1. “SharePoint will be for the server what the Office suite has been for the desktop.” Bill Gates, Chairman & Chief Software Architect, Microsoft 1

2. Many Service Providers feel they are unique in adding value beyond pure hosting This impression is dated 2

3. What is Software + Services? Business, as opposed to technical, approach to the successful deployment of hosted applications and services Best practices gained from working with hundreds of telecom and hosting operators, as well as ISVs, in over 25 countries Tools to compare your practices against those of your peers A framework for applying best practices to differentiate and add value to your customer Pathway to resources available to build and grow your business

4. 4

5. Trends Driving Service Provider Transition

6. Where Do We Focus To Effectively Drive Sales In Value Added Services? 8 key success factors are critical to success in VAS These key success factors have been assembled from: –Market Research –Direct learning from successes and challenges of more than 300 telecom and hosting operators worldwide Within these key success factors, a series of ‘best practices’ have emerged that guide operators in their go-to-market campaigns These best practices can be used to create an operator scorecard that guides execution focus and strategy

7. Our methodology for assessing Provider maturity with respect to 8 key Go-To-Market Success Factors that are required in selling & marketing Software-as-a-Service offerings: –Competitive Differentiation –Messaging & Positioning –Packaging & Pricing –Web-Driven Business Model –Demand Generation –Online Customer Experience –Direct/Indirect Sales Processes –Organizational Effectiveness Ineffective Inhibited Predictable Competitive Optimized 1 2 3 4 5 Assessing Go-To-Market Maturity © 2007 Mural Ventures Corporation

8. Each Maturity Level has a Focus Solution Focused with Continuous Improvement Target Market (or segment) Focused Customer (Needs & Benefit) Focused & Service Driven Benefit Focused Product-Dependent Focus and Ad-Hoc Behavior 1 2 3 4 5 © 2007 Mural Ventures Corporation

9. Mural ISV Market Readiness Assessment Competitive Differentiation Messaging & Positioning Packaging & Pricing Web-Driven Business Model Demand Generation Online Customer Experience Direct/Indirect Sales Processes Organizational Effectiveness 12345 OPTIMIZED COMPETITIVE PREDICTABLE INHIBITED INEFFECTIVE Maturity Level Market Readiness Uncontested Market Space Market Segment Need Based Micro-Market Focused Pricing Based on Value Customer Centric and Market Specific Integrated Online Offline Messaging Relevant Cross-Sell Up-Sell Intuitive Administration Focused & Integration Direct/Indirect/Online Sales Aligned Organization, Continuous Improvement Compete on Price Product and Feature Centric Complex with High Barriers to Sale Confusing Internally Focused Touch Points are Inconsistent for Offering Difficult to Buy and Administer Ad Hoc Direct Sales Only Ad Hoc Decisions/Department Behavior © 2007 Mural Ventures Corporation

10. Go-To-Market Strategy & Execution TARGET MARKET ANALYSIS OFFERING DEFINITIOIN & FINANCIAL MODELING Organizational Effectiveness Competitive Differentiation Messaging & Positioning Packaging & Pricing Web Driven Business Model Demand Generation Online Customer Experience Direct/Indirect Sales SaaS Business Readiness Approach Key Success Factors © 2007 Mural Ventures Corporation

11. © Mural Ventures Corp 2008, All Rights Reserved

13. Example of Level 1 -- Ineffective 13 LevelMessaging & Positioning 1 (Ineffective) Positioning is completely product and feature centric. Positioning is effective only for customers who already know what they need and are already familiar with the specific application domain.

14. Example of Level 3 -- Predictable 14 LevelMessaging & Positioning 3 (Predictable) Customer centric positioning with Benefits (e.g. Anytime, Anywhere access), then supporting benefits points, then features as appropriate. Consistent application of messaging throughout ALL collateral.

15. Example of Level 5 -- Optimized 15 LevelMessaging & Positioning 5 (Optimized) Vertical (e.g. Real Estate), Horizontal specialization (e.g. Finance), or other micro-market specific positioning. User groups or surveys are pro- actively used to incorporate customer feedback into product life-cycle.

16. Case Study: Demand Generation ExpediaTrip Advisor PPCSEOPPCSEO Zurich Hotels 3NA 4 Marriott Zurich NA 3 Hilton Zurich NA 22 Geneva Hotels 2NA 2

17. Support is The New Marketing 50% of new customers each month from word of mouth Extremely low Churn rate Base doubles every 12 months Support requests taper off dramatically after the first 30 days.

18. Value Innovation Canvas 18

19. Next Steps... How to started on your Value Innovation Canvas Please go to http://www.microsoft.com/serviceproviders/hostingpro viders.mspx, and click on Software + Services Marketing Best Practices http://www.microsoft.com/serviceproviders/hostingpro viders.mspx Please review the KSF content and case studies Grade Yourself with the KSF Scorecard To obtain Industry Average KSF Score, simply register from link at bottom of page An email will be sent to you with Industry KSF Score within 48 Hours Contact - Shamah Gamrath (Shaahm@microsoft.com) 19

20. Questions & Answers 20