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, customer contracts or use of our services, market data, including forecast market growth and available market, and industry trends. The risks and uncertainties referred to above include - but are not limited to - risks associated with possible fluctuations in the company s financial and operating results; rate of growth and anticipated revenue run rate; errors, interruptions or delays in the company s service or the company s Web hosting; breaches of the company s security measures; the financial impact of any future acquisitions; the nature of the company s business model; competition; various financial aspects of the company s subscription model; unexpected increases in attrition or decreases in new business; the emerging markets in which we operate; the company s ability to hire, retain and motivate employees and manage the company s growth; the company s plans to build our new global headquarters in San Francisco, California and general developments in the economy, financial markets, and credit markets. Further information on these and other factors that could affect the company s financial results is included in the reports on Forms 10-K, 10-Q and 8-K and in other filings we make with the Securities and Exchange Commission from time to time, including the company s Form 10-K was filed for the fiscal year ended January 31, 2011. These documents are available on the SEC Filings section of the Investor Information section of the company s website at www.salesforce.com/investor. 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.
Our Mission: Cloud Computing Driver, Catalyst & Evangelist 1960s Mainframe 1980s On-Premise Client/server Today Enterprise Cloud Computing
Quarterly Revenue ($M) First Cloud Company to Exceed: $2.0 Billion+ Annual Revenue Run Rate 49% 43% Revenue Y/Y Growth 276 263 34% 290 305 316 331 23% 20% 20% 354 22% 377 394 24% 25% 504 457 429 30% 29% 34% Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311 Q411 Q112
32,300 35,300 38,100 41,000 43,600 47,700 51,800 55,400 59,300 63,200 67,900 72,500 77,300 82,400 87,200 92,300 97,700 Growing Customer Base 97,700+ As of April 30, 2011 20,000+ Net New Customers TTM Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311 Q411 Q112
The Cloud Serves Companies of Every Size ENTERPRISE MID-MARKET SMALL BUSINESS
The Cloud Computing Model Multi-tenant Automatic Upgrades Pay-as-you-go Real-time 5x Faster 95% More Efficient IDC White Paper sponsored by Salesforce.com: Force.com Cloud Platform Drives Huge Time to Market and Cost Savings, Doc # 219965, September, 2009
Cloud Computing: Most Sustainable Technology in the World Energy Efficiency Comparison Carbon Emissions (grams CO2/computer transaction) 95% more energy efficient 64% more energy efficient On-Premise Private Cloud (Outsourced and Virtualized) green.salesforce.com *Estimated avoided carbon emissions from salesforce.com customers running applications on the multi-tenant cloud as opposed to running onpremise servers. Actual carbon emissions savings could vary. Based on WSP comparison model and research commissioned by salesforce.com, March 2011.
The Cloud Computing Test Hardware/Software Costs Automatic Upgrades Scalability Democratic Apps Marketplace Energy Efficiency Other Vendors?????? $0 3 per year Instant 1/3 small, 1/3 medium, 1/3 large 1,000+ apps.09 grams CO2/trx
Beware the False Cloud The False Cloud: is NOT efficient is NOT democratic is NOT economical is NOT environmental
Ten Year Computing Cycles 10X More Users With Each Cycle 2010 Social Revolution Social Apps 2000s Mobile Cloud Computing Mobile Apps 1990s Desktop Cloud Computing Web Apps 1980s Client/server Computing Process Automation Apps 1970s Mini Computing Business Logic Apps 1960s Mainframe Computing Data Management Apps
Social Revolution: Social Networking Surpasses Email Inflection Point Source: Comscore, January 2011
Social Revolution: Broad Change in Internet Usage Top Internet Uses 22% of internet time is social. Source: Nielsen Wire, January 2011. Morgan Stanley Internet Mobile Report, December 2009
Social Revolution: Next Generation Devices Changing How We Access the Internet Device Shipments Tablets Smartphones Mobile PCs Desktop Facebook mobile users are 2X more active than desktop users. facebook.com Source: Gartner Research; Smartphone, Tablet, and PC Forecast, December, 2010.
Social Revolution: Employees Forcing an Unprecedented Pace of Change CIOs Surveyed on Tablet Usage 2010 2011 Not Allowed Employeeowned Tablets Allowed Purchased for Employees Morgan Stanley, Tablet Demand and Disruption, February 14, 2011.
The Social Divide: Customers and Companies Your customers are social. Your company isn t. Communities
The Social Enterprise: Bridging the Social and Mobile Divide Connect Your Company to Your Customers Social Mobile Open
The Social Enterprise: Welcome to the Social Revolution Private Social Networks Collaborate Sell Service Market Social Enterprise Automate & Extend Public Social Networks Listen & Engage Social Profile Product & Partners Social Enterprise Platform Your Customer
Social Applications and Platform Open API s
Salesforce.com is the Sales Cloud Leader Market Leadership Customer Success Product Innovation Magic Quadrant Leader Groundswell Award Innovative Company Report Builder Accelerators Market Leader Technology of the Year Tina Koppe, Sales Analyst Instant Account and Contact Data in Salesforce Chatter Activity in List Views Outlook Task Synch
Customers Succeed Across Every Major Metric Average Percentage Improvements Reported by Customers Source: Salesforce.com Customer Relationship Survey conducted October-November 2010, by an independent thirdparty, MarketTools Inc., on 6,000+ customers randomly selected. Response sizes per question vary.
Unfortunately, Most Sales People Waste Time
World s Leading Sales Application for the World s Most Productive Reps Accounts & Contacts Marketing & Leads Opportunities & Quotes Clean Data Workflow & Approvals Enterprise Collaboration Email & Calendaring Real-time Analytics Partner Management Marketplace
Chatter Helps You Sell Smarter as a Team Enterprise Collaboration Top Ways to Win with Chatter 1. Collaborate on account strategies 2. Discover winning competitive tactics 3. Get instant answers to questions 4. Prep as a team for customer meetings 5. Solve customer problems quickly 6. Share deal proposals & files
Collaborative Analytics Enable Smarter Decisions Real-time Analytics Measure What Matters Track pipeline, deals, revenue and activities Make the Entire Company Smarter Share and apply insights across teams Anyone Can Gather Insights Fast Drag and drop report and dashboard creation
Jigsaw Shortens Sales Cycles with Accurate Contact Data Clean Data Turbo-charge Your Pipeline Live feed of 24 million business leads Find Influencers Faster 36,000 contacts added daily by 1.5 million users Improve Productivity with Clean Data Automatic updates for account & contact accuracy
NBC Sells Product Placements With The Sales Cloud 800 subscribers 85%+ user adoption +$42 Million revenue from cross-selling 400% increase in pipeline 81% Reduction in marketing cycle times Eric Johnson VP, Commercial Excellence
Dr Pepper Snapple Group Gains Critical Sales Insights 300 sales reps track 10,000+ accounts across the Fountain Sales and Bottles & Cans divisions Hundreds of dashboards track key KPIs like sales call volume Scheduled email dashboards alert the teams and drive accountability 56% annual ROI achieved with greater visibility and increased productivity. Tina Koppe Sales Analyst
Salesforce Leads the Market with Service Cloud Market Leadership Customer Success 15,000+ Customers Product Innovation Magic Quadrant for for Customer Service Contact Call Centers Centers Leader Forrester Wave: CRM Suites: Customer Service Solutions Leader Salesforce for Twitter & Facebook Top Knowledge Management Vendor Enterprise Suite Leader John Bivona Customer Relations Manager Salesforce Live Agent Console Custom Layouts Finalist Market Leader Enterprise CRM Article Workflow & Approvals
Customer Success Across Every Major Metric Average Percentage Improvements Reported by Customers Source: Salesforce.com Customer Relationship Survey conducted May 2011, by an independent third-party, MarketTools Inc., on 4,000+ customers randomly selected. Response sizes per question vary.
Today s Contact Centers Can t Connect with Customers You invested here: But customers are here: Contact Center
The Next Generation of Customer Service Collaborative Knowledge Contact Center Email Call Scripting Partners Contracts & Entitlements Search Social Monitoring Social Communities Agent Collaboration Live Agent Dashboards & Reports
Plantronics Unifies Global Customer with Service Cloud World s leading headset manufacturer 450+ users Complete 360-degree view of global customers Operational in 8 countries in less than 6 months Integrations to corporate website and ERP systems Ed Romson Global Customer Care
Comcast-Spectacor Creates Passionate Fans in the Cloud Manage issues for 100,000 s of season ticket holders Deployed to 180 users in 3 months Faster case resolution, improved visibility Participate in Twitter conversations to increase loyalty Improved net promoter score by 45% Mark DiMaurizio Vice President
Our Most Successful Product Release Market Leadership Customer Success 80,000+ Active Customers Product Innovation Magic Quadrant for Customer Service Product Call Centers of the year Product of the year Most innovative product Most innovative product JP McCarvel Marketing Manager #topics @mentions like Chatter Favorites Chatter on List Views Live Browser Updates Excellence award Share Files Group Edit Directly in Chatter Feed
Phenomenal Success with Chatter Average Percentage Improvements Reported by Customers Source: Salesforce.com Customer Relationship Survey conducted Nov. 2010 by an independent third-party MarketTools Inc. on 6,000+ customers randomly selected, representing organizations across the globe, of all sizes and from a diverse set of industries. Response sizes per question vary. Data is intended as a guideline based upon historical results from a sample set of customers. Results are dependent upon many different factors that are customer-specific. Therefore, actual results will vary.
Today, It s Impossible to Stay on Top of Everything Leads Competitive Expert Sales Ops Contracts Price List Legal Product Expert Corporate Presentation Executive Forecasts
Chatter Makes Everyone in Your Company More Productive Profiles Status Updates Groups File Sharing App Feeds Security & Real-Time Mobile Marketplace Updates Sharing Model Analytics
Chatter for the Entire Enterprise Chatter Free Free Chatter Plus $15 /user/month Sales Cloud Service Cloud Force.com Chatter.com Free Profiles Status Updates Feeds Groups Includes Chatter Free, PLUS: Accounts & Contacts 1 Force.com 2 Dashboards/Reports Includes all Chatter features Profiles Status Updates Feeds Groups File Sharing Workflow File Sharing Directory Tasks & Activities Directory Chatter Desktop Sharing & Security Model Chatter Desktop Private and Secure Private and Secure 97,000+ Customers 65 Million Businesses 1 Accounts and Contacts are read-only 2 Force.com includes: 10 custom objects & 1 custom app
Dell Manages a Global Organization with Chatter 100,000 Chatter Subscribers 15,000 Sales Subscribers Across 20 Countries 10% Increase in Sales Productivity $1 Billion in Approved Partner Deal Registrations Michael Dell CEO
Motorola Keeps Everyone Aligned on Chatter +1,000 Chatter users Legal, finance, and operations collaborate on partner contracts Device Selector App instantly Chatterized Royalty payments Chatter to executives Elias Dayeh Sr. Manager, Business Operations
The Traditional Data Gathering Model Has Failed Manual Collection Time consuming. Costly. Error prone. Infrequent Updates 2 weeks to pull a list. Updates come once a year. Expensive Infrastructure You store, integrate, backup, secure $14 Billion+ a year spent on data services * * Global market size for obtaining B2B information over the internet. Source: Robert W. Baird Business Services Research, June 9, 2009
Jigsaw: Accurate Business Contact Data in the Cloud Most Accurate Complete Database 24 million+ B2B contacts 4 million+ companies Crowd-sourced business data 1.6 million+ community members 36,000 new contacts per day Real-time updates 12,000+ contact updates per day
Gathering Data from the Crowd is More Effective Wikipedia Yelp Jigsaw xxx xxx xxx Millions of Contributors 12,568,906 users made 395,177,595 edits 20,676,516 articles Millions of Reviews 15 million reviews 1 million photos 45 million visitors Millions of Contacts 1.6 million+ members 36,000 daily adds 12,000 daily updates
Jigsaw Leads Gives You the Data You Need Build Better Marketing Campaigns Custom Build Contact Lists Prospect Faster Instant Access to the Contacts Sales Needs Full File Access Unlimited Usage of Our Complete File
Difficult to Track Conversations Across Public Social Networks What are your customers saying? 110 million tweets/day 1.5 billion Facebook posts/day Billions of blogs & communities
Join Every Relevant Customer Conversation Blogs Community Sites Public Social Network Listen to relevant conversations Engage with every customer Market to your community
Listen and Engage with Radian 6 Listen to Customers with Radian6: Engage with Each Customer Millions of conversations: Twitter Facebook Blogs YouTube LinkedIn News Sites Discussion Boards Video Sharing Sites Online Communities
Pepsi Listens and Engages with Radian6 Outdoor Ads Pepsi Refresh Campaign Listened to thousands of conversations Web Ads Immediate feedback in Radian6 Changed ad spend for follow-up campaign TV Ads Listen & Engage
Listen to Your Customers on Public Social Networks Tracks 22,000+ conversations / day Monitors 11 languages 13,000 employees trained in social media Listening to every brand conversation Measuring brand sentiment
Marketing Harry Potter on Facebook Facebook apps powered by Heroku facebook.com/harrypottermovie #15 most popular Facebook page 26 Million Likes Fan conversations Aggregated Facebook & Twitter fan feedback E-commerce
The Leading Cloud Platform for Building Cloud 2 Apps Market Leadership Customer Success Product Innovation Enterprise Application Servers Visionary Platform-as-a-Service for App Dev and Delivery Professionals Leader Marc Silber IT Architect 2009 PaaS #1 Market Share Innovation Award "This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report is available upon request from salesforce.com. To access the report, please go to www.salesforce.com."
IT Projects Pre-Cloud Platforms are on a Path to Nowhere Business Needs $500B IT Debt Gap* IT Delivery Time *Gartner: IT Debt to be $500 billion this year, with potential to grow to $1 trillion by 2015. September 23, 2010
Traditional Platforms Make it Impossible for IT to Catch Up Slow App Dev Process Install & Configure Stack Write Code Deploy & Load Test Monitor & Tune Patch and Regression Test You Your App IDC White Paper sponsored by Salesforce.com: Force.com Cloud Platform Drives Huge Time to Market and Cost Savings, Doc # 219965, September, 2009
Force.com is 5X Faster and Half the Cost to Build Apps Deliver Apps 5X Faster Point and Click for Business Users Coding for Developers Half the cost Fewer IT Resources No Hardware/Software Onpremise Software Force.com Includes: staffing, infrastructure, licenses, IT support, and changes. IDC White Paper sponsored by Salesforce.com: Force.com Cloud Platform Drives Huge Time to Market and Cost Savings, Doc # 219965, September, 2009
Force.com: Open Cloud Platform for All Your Apps Business Analysts Professional Developers Appforce Siteforce VMforce Fastest path to departmental apps Fastest path to marketing websites Fastest path to enterprise java apps Fastest path to Ruby Apps
Appforce: The Fastest Way to Build Departmental Apps Appforce Form Builder Report Builder Visual Workflow Mutli-Currency & Language Fast App Dev: 80% point-and-click 20% code Programmable Mobile Control & Compliance
Siteforce: A Revolutionary Way to Build and Update Websites Siteforce Easy to Manage Website 80% point-and-click 20% code Content Delivery Network Integrated CMS Point & Click Editor Website Components *Visual Designer, CMS, and Components currently planned to be generally available in 2011
VMforce: Build Enterprise Java Apps in our Trusted Cloud VMforce Java Runtime IDE Spring Framework JPA Your Java Code Run in Our Cloud
Heroku Gives Developers a Rock Solid Ruby Cloud Platform Ruby Instant Scalability Instant Deployment Open Architecture 1M Ruby Developers Rapid Development Productive Programming Mobile & Social App Dev Run in Our Cloud #1 Cloud Platform for Ruby 110,000+ Live Apps Instant Deployment and Scale
ISVforce Instantly Gives ISVs the Multi-tenant Magic of Force.com ISVforce ISVs Application Services Auto-Upgrade Customer Success Console Infrastructure Services Trials and Provisioning Mobile and Social 1,100+ Apps
The World s Leading Cloud Computing Marketplace IT Help Desk Accounting Field Service esignature Data Cleansing Compensation Management Recruiting Contract Management Proposals & Presentations Email Marketing
Caesars Entertainment Bets Big with Force.com Room Reservations App Human Resources App Player Management App Over 1000 Users, Across 40 Properties 100,000 Room Reservations Per Year Built in Chatter for Collaboration Scott Lake Director, VIP Marketing
Avon Builds Global Visibility Across 175,000 Users With Force.com Leadership Management App 175,000 users 60+ country rollout Mobile Access 4 Months to Build Peter Winters VP, Information Management
The First Enterprise Database Built for Cloud 2 open for any language, platform, and device trusted by 90,000+ companies cloud 2 database for social & mobile apps
Only Enterprise Database Built for the Cloud Enterprise Database Relational data Full text search User management Row-level security Triggers & stored procedures Authentication APIs Power of Cloud Computing No hardware No software Elastic Auto-upgrades Auto-back ups Auto-disaster recovery
Open for Any Developer on Any Platform Any Language Any Platform Any Device
World s Most Trusted and Secure Database Trusted Security Certification 92,000+ Customers ISO 27001 SAS 70 Type II SysTrust certified Secure Infrastructure SSL Single-sign on Anti-phishing Identity confirmation Secure Access User Security Role-based Security Sharing Rules Row-level Data Access