Thursday, June 6, 2013
salesforce.com - How To Make Money From Companies
How To Make Money From Companies
salesforce.com is aiming to be the preeminent cloud services provide. Why?
Every piece of software that you are running on your Windows laptop and Apple Macbook
is money that salesforce.com wants. How big is this market?
Statistics:
Companies spend about $4T / year on technology, mostly through IT
CIO makes most of the purchase decisions
But the CMO will start to spend more - to reach and grow business
CIO needs:
CRM : customer relationship management - log, track customer calls
ERP : enterprise resource management - manage human resource, accounting, finance
SCM : supply chain management - manage parts and service suppliers
MRP : manufacturing resource planning - manage work flows, machines, people, schedule
Ride the CMO Wagon :
Marketing organization needs to:
create targeted campaigns (product/service, target customer)
distribute campaigns (message, target customer email)
track campaigns (impressions, clicks, clicks/impressions = click through rates or CTR)
make money from campaigns (
store campaigns in database to sell more in the future
sales (funnel, forecast, tracking, lead generation)
ExactTarget (ET) acquisition
ExactTarget enterprise market price : $1.49B ($33.75 / share)
Acquisition price : $2.5B (53% premium)
Current annual revenue : $317M
Current profit : -$21M
Other acquisitions by salesforce.com:
Buddy Media $689M
Radian6
1: http://www.businessinsider.com/why-salesforce-bought-exacttarget-2013-6
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