The Top 5 Reasons Customers Abandon Salesforce.com

Transcription

1 The Top 5 Reasons Customers Abandon Salesforce.com Zach Nelson President and CEO NetSuite, Inc. Agenda NetSuite Overview The Top 5 Reasons Our Customers Say They Leave salesforce.com Demonstration Customer Discussion Q & A NetSuite: Better for Us Courtney Elizabeth Anderson President Courtney Anderson & Associates, LLC Douglas Stein VP Development and Technology Alan Arvin Managing Partner Demand Solutions Group Eric Wendt President About NetSuite Co-Founded by Larry Ellison and Evan Goldberg in 1998 Largest Integrated SaaS Customer Base ERP background makes CRM much more powerful Awesome product: Every Major Award Thousands of Salesforce.com Users Have Switched to NetSuite 25x More Companies Switch to NetSuite 1,000 users - Opal Telecom 600 users - Premier Conferencing 500 users - Colt Telecom 400 users - Weyerhaeuser 225 users - EBSCO Publishing 100 users - Document Sciences 100 users - CaseCentral 1

2 NetSuite Ranks Higher in Core Sales Force Automation Sales Management Forecasting Functional Breadth Dashboards Opportunity Management Lead Assignment Quota Management Quote Generation Quote-To-Order Features Discount Management Customer & Partner Portals Off Line Client User Interface Look and Feel Pricing and Product Document Management Search Capabilities Deployment Options Source: Forrester Research # 1 You Can t Sell Anything with Salesforce.com Traditional CRM Focused on Prospects not Customers Not Even a Customer in Salesforce.com s UI Service Delivery Repurchase Suspect Lead Prospect Order Qualify Quote Meet Salesforce.com Starts and Ends at the Opportunity The CRM Process: Now with Sales! Lead Opportunity Lead Opportunity Sales Order Inventory/ Shipment Visibility Service Missing The Most Important Element of the Customer Relationship: What they bought! The Most Important Element of the Customer Relationship: What they bought! 2

3 Customer Lifecycle Management Website Hosting Search Engine Optimization Website Analytics Online Catalog Upsell/ Cross-sell Service Delivery Repurchase Suspect Lead Prospect Lead Dashboard Intranet Sales & Marketing Tools Mass Advanced Forecasting Multi-channel Selling Demands Seamless Integration Offline Customer Portal Project Tracking Time & Expense Product Catalog Service Catalog Integrated Order Mgmt Bookings Dashboard Incentive Management Order Qualify Online Integrated Quotes/Proposals Document Management Document Publishing Quote Meet Group Calendaring Resource Availability Phone Order Management Defines True CRM Forecast Accuracy Marketing ROI Upsell/Cross-sell Incentive Compensation Management Five Reasons Salesforce.com Users Switch to NetSuite # 2 Save Money Lots of Money Partner Management Salesforce.com Lacks Core SFA Functionality The Real Cost of Salesforce.com 100 Users for 1 Year No Mass Marketing No Integrated Quoting No Integrated Order Management No Integrated Web Analytics No Integrated Commissions Integrated Mass Marketing Integrated Quoting Integrated Order Management Integrated Web Analytics Integrated Commissions Salesforce.com Enterprise $150,000 Marketing (10,000/month) $ 60,000 No Integrated Quoting } No Integrated Order Management $ 100,000 No Integrated Web Analytics $ 12,000 No Integrated Commissions $ 60,000 TOTAL $ 382,000 3

4 The Real Cost of Salesforce.com 100 Users for 1 Year Salesforce.com Enterprise $150,000 Marketing (10,000/month) $ 60,000 No Integrated Quoting No Integrated Order Management } $ 100,000 No Integrated Web Analytics $ 12,000 No Integrated Commissions $ 60,000 TOTAL $ 382,000 NetSuite CRM $154,800 Integrated Mass Marketing No Charge Integrated Quoting No Charge Integrated Order Management No Charge Integrated Web Analytics $ 3,588 Integrated Commissions $ 3,588 TOTAL $161,976 Five Reasons Salesforce.com Users Switch to NetSuite # 3 Eliminate Costly and Time Consuming Integrations The Composite Application: 1998 Web The Suite Is Now the Standard in Fortune 1000 Web ERP ERP Sales Sales Small to Medium Enterprise Small to Medium Enterprise Web Web Warehousing Warehousing Accounting SFA YEAH Accounting SFA Sure this will work 4

5 Salesforce.com s Own Quote to Order Process Tightly Coupled Process Type Order in Word Print Order Walk to Finance Leave in basket Re-type into Oracle Quote Sales Order Invoice Pick & Pack Customer Service Integrated Suite NetSuite: Your Business On Demand NetSuite: An Integrated Suite Intranet Publishing Self- Service Web Store Web Site Sales Force Automation Quotes & Orders Commissions Marketing Customer Time Financials Tracking Budgeting Inventory Order Purchasing Fulfillment NetSuite: An Integrated Suite Campaign to Lead Lead to Order Issue to Resolution Order to Delivery Contract to Service Contract to Renewal Five Reasons Salesforce.com Users Switch to NetSuite # 4 For Solutions Pre-built to Solve Industry CRM Challenges 5

6 NetSuite Has Specific Features for Distributors NetSuite Has Specific Features for Services Companies NetSuite for Distributors Inventory visibility NetSuite for Services Auto job creation from order Available to promise Service item catalog Demand forecasting Job tracking Volume, customer-specific pricing Time tracking Automated upsell/cross-sell Utilization, resource management WISMO visibility Service history 360 degree view Self-service Client Center Self-service Customer Center Document management Five Reasons Salesforce.com Users Switch to NetSuite Dashboard Customers! # 5 To Get A Complete View of the Customer Sales-specific KPIs Quotes & Orders! Industry s Best Forecasting Actual Sales Run Your Entire Business CEO Ecommerce Manager Sales Rep/ Manager Your Business, On Demand Shipping Manager Manager CFO 6

7 Let s Hear from Users Demand Solutions Group Alan Arvin Demand Solutions Group Business applications solution partner with an On Demand technology focus Lead a company s technology evolution utilizing the On Demand Way From plan through implementation CRM, ERP, Financials Method D tuned specifically for selecting, implementing and adopting On Demand solutions Services charged On Demand service as a subscription Partner with all the leading On-Demand Providers Example Score Card from a Customer CRM Comparison ARCHITECTURE Single Sign On (SSO) Data Import - Exports Workflow Outlook Integration PDA Integration Roles, Responsibilities, Visibility GLOBAL CONSIDERATIONS 7 8 Multi-Language Multi-Currency Localizations Multi-Organization (Account) REPORTING 6 8 Out-of-Box Modify Existing - Create New Dashboard MARKETING 2 6 Campaign Management Analytics CRM Comparison SALES 8 13 Lead Management Oppty Management Quote Generation No Product Evaluation Process Flow Forecasting Commissions - Sales Comp No PARTNER RELATIONSHIP MGMT 0 3 External Portal No CUSTOMER SUPPORT 7 8 External Portal - Self Service Case Management Workflow Entitlement - Assets, SLA, Config No No FUTURE INTEGRATIONS 2 6 Minimal Backoffice Integration Minimal Additional Lincs and Fees TOTAL SCORE High Functionality (3) Moderate Functionality (2) Low Functionality (1) No Functionality (0) SalesForce.com Limitations AppExchange Requires multiple vendors Each vendor solution may work well with SF.com, but they may not work well together May require re-work / additional implementation services SF.com as an Application Platform SF.com configuration tools are simple to use, but do not provide the flexibility often needed to meet business needs Data visibility between application objects is extremely limited Cannot enable workflow that is based upon non-ui events Cannot dynamically control field level security Out of the box reporting is very limited across the application In Short, SF.com s strength is its simplicity, but it is also a weakness Key Functional Advantages of NetSuite Overall One application and one vendor integrated ERP, CRM, and ecommerce Extensive out of the box capabilities across the entire application Much more extensible application Client and server side scripting Sales Greater visibility to all customer data including sales history Out of the box quotation capability Seamless quote to order capability More sophisticated product pricing capabilities More capable forecast process Out of the box commissions Marketing Marketing automation with capabilities built into the system Customer/prospect response statistics Direct linkage between marketing campaigns and ROI Customer Granular security model for knowledgebase Greater visibility to all customer data including sales history 7

8 Learning.com Headquartered in Portland, Oregon Learning.com Douglas Stein, VP Development and Technology Provides complete curriculum and assessment solutions over the Web to over 1.5 million children and their teachers, kindergarten to grade eight SaaS provider Why We Switched Had SFDC from January 2004 until October 2005 Switched from needing just CRM to accounting, order management, etc. Needed accounting system that could manage revenue recognition of a subscription software vendor Dilemma: What do we need to buy to add to SFDC to create a complete solution? With SFDC, we needed new products and consulting and money lashed together: SFDC plus a parts bin plus a mechanic And didn t find anything we liked Why NetSuite? Total solution Could migrate all our existing data Went live with our sales force in September 2005 Moved from QuickBooks financials in October 2005 Now have an CRM PLUS order management PLUS financials in one system Salespeople create opportunities and quotes Easy to fulfill and invoice and recognize revenue once sold One place to go to get all data -- in the past 3 people involved in a sale initiated from the field Now only one person can address all of this; approval all automated Get year over year comparisons in real time don t need to wait for the month to close Learning.com Real issue: Salesforce.com a big improvement on ACT! NetSuite as big an improvement over SFDC SFDC couldn t fill the bill, couldn t answer from close to cash with SFDC, deal done, flurry of activity then Excel, Word docs, manila folders to get sales invoiced and booked With Salesforce.com, we could get a deal at the end of the fiscal period and couldn t book it in time because couldn t get invoice out the door! "We're coming close to doubling our business over last year without adding any accounting staff. With NetSuite, I'm less afraid of growing by a factor of 10." Douglas Stein, VP, Development and Technology, Learning.com 8

9 Courtney Anderson & Associates, Courtney Anderson & Associates Courtney Elizabeth Anderson, JD, MBA Attorney at Law Courtneyanderson.com Courtney Anderson & Associates Headquartered: Austin, TX The most elite organizations in the world seek professional services and media appearances from Courtney Anderson Keynote Speaking Customized Corporate Training Executive Coaching Mediated Conflict Resolution Tele-conferences Speaker Training Consulting Noted author Legal analyst for MSNBC, Fox, CNN and more Courtney Anderson & Associates Why Courtney Anderson & Assts. Switched Anderson travels 300 days a year, relies on booking agents for her business Needed Internet-based solution to run the business Used QuickBooks in previous law practice SFDC: free, functional, and easy QuickBooks on line Worked well but time consuming -- Had to duplicate records in QB and SFDC Wanted Internet real time access, billing accounting Copyright Courtney NetSuite Inc., All Anderson Rights Reserved. & Associates NetSuite is the undiscovered all-in-one secret tool for success for small businesses Courtney Elizabeth Anderson, JD, MBA Attorney at Law Courtneyanderson.com Courtney Anderson & Associates Assemble Connect, Inc Assemble Connect, Inc Eric Wendt, President Assemble Connect, Inc. is one of the first and largest distributors of contract manufactured products in the world Corporate headquarters and distribution center is outside of Chicago, IL Warehousing abilities nationwide 9

10 Assemble Connect, Inc: Needed third data base for parts and supply SFDC handles opportunities, not items Need stronger distribution-centric CRM capabilities Does CRM well- one of the first users But Third party integration Connectors to other systems Not conducive to a system The $ spent on CRM wasn t worth it we were wasting money Why NetSuite? Looks like Salesforce but designed for a distribution business The Big Five 1. Includes the core information about the customer relationship -- orders 2. Much lower cost because it integrates broad suite of capabilities 3. Eliminates costly integrations 4. NetSuite includes industry-specific business management capabilities for distributors, service companies and software companies degree view of the customer and your business. Special Offer for Current Salesforce.com Users Swap Salesforce.com for NetSuite CRM Discussion and Q&A Lifetime Guaranteed Pricing* at your present Salesforce.com price And we ll convert your data for free*! *See details at 10