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Lotus/IBM consolidate purchasing programme

By PR Connections
Johannesburg, 24 Jun 1998

In response to worldwide requests for a simplified means of purchasing software, support and service, Lotus Development and parent, IBM, have launched the Passport Advantage initiative in South Africa.

Under the terms of the agreement - first outlined at the Lotusphere conference earlier this year - business partners, resellers and end-users can select one of three options, according to their licensing and purchasing needs.

Steve Ayres, Lotus/IBM partner sales manager, says the options are designed to accommodate a range of customer needs - from a small business or pilot implementation to a multinational enterprise-wide deployment.

"The `volume purchase` option represents a concerted drive to target small to medium businesses - it doesn`t require the company to commit to buying a certain number of licenses over a period of time, but does provide a cost saving on the initial sale.

"The `contract` option is geared for those larger organisations able to predict their software and support needs for the next year. After committing to a number of Lotus/IBM solutions, pricing becomes very favourable.

"The `complete enterprise` option caters to those companies with a minimum of 500 users running Lotus/IBM software throughout. It is the premier Passport Advantage option, offering what we believe is a total solution - financially and strategically."

While these comments suggest that Lotus/IBM is focusing on the financial benefit to the end user, the majority of sales are channelled through the extensive business partner and reseller community.

"Our partners are really the first in the chain to benefit from a stable, single point of contact within Lotus/IBM for purchase - they are the ones carrying the solutions out into the corporate space," says Ayres.

The new initiative extends across the entire Lotus/IBM product range. But, says Ayres, the company expects shrink-wrapped product purchases to be superseded by those to which significant value can be added.

"Our partners are seeing increasing levels of revenue coming from the service and support which accompanies the majority of our software. We anticipate that Passport Advantage will do nothing but increase this."

The initial focus will be to educate the market on the benefits of the programme.

"We will offer be offering partner, distributor and reseller training, where necessary. Our customers have been demanding one-stop shopping from IBM and Lotus for some time. Now it`s here and we intend to support it."

Under existing programmes Lotus and IBM manage licensing agreements through more than 25 000 Business Partners in over 80 countries. Passport Advantage allows purchases to be made anywhere in the world with a single agreement - customers can accumulate global discounts while buying through a preferred local business partner.

For more information surf to www.lotus.com/africa

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Editorial contacts

Kerry Earnshaw
PR Connections
(011) 885 3141
kerry@pr.co.za
Steve Ayres
Lotus Development SA
(011) 301 5504
steve_ayres@lotus.com