Tag Archives: SaaS
SaaS companies are growing rapidly and becoming the top priority for most CIOs. With such high growth expectations, many SaaS vendors are investing in sales and marketing to acquire new customers even if it means having a negative net profit margin as a result. Moreover, with the pressure to grow rapidly, there is an increased urgency to ensure that the Average Sales Price (ASP) of every transaction increases in order to meet revenue targets.
The nature of the cloud allows these SaaS companies to release new features every few months, which sales reps can then promote to new customers. When new functionalities are not used nor understood, customers often feel that they have overpaid for a SaaS product. In such cases, customers usually downgrade to a lower-priced edition or worse, leave the vendor entirely. To make up for this loss, the sales representatives must work harder to acquire new leads, which results in less attention for existing customers. Preventing customer churn is very important. The Cost to Acquire a Customer (CAC) for upsells is 19% of the CAC to acquire new customer dollars. In comparison, the CAC to renew existing customers is only 15% of the CAC to acquire new customer dollars.
Accurate customer usage data helps determine which features customers use and which are under utilized. Gathering this data can help pinpoint high-value features that are not used, especially for customers that have recently upgraded to a higher edition. The process of collecting this data involves several touch points – from recording clicks within the app to analyzing the open rate of entire modules. This is where embedded cloud integration comes into play.
Embedding integration within a SaaS application allows vendors to gain operational insights into each aspect of how their app is being used. With this data, vendors are able to provide feedback to product management in regards to further improvements. Additionally, embedding integration can alert the customer success management team of potential churn, thereby allowing them to implement preventative measures.
To learn more about how a specialized analytics environment can be set up for SaaS apps, join Informatica and Gainsight on April 9th at 10am PDT for an informational webinar Powering Customer Analytics with Embedded Cloud Integration.
According to analysts, users spend the majority of the application development lifecycle in development and testing and the least amount of time in quality management and documentation. This is probably not very shocking to anyone in QA or on a testing team. But how much time is actually spent on test data management? In a recent webinar, more than half of the listeners polled say they spend between 30-40% of their effort on ‘data related tasks.’ (more…)
After having lived in China since May 2012, I’ve been fortunate to have met with the leaders of most multinational software companies, leaders of local firms as well as industry analysts. My inspiration for this blog is based on a conversation I had with a senior leader at a leading “cloud” provider. (more…)
The findings of the Cloud Market Maturity study, a survey conducted jointly by Cloud Security Alliance (CSA) and ISACA, show that government regulations, international data privacy, and integration with internal systems dominate the top 10 areas where trust in the cloud is at its lowest.
The Cloud Market Maturity study examines the maturity of cloud computing and helps identify market changes. In addition, the report provides detailed information on the adoption of cloud services at all levels within global companies, including senior executives. (more…)
Salesforce.com – a company that has become synonymous with the cloud – acquired over 100,000 customers and one million users within a span of just 10 years. Compare that to a traditional company like General Electric, the only company to be on the Dow Jones Index for over 100 years – it took them over five-times that many years to acquire the same number of customers. This goes to say that customers have been enamored by the cloud and its benefits – no software maintenance, rapid time-to-value, and subscription pricing – to name a few. No wonder, there are thousands of cloud applications and millions of users out there now. I’ve seen projections that the cloud computing market will grow to $241 billion by 2020. This might be a conservative estimate.
It was quite a week. According to the Tweets from @benioff, “over 45,000 people gave us a week of their summer to attend Dreamforce 2011” – a truly amazing number and a truly amazing conference. Informatica customers and partners were also out in full force as the topic of data integration was front and center in most of the keynotes and breakout sessions. Informatica announced that it’s now running over 20 billion transactions per month via its multitenant cloud integration service and also introduced a mobile administration and monitoring application that is now available on the Apple App Store.
Our session on Hybrid IT – The Importance of Integration to Salesforce Success was run twice due to popular demand and it was a packed house each time. Special thanks to our great customer speakers from PSA Insurance and Financial Services, Topcon Positioning Systems and Qualcomm. You can check out the slides here and the video on Salesforce YouTube Channel soon. (more…)
Richard Cramer, Chief Healthcare Strategist at Informatica talks about protecting healthcare data in non-production testing environments.
Today we made a significant announcement regarding our cloud strategy under the heading of “Cloud Data Integration for Hybrid IT”. Exciting! We sent out various official communications such as a press release, a list of partner quotes supporting the launch here, YouTube videos showing the new release in action and a link to a launch webinar on 5th May here. I wanted to give you my perspective on why I think this is such a big deal … (more…)