SaaStock 2019 - chris hemingway
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SaaStock 2019 - chris hemingway
- 1. Who’s Afraid of Leveraging the Platform Play? ISV Regional VP, Salesforce Chris Hemingway
- 2. The link between platforms & ecosystems 3 Takeaways Open platforms help drive network effect Building apps is not just about technology
- 3. Forward Looking Statement Statement under the Private Securities Litigation Reform Act of 1995 This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of salesforce.com, inc. could differ materially from the results expressed or implied by the forward- looking statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of product or service availability, subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service, new products and services, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, the outcome of any litigation, risks associated with completed and any possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling non-salesforce.com products, and utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of salesforce.com, inc. is included in our annual report on Form 10-K for the most recent fiscal year and in our quarterly report on Form 10-Q for the most recent fiscal quarter. These documents and others containing important disclosures are available on the SEC Filings section of the Investor Information section of our Web site. Any unreleased services or features referenced in this or other presentations, press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available. Salesforce.com, inc. assumes no obligation and does not intend to update these forward-looking statements.
- 4. We’re in the Middle of a Massive Transformation Cloud provider revenue is expected to grow 22%+ year-over-yearCloudRevenue Source: IDC Worldwide Semiannual Public Cloud Services Tracker, May 2018" $358.4B $165.9B $47.6B
- 5. We Are All Connected Welcome to the Fourth Industrial Revolution
- 6. Platform /ˈplæt.fɔːm/ Noun (COMPUTING) A platform is a group of technologies that are used as a base upon which other applications, processes or technologies are developed.
- 7. Marketplace /ˈmɑːkɪtpleɪs/ Middle English word dating back to 1350-1400 Noun: 1. an open area in a town where a market is held. 2. the commercial world; the realm of business, trade, and economics. 3. any sphere considered as a place where ideas, thoughts, artistic creations, etc., compete for recognition
- 8. The Power of Platform Marketplaces: More than Technology “No matter who you are, most of the smartest people work for someone else.” Bill Joy, Co-Founder, Sun Microsystems Augment Core Capabilities "The App Store has forever changed the world of software and forever has changed all of our lives” Tim Cook, CEO, Apple Customer Love “Network effects and ecosystems build moats and drive stickiness.” Neeraj Agrawal & Logan Bartlett, Battery Ventures Network Effects
- 9. It’s not about “the cloud” Growth is driven by the value the cloud unlocks Trust Ecosystem Intelligence Mobility Innovation Platform
- 10. 10 Core Platform Metrics 1. Availability of applications 2. Buyer interface 3. Transacting 4. Contract terms 5. Due Diligence and assurance 6. Management console 7. Intelligence and automation 8. Vision 9. Roadmap 10.Market approach .
- 11. 2006 2013 2015 20172011 2016 2 Million Installs1 Million Installs 2020 Growing the Strongest Platform & Partner Ecosystem 2019 AppExchange Launch 3 Million Installs 4 Million Installs 5 Million Installs 7 Million Installs 10+ Million Installs
- 12. Network Effect in Play Product/ Market fit Social Responsibility Partner Investments Knowledge Base & Education Partners & Services Platforms & Marketplaces
- 14. Or.. Building with Platforms like this?
- 15. A Typical PaaS A typical PaaS IaaS Services and more.. Artificial Intelligence Analytics Security, Identity & Compliance ✓ IaaS ✓ + Developer Services ✓ General Purpose
- 16. ~80% of any SaaS app is the same innovation that delivers the app’s value ~20% Utilising Platforms Behind SaaS Apps Trusted Infrastructure Core Capabilities Distribution Technologies Your Innovation
- 17. Looking Ahead App Marketplaces Everywhere Beyond Apps Microservices Components Bots Algorithms Data Vendor App Stores Customer App Stores
- 18. Constituents of Platform Marketplaces Access to Technology & Services Access to Customers Access to Resources Thriving Marketplace Trusted Platform Growth Multipliers
- 19. Summary • Successful platforms of the future have thriving ecosystems • Building apps & platforms is not just about technology and tools • Leverage ready built platforms (real PaaS)
- 20. Thank you! @partnerforce Meet our team at the Salesforce Booth Download IDC whitepaper: https://sfdc.co/ROImarketplaces
Editor's Notes
- Welcome .. Welcome to and thank you for being here at SaaStock.. What an amazing city Dublin, it’s a home or a platform for so many things, it’s the home of The Irish Stock Exchange, EuroNext, a fantastic platform for trading stocks on.. this will become apparent later ! so let’s start the journey around leveraging the platform play..
- TALK TRACK The AppExchange team wants to make it easier for our customers to find and install applications, and they want to make it easier for your solution to come up for your target market customers. Over the next 20 minutes or so, we’ll be covering three topics to get you on the right path. First, we’ll give you a quick overview of the AppExchange, including what’s changed in the last year, Then we’ll move on to publishing and design best practices, and last we’ll walk through the resources that are available to you as an inmarket partner. After that we’ve left 15 or so minutes to take any questions you may have.
- Key Message: Salesforce is a publicly traded company. Customers should make buying decisions only on products that are commercially available. Talk Track: Before I begin, just a quick note that you should base your purchasing decisions on products and services that are currently available.
- Key Message: Customers switching to cloud-based technology spend at a massive rate. We all know cloud is where new technology is headed. Talk Track: It’s no secret we’re in the middle of a massive transformation. The cloud is now undeniably the industry standard in enabling organizations large and small to transform.
- Key Messages People are more connected than ever before In the Fourth Industrial Revolution, businesses must be just as smart, always-on, and as connected as consumers are Talk Track Today, we are going through an amazing digital transformation, where every customer is connected and every customer expects the companies they do business with to connect them in new ways. As companies, we need to deliver on this expectation. We need to make this transformation. Companies like Marriott are doing this. They are connecting their hotel rooms, and their mobile app so customers can unlock their doors, check-in automatically, and text a concierge when they need service in their room. Marriott has over 110M guests in their loyalty programs, and can service millions of guest preferences. For Kone, this means connecting elevators to anticipate service needs for their customers before they have problems. This is critical since they’re moving more than 1B people every day on their escalators and elevators. [Tell a personal story of a connected device/experience or share a customer story]. Example: As for myself, I have a connected home. In my home, my sprinklers are connected to weather sensors so they know ahead of time when it is going to rain so they don’t turn on. My thermostat is connected; security is connected, and so on. Today, not every company is connected to their customers in the Fourth Industrial Revolution – and this is the big challenge. We have lots of systems and data to connect together. But this is where Salesforce can help. Transition We want to show you how Salesforce can bring you into the Fourth Industrial Revolution.
- Joys Law – highlights the need for an ecosystem – to “effectively” recruit talent to augment your own company’s core capabilities Network effect - Systems and Data attract more information and data – it helps add value to existing systems and helps increase the value people derive from a market place – creating stickiness Network Effect - As defined by Investopedia - A phenomenon wherein increased numbers of people or participants improve the value of a good or service. Cook said more than 140 billion apps have been downloaded, adding that the number of downloads is up more than 100 percent year-over-year. "It is phenomenal, and the growth is literally off the charts," he said. Solve a wider range of customer problems 5 Facts Apple Investors Should Know About the App Store App developers earned $20 billion last year. Apple paid out $20 billion to iOS developers in 2016. … and over 20Bn IOS developers 2.2 million apps available. The 2.2 million apps available for download in the App Store represent a 20% increase year over year. … (500 in 2008) $240 million in sales on New Year's Day. … It shifted $240 million in apps on New Year’s Day 2017, up from $144 million the previous year. In 2018 it shifted $300 million in apps. $2.7 billion in subscription revenue. ... China grew 90% Steve Jobs - 2008 launch
- Key Message: The cloud is so much more than just a technology delivery method. The cloud opens you up to an ecosystem that allows everyone to succeed together. Talk Track: But, the truth is it’s not about “The Cloud” anymore. It’s about the value the cloud has unlocked for customers. They expect the highest standards of Trust, that is Security, Performance and Availability, whether they are a small business or a multi-national. They expect their software to be delivered as a service. A service that is constantly innovating and improving, without the need for costly, painful and time consuming upgrades. And if it doesn’t meet their expectations, they’ll simply subscribe to another service They expect to be able to get the job done anywhere, at any time on any device. They expect to unlock deep business value through analytics and AI applied to their data And they expect a world without silos. They expect an ecosystem of applications and partners ships that will work seamlessly together to deliver the value they need And that ecosystem has, for many years, been core to what makes Salesforce successful.
- Key Message: The AppExchange marketplace is the place to grow your business as an ISV. Talk Track: The ecosystem that we’ve built together with ISV partners is one where we’ll continue to win together. The future looks extremely bright for our ecosystem and there’s no sign of slowing down. In fact, by 2020, we expect to have more than 10 million installs from the AppExchange. When we first started this journey together on AppExchange in 2006, it started purely as an app directory. In 2011, we talked to customers and partners and got feedback on what they wanted to see improved and added easier navigation and a better UI in AppExchange. Now in 2018, the 4th industrial revolution, we’re making sure AppExchange has the intelligent features they expect - a smarter AppExchange, the Salesforce store. Our customers are hungry for solutions that will help them solve their business challenges and the opportunity is with AppExchange ISV partners.
- 3 core components
- Objective to flip where your effort is put.. to help you maximise returns A platform with services should allow this to happen Purpose of this slide: Explain the high benefit of using our Platform - not reinvesting the wheel which gets the partner to market faster. This slide should be used by the PAM. If a TE is pitching this deck they should start with this slide then go deeper into the “chiclet” slide after Key message: 80/20 rule: Do not reinvent the wheel when it comes to building technology. By not reinventing the wheel, you can get to market faster with our Platform Leverage our platform services that don’t make a difference for your app when building for the Salesforce customer base/”market” outlined in the previous section Example Talk Track: The first thing to highlight is that our platform is fundamentally different to other Platforms in the market. While most platforms are start of life providing Infrastructure-as-a-Service, and then layering additional value adding capabilitioes on top, we take the opposite approach Our start point is the exact same Platform that we use to deliver OUR products to OUR customers. And we then unbundle that platform and share it with our partners, so that they can use the same capabilities to build and deliver THEIR products to THEIR customers. And what that means is that, every time we introduce a new feature, capability or innovation, we make also make it available to our partners as soon as we can. <Click> And it turns out that this is a really valuable for partners, because in software as in life, the 80/20 rules applies. If you think about building any SaaS application, 80% of every app is basically the same: You’re going to need Trusted Infrastructure, you’re going to need core capabilities like identity, workflow, reporting, search, etc etc and your going to need the ability to sell, distribute, licence, support and upgrade your app. <Click> But, while those things are incredibly important, they’re not what delivers value to your customers. It’s your innovation, the 20% that sits on top that provides the value. Our goal is to provide you with the 80%, so you can focus on your innovation, getting to market, and to value, faster
- Key Message: Access to Customers: The program provides access to our customers through AppExchange, the #1 cloud marketplace Access to Technology: Our technology and platform allows our partners to leverage capabilities to align with the needs of the customers they’re after on AppExchange Access to Resources: By being a partner, these companies get to leverage the multiplier effect which will help them grow faster Talk Track: The way these partners succeed in the Salesforce Ecosystem is through the Salesforce AppExchange Partner Program, which helps independent software companies achieve massive growth with us. Today, I’m going to talk to you about three things: Customers, Technology and Resources AppExchange provides access to our customer base through the world’s #1 SaaS marketplace. In fact it was also the world’s first app marketplace, predating Apple’s AppStore by a couple of years, inspired by a conversation between our founder, Marc Benioff, and the late Steve Jobs The AppExchange Partner Program provides access to Technology through the same platform that is trusted by some of the world’s leading companies. A Platform that will give you the ability to build a solution that exceeds even the most sophisticated customer expectations. Leverage as much as you’d like, whether it’s an API connection, fully native, and everything in between. Finally, we have many types of resources that will act as growth multipliers, helping you achieve massives scale when growing in the ecosystem. Our goal here is share the technology and knowledge that we have gained over the past 19 years building the world’s leading SaaS business, so that together we can build the best possible solutions to our customer’s challenges. Transition: I’m going to start by talking about the market opportunity with our customers.
- Platform Marketplace Apps & Platform is more than just technology Build Network Effect Focus your 80% effort on what drives real customer value Frees resource to build your ecosystem and Network Effect
- http://smart.salesforce.com/sig/ghume//us_mb/default/link.html