RampRate provides real-world data intelligence that delivers a precise sense of actual market prices and a better understanding of services providers.
Shared Services Benchmark - High Tech
Synopsis: A Fortune 50 software IT supplier engaged RampRate to perform an in-depth benchmark and sourcing analysis of its external providers of IT services. This review included a thorough analysis of the costs, service levels, and contract terms for data center operations, managed services, back-up services, networking and connectivity, and Internet bandwidth utilization. It also examined, for key suppliers, the suite of services offered, bundling of services offered, standard and best-in-class service levels, list price for individual services and bundled service packages, average actual prices for individual services and bundled service packages, and operational costs for services provided. The client used RampRate’s analysis to compare its internal operational costs and service levels against the market. It also restructured its internal chargeback model to reduce undesirable behavior from internal customers.
Result: Reductions of 12-47% were realized through mid-contract negotiation while increasing services levels 22%.
Success Stories - Global Payments - Digital Entertainment
Scope: Strategic research of global digital entertainment market
Synopsis: A global leader in electronic payments processing and credit/debit issuance required a global market study of all forms of digital entertainment media to evaluate a new product and to simplify global purchases of digital entertainment and media.
Approach and Solution: RampRate conducted a thorough evaluation of the current and future state of the digital entertainment and media marketplace and developed a complete digital media value chain to anticipate the future state of all economic drivers supporting the current and future marketplace. Additionally, RampRate conducted one-on-one interview with executive-level industry experts to gauge their industry expertise to substantiate the primary research developed.
Result: RampRate completed its market research in record time and under budget. Throughout the process, RampRate was able to update the client daily with reviews helping formulate its business model and planning on the fly. The result of the RampRate market research study helped the client prioritize its global top-10 projects prior to its IPO.
Success Stories - Games Developer - Global Payment Processing
Scope: Electronic payments sourcing
Synopsis: A leading video games developer in the United States endeavored to transform its popular console games into online MMO-style versions complete with subscription-based electronic payments. This endeavor required a multi-national effort to locate and evaluate payment processing IT suppliers for potential consideration.
Approach and Solution: RampRate conducted an exhaustive study of 75+ electronic payments providers globally; evaluating them on over 100 different criteria required by our client. By developing a common evaluation criteria methodology, the participating IT suppliers were evaluated side-by-side and considered for final participation in the selection process.
Result: Within two weeks, the field was quickly narrowed from the 45+ qualified suppliers to 6, based on criteria supplied by RampRate’s client. Three IT suppliers were ultimately selected based on their various strengths, product offerings, and geographic positioning.
Success Stories - Insurance Carrier Disaster Recovery Services
Scope: Sourcing Review/Selection
Geography: North America
Synopsis: A leading international insurance services provider, consisting of over 5,000 companies and servicing clients in over 1,150 countries, suffered from excessive cost over runs from its existing disaster recovery services provider. The firm instigated a significant cost-cutting and restructuring program with a greater focus on improving the quality of service it currently received while reducing the overall costs and integrating disparate facilities into one, regionally accessible location with the ability to host site facilities to different time zones with preferential priority. This program included both sourcing and IT supplier selection functions through a proprietary evaluation and selection process.
Approach and Solution: RampRate met with the client to determine its exact needs and requirements and evaluated the current IT supplier’s former and proposed contract. RampRate then formulated an evaluation matrix to organize and compare every aspect of the previous service agreement to the proposed agreement, providing for a clear comparison between the service offerings, terms, conditions, and pricing. RampRate then engaged two additional tier-one, disaster recovery IT suppliers and evaluated their proposed offerings side by side.
Result: By way of RampRate’s side-by-side proposal evaluation methodology, the insurance company ultimately concluded how disproportionate the various service offerings each IT supplier supplied. RampRate successfully negotiated better terms, conditions, and rates from all three IT suppliers and negotiated over $4M in annual savings from the IT supplier ultimately selected.
Success Stories - Social Video Media Network
Scope: Technology/Process Consulting
Geography: North America
Synopsis: A leading social media network was experiencing difficulties managing explosive growth in subscriptions, which caused numerous system failures and outages resulting in lost subscribers. As a result, the company lost opportunities to acquire new subscribers as well as considerable sums of money from advertising and promotion activities.
Approach and Solution: RampRate conducted a thorough assessment of the company’s operational state including all technology infrastructure, personnel, policy, processes, and procedures. RampRate identified numerous deficiencies and developed a step-by-step process to remedy the systemic failures plaguing the company and its user base.
Result: Within 30 days of the implementation of RampRate’s proposed corrective actions, the company stabilized its platform and met its target of 1,000,000 subscribers 6 months ahead of schedule.
Success Stories - Shared Services Benchmark - Media
Synopsis: A top movie studio approached RampRate to examine its current relationship with its corporate parent’s internal services organization. RampRate identified significant financial deficiencies that could be resolved by pursuing an outsourced model; however, the services were kept in-house for strategic reasons. RampRate significantly revised the SLA to ensure that the high costs were offset by strong service level commitments.
Result: It was found reductions of 9-23% would be realized through mid-contract negotiation, while increasing services levels 64%. The corporate division used this data to reduce its division-operating bill from shared services over $13mm/year.
Success Stories - Desktop Support Outsourcing - Publishing
Synopsis: A leading book publisher engaged RampRate to advise and manage the RFP process for its global desktop outsourcing initiative. RampRate created the RFP document, supplied financial targets, and managed the due diligence process; drastically accelerating evaluation time. The client chose to not follow RampRate’s recommendations due to a strategic relationship with one of the target suppliers. However, this decision led to ongoing issues during the implementation phase.
Result: Reductions of 7-31% would be realized through mid-contract negotiation, while increasing services levels 22%. The project was completed within 6 weeks of kickoff.
Success Stories - Distributed Computing Benchmark – Financial Services
Synopsis: A Fortune 50 financial services provider used RampRate’s services to provide a point-in-time financial comparison against its internal costs in 7 key data centers, as well as on-demand storage utilities and server management. In conjunction with this activity, RampRate analyzed CPU utilization metrics to assess the efficacy of the client’s distributed computing operations. As a result of the project, the client-focused its efforts on the improved measurement of utilization beyond CPU to include I/O and storage while validating the fact that its data center operations were competitive with market medians for the region.
Result: It was found reductions of 19-26% would be realized through mid-contract negotiation, while increasing services levels 74%.
Success Stories - DC Operations Benchmark – Financial Services
Synopsis: A Fortune 50 financial services provider engaged RampRate to perform an in-depth benchmark of its in-house data center services, using RampRate’s SPY Index™ to identify areas of potential savings. The benchmark revealed that contrary to initial assumptions, labor was one of the lowest-cost items compared to market and peers while data center space was the least cost-effective. As a result of the benchmark, the client established a deep, repeatable process for measuring data center operational efficiency and a reporting structure to use for management updates.
Result: It was found reductions of 12-47% would be realized through mid-contract negotiation/outsourcing while increasing services levels 22%.