect referral you can ever get.

I offer a free consultation to talk about analyst relations or other technology marketing or PR topic. Feel free to reach out here and I look forward to speaking with you and possibly helping you.