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Denso Corporation - IT Sales Opportunities

Infiniti Research Limited, Nov 2008, Pages: 31


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Denso Corporation, headquartered in Kariya, Aichi prefecture, Japan, is a global manufacturer and supplier of automotive parts. Operations are carried out through the following divisions: Automotive and New Business. The Automobile division manufactures and sells products in six categories: thermal systems, which include manufacturing heating and cooling devices; powertrain control systems, which include diesel and gasoline engine-related products; electronic systems, which include engine control computer and semiconductor sensors; electrical systems, which include starters, inverters and alternators; information and safety systems, which include automobile body equipment and information technology systems (ITSs), and motors, which include windscreen wiper systems and power steering motors. The New Business division manufactures and sells industrial equipment, such as automatic recognition systems, factory automation equipment, as well as cooling and air-conditioning-related products, in addition to daily life-related equipment.

Industry trends and drivers have a direct or indirect affect on IT spending of all companies operating within an industry. For example - increase in sourcing from low cost countries might influence Denso to relook at their supply chains, resulting in selling opportunities for SCM solutions, collaboration tools etc. Thus, we can conclude that industry spending on any particular IT product or service is an important indicator of the criticality of that product or service for the industry. Based on the IT spend information available in ‘TechNavio’, we have computed a ‘criticality score’ for various IT products and services, for Denso.

Various company level developments and events are important indicators of selling opportunities and drive the sales of IT products and services. For example - an acquisition by Denso might result in opportunities for IT migration and integration services. By tracking these sales drivers (using ‘TechNavio’), we have arrived at a demand score for each product and service.

Through an in-depth analysis of industry trends and drivers and company level developments and events, we have made the ‘IT Selling Opportunities Map’ for hardware, software and IT services for Denso. These maps have been divided into four zones representing Level I, Level II and Level III opportunity areas. Level I opportunity areas have the highest scores and hence, there is a high probability that Denso will buy these products and services. Level II opportunity areas have lower scores and hence, lower probability to sell to Denso Level III opportunities have the lowest scores and hence, unlikely to sell to Denso.

The report is meant for IT vendors and intends to help them identify selling opportunities within the company. Further, the identified sales drivers can be used to penetrate these accounts or increase current share of the customers wallet. Also, the report lists key IT spending decision makers, which will enables salesperson to directly contact the key executives within the company.

TechNavio Insights is a set of reports based on TechNavio - a market intelligence platform for the IT industry. It builds on the intelligence available within TechNavio, and leverages on the custom research experience of the Technology Navigators. TechNavio is built on years of experience of the author’s in deep dive custom research and consulting for over 30 Fortune 500 companies and numerous large and mid-sized companies.




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