5 Steps to Building a Successful Channel Program in the Cloud. Ron Huddleston SVP, ISV Alliances
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1 5 Steps to Building a Successful Channel Program in the Cloud Ron Huddleston SVP, ISV Alliances
2 Safe Harbor Safe harbor 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 ended January 31, 2011 and in our quarterly report on Form 10-Q for the most recent fiscal quarter ended July 31, 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.
3 The World Is Moving to the Cloud The Old Way. Today On-Premise Client/server Intranet Computing Big Table Relational Databases
4 But Channel Players Are Being Left Behind Built for Traditional Software Customers Want the Cloud
5 And Missing out on Massive Opportunities Source: Gartner, Cloud Services Forecast
6 Social Revolution: Next Generation Devices Changing How We Access the Web Device Growth Tablets 1.6 billion mobile devices by 2013 Smartphones Laptops Desktop E 2012E 2013E Source: Gartner Research; Smartphone, Tablet, and PC Forecast, December 2010.
7 Social Revolution: Social Networking Surpasses Social Users 1.1 billion social users Users Source: Comscore, June 2011
8 Social Revolution: The Web is Shrinking Web Usage 4 hours per month 2010 Rest of the Web Sources: Ben Elowitz, Wetpaint / comscore 2011
9 Five Steps to Cloud Success for the Channel 5. Develop a Team of Evangelists 1. Build an Organization Born for the Cloud 4. Be the Market Maker 2. Focus on Customer and Partner Success 3. Understand Cloud Economics
10 1. Build an Organization Born for the Cloud Partner Support What Works: New channel organization designed for the cloud Technology Sales Operations Marketing Infrastructure What Doesn t Work: Enhancing existing channel programs designed for traditional software Organizations are Different in the Cloud
11 2. Focus on Customer and Partner Success Partner Customer Vendor IF Successful Customers = Successful Vendors AND Successful Partners = Successful Customers THEN Successful Vendors = Successful Partners Relationships are Different in the Cloud
12 3. Understand Cloud Economics No Surprises: DON T overestimate ramp & return DON T underestimate initial investment Invest in Success: DO trust channel partners are committed DO provide flexibility in the models DO assume responsibility for their business transformation Economics are Different in the Cloud
13 4. Be the Market Maker Create a marketplace Offer Supported Selling Models Provide thought leadership Partner Success Markets are Different in the Cloud
14 5. Develop a Team of Evangelists Educate and Inspire the Team: Cloud computing is transformational, disruptive, and gamechanging you need a team that can deliver that message. Success stems from everyone becoming trusted advisors and evangelists for building a cloud channel. Teams are Different in the Cloud
15 Salesforce.com Succeeds When the Channel Succeeds 97% 90% 51% Increase in OEM Partners Increase in ISV Revenue 21 Increase in App Installs 0% 90%
16
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