Independent Research Study Reveals Lifesize’s Potential Eco- and Budget-friendly Impact on Fortune 500 Companies
Just in time for Earth Day, Lifesize, a division of Logitech (Nasdaq: LOGI) (SIX: LOGN), today released findings from a commissioned study conducted by Forrester Consulting on behalf of Lifesize that demonstrates the potential economic and environmental impact of video conferencing solutions on Fortune 500 companies. The study analyzed a Lifesize Fortune 500 customer – the European division of a Japanese consumer electronics company – and revealed a risk-adjusted ROI of 392 percent over five years, in addition to enabling the company to meet its aggressive carbon emission reduction goals.
Before deploying Lifesize video conferencing, the subject of the Forrester Consulting study was no stranger to video collaboration tools. Instead, the company discovered its existing video conferencing solution had quickly become obsolete and required extensive maintenance, which caused the system to go widely underutilized. With continued faith in the benefits of video calling, the company sought out a new solution that would help increase productivity across global offices, reduce travel costs during the economic downturn and succeed in their commitment to reduce carbon emissions by 90 percent by 2050.
Forrester Consulting evaluated the measurable results that this customer was able to achieve by deploying the Lifesize solution.
According to the study, “Ongoing maintenance and support costs were approximately half the cost of other video conferencing solutions considered by the customer. This resulted in a lower TCO of approximately 24 percent as compared to other comparable solutions being considered.”
Additionally, in just one year after rolling out the Lifesize systems, the company experienced a 392 percent risk-adjusted ROI, over $1 million in reduced travel costs and close to a 12 percent decrease in carbon emissions. “[We] put a total freeze on travel…[and] the only reason we could do this was because we had a new videoconferencing solution in place,” said the customer.
“For years the industry has looked to video conferencing solutions to help them to not only reduce costs but also to become a greener organization,” said Craig Malloy, chief executive officer of Lifesize and Logitech senior vice president. “Not until now have these solutions been affordable enough to justify both sides of the coin. We believe Forrester’s analysis and our customers’ stories speak to the true ROI behind our solutions and demonstrate how truly going green can also be great for business.”
The customer at the center of Forrester’s study experienced the following key results from deploying Lifesize HD video conferencing solutions:
- Lowest TCO – ongoing maintenance and support. Lifesize saved the company over $1 million in travel expenses in one year and experienced an ROI payback in just nine months. Lifesize’s solutions were substantially more cost-effective to maintain compared to its closest competitor and offered the company the highest quality video conferencing with lower bandwidth required, eliminating any additional deployment costs.
- Real-world results – more efficient and better work experiences. The use of Lifesize video conferencing reduced travel by 46 percent within the first year of deployment, allowing employees to travel less and stay closer to home. The company also benefited from more efficient employee interaction and global collaboration through better quality communication with colleagues at different locations.
- Eco-friendly – reduced carbon emissions. The customer was able to meet its carbon dioxide emission reduction goals with close to a 12 percent decrease in carbon emissions within the first year of deployment, eliminating more than 800,000 tons of CO2 – a direct result of reduced travel. In one year’s time, travel was cut by 46 percent.
An abstract to the commissioned study conducted by Forrester Consulting on behalf of Lifesize: The Total Economic Impact of Lifesize HD Video Conferencing Solutions, March 2011, can be viewed here.