SMB Mobile Adoption Disrupts Traditional IT Habits and Spending

We just published SMB Group’s 2014 SMB Mobile Solutions StudyThe survey, which is our fourth annual study in this area, reveals many interesting findings about  how U.S. SMBs are using mobile solutions in their businesses.

For instance, A growing majority of SMBs now regard mobile solutions as essential business enablers, with 60% saying “mobile solutions are critical to our business” (Figure 1). We are also seeing that mobile solutions also account for a growing share of SMBs’ technology budgets, when we compare findings over the past four years, and the composition of spending is changing too:

  • SMB median spending on mobile technology and solutions as a percentage of total technology spending is up from roughly 12% in 2013 to 16% in 2014.
  • Mobile service and device costs still account for the bulk of SMB mobile budgets, but SMB spending in other areas is rising as a percentage of mobile spend
  • SMBs with 10 -999 employees spend 11% of their mobile dollars on apps, 10.5% on security, 11% on mobile management and 8% on consulting

Figure 1:

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The study also shows that mobile applications are becoming more important to SMBs, not only as a complement to traditional business applications, but even as a replacement in some areas. For instance, mobile access has become the preferred interface for collaboration social media apps for a significant percentage of SMBs.

Furthermore, adoption of bring your own device (BYOD) continues to rise: 59% of SMBs with 10 to 999 employees now support BYOD. The top driver for BYOD is that employees prefer to use their own, familiar devices. However, among the 41% not supporting BYOD, security and management challenges are top impediments to adoption.

As reliance on mobile solutions increases, SMBs have a growing number of mobile apps and more diverse mobile devices to manage. Consequently, adoption of mobile management solutions is rising as well. Currently, 45% of SMBs with 10-999 employees use mobile device management solutions, and 36% use solutions to manage mobile applications.

These results highlight just a few of the detailed findings in the 2014 SMB Mobile Solutions Study. Fielded in November 2014, the study surveyed over 700 U.S. SMB decision makers to provide a comprehensive view of SMB mobile adoption. The full study package includes findings for very small business (1-19 employees), small business (20-99 employees), and medium business (100-999 employees) across relevant areas, including:

  1. Attitudes about mobility
  2. Information sources and decision making for mobile solutions
  3. Mobile app adoption for internal (employee) users
  4. Mobile app adoption for external (customer, partner, supplier) users
  5. Top benefits and challenges in using mobile solutions
  6. Management of mobile solutions
  7. Budgets for mobile solutions
  8. How mobile adoption affects IT spending and behaviors
  9. Segmentation by industry, business outlook, technology spending, etc.

For more information and pricing for complete study results or for a focused segment, please see the study brochure. For a detailed table of contents, send and email to lisa.lincoln70@smb-gr.com or 508.734.5658.

 

 

A New Way to Work: IBM Design Thinking Creates Verse Via Storify

My Storify recap of key takeaways from #NewWaytoWork launch of IBM Verse.

  1. Fascinating and fun! In my first @IBM design camp!#NewWayToWork

    ·

    9 DAYS AGO

     Last week, I participated in an IBM Design Thinking boot camp, and the launch of IBM Verse, which was created with Design Thinking methodology.

  2. Phil Gilbert: we have to start with the user, empathy and insight—it has been a missing component from biz software #NewWayToWork< +1
  3. “Folder King” made IBM rethink how to find stuff, both structured and unstructured search #NewWayToWork

    IBM Verse is email reimagined. It’s very visual and intuitive. I love that you can see your calendar on the same dashboard as your email–no more toggling back and forth!

  4. Hi everyone! I'm #IBMVerse. Learn more about me and how I can help you find a #NewWayToWork. http://t.co/2jpsW1bRm7 http://t.co/5HCTM7cL2U

    Hi everyone! I’m #IBMVerse. Learn more about me and how I can help you find a #NewWayToWork. http://ibm.com/verse  pic.twitter.com/5HCTM7cL2U
  5. I like that @IBM Verse provides a visual dashboard view of mail, contacts and calendar all in one place #NewWayToWork
  6. Great question!

  7. .@lauriemccabe is it really a #NewWayToWork or just a new way to look at email?
  8. @lauriemccabe: My thoughts: @IBM Reimagines the Email Story With IBM Verse  http://bit.ly/1xM4Tgg  #NewWayToWork

    7 DAYS AGO

     IBM offered some clues about some of the new capabilities it plans to add to Verse.

  9. RT @lauriemccabe: @IBM Verse will add more messaging sources, e.g. Twitter, texts, etc. #NewWayToWork
  10. @IBMWatson is going to lend its brain to @IBM Verse, that might help me a lot ;-) #NewWayToWork

    Another great question!

  11. Hmmm…if @IBM wants viral adoption of Verse, it will need to hook consumers, as Google did, for bottom up adoption#NewWayToWork
  12. @IBM remember a big reason that @google made such big inroads against @Microsoft in biz email-led by viral consumer adoption#NewWayToWork
  13. Verse really looks good, but IBM marketing will need to be just as creative as IBM design to compete for volume against Google and Microsoft.
  14.  Here’s a YouTube video to give you more info on Verse.

  15.  And if you’d like to check it out, you can sign up for a free trial.

  16. I’m using #YourCircuit and saying #GoodbyeEmail How about you? Grab your free trial here  http://bit.ly/1sMAni8  #NewWayToWork

A New Cloud Formation: Dell Cloud Marketplace

This is part one of a two-part blog series discussing Dell’s strategy to help SMBs better capitalize on technology. This first post provides perspectives from Dell World 2014. The second post, Dell’s Strategy to Provide Game Changing Technologies to SMBs, provides a detailed glimpse into Dell’s approach in the SMB market.

dell worldHow has Dell changed since Michael Dell took Dell private a year ago? A couple of weeks ago, I had the opportunity to attend Dell World 2014 in Austin and find out. As I’ve written in past posts about prior Dell Worlds, the transformation has been underway for several years, since Michael Dell embarked on his strategy to transition Dell from a hardware-centric company to an end-to-end solutions provider.

As a private company, Dell is no longer obliged to disclose financial metrics. But, unleashed from Wall Street’s quarterly pressures, Dell appears to be making excellent progress on its goals. For instance, Dell has broadened its software and service portfolios, and claims significant growth in both areas. According to IDC, Dell is also increasing hardware market share no doubt aided in part by competitors HP and IBM. With IBM exiting the x86 server market, and HP’s recent decision to split itself into two companies (one focused on PCs and printers, the other on servers, software and services) Dell is the only vendor left that supplies an end-to-end desktop to data center portfolio. Meanwhile, Dell has evolved to become a significant force in the channel, with 40% of its sales now going through channel partners.

Dell’s New Cloud Marketplace

One of the most interesting announcements at the event was the beta launch of the Dell Cloud Marketplace, which distinguishes itself from many other cloud vendors by offering customers choice. In Dell’s brokerage model, the vendor provides customers with a one-stop shop from which they can select and manage cloud services from multiple vendors, including Amazon, Google, Joyent and Microsoft. The marketplace is built on technologies from Dell’s Cloud Manager, which Dell acquired from Enstratius in 2013. Key technology partners include Delphix, which supplies data migration services; Pertino, for cloud networking; and Docker, for container and portability services. Dell is also partnering with Foglight to provide developers with tools to improve cloud-based application performance.

Screen Shot 2014-11-16 at 7.27.13 PM

Dell Cloud Marketplace is tuned to the different needs of IT managers and developers. IT managers get a single console from which they can provision, manage and integrate private, public and hybrid could services. Meanwhile, developers can get instant, self-service access to cloud services. The concept appealed to conference attendees, with over 400 signing up for the beta the day Dell announced it.

 

Screen Shot 2014-11-16 at 7.27.46 PM

Dell’s vision for its Cloud Marketplace is similar to that of Priceline or Kayak in the travel business. Dell will aggregate, simplify and streamline shopping, selection, purchase and management across many cloud service options. Cloud offerings will initially be sold through Dell.com, Dell’s established, high volume direct sales channel. Over time, Dell is likely to implement reseller programs and possibly even white-label programs for channel partners.

Perspective

Perception is the hardest thing to change. With deep, successful roots in the hardware business, they company has been primarily regarded as a hardware vendor, even though its journey to become an end-to-end solutions provider has been underway for quite a while.

Dell’s move to become a broker of cloud services, highlight the acquisitions, research, development and determination that Dell has been investing in this quest. And, with cloud adoption now mainstream (Figure 1), Dell’s timing for the marketplace is on target as well. The cloud makes it easy for people to buy new services, and more difficult for IT to manage the wide variety of different services that are in play. Providing a solution that gives IT managers more visibility and governance capabilities, while at the same time offering users more choice, promises to help address this challenge.

Figure 1: SMB Cloud Adoption

cloud adopt

Source: SMB Group

However, due in part to the uniqueness of the model, Dell will need to invest in market education to articulate the capabilities and benefits of this new brokerage approach more clearly.

In addition, Dell must create a clear roadmap for what and when it will add to the marketplace to properly set market expectations. For instance, one of the customers I spoke to at the beta would like to use the marketplace to help him manage the wide range of file sharing and collaboration solutions that his users are buying.

Finally with Dell partners accounting for an increasing percentage of Dell sales, Dell will need to come up with an attractive approach to lure partners to resell Dell Cloud Marketplace services.

Disclosure: Dell paid for most of my travel expenses to attend Dell World. 

 

 

Intuit QuickBooks Connect: Where Small Business Is Big Business

This is part one of a two-part blog series discussing Intuit’s strategy to help SMBs better capitalize on technology. This first post provides perspectives from Intuit’s 2014 QuickBooks Connect event. The second post, Intuit’s Strategy to Bring Game Changing Technologies to SMBs, provides a detailed glimpse into Intuit’s approach in the SMB market.

QBconnectLast week, Intuit held its inaugural QuickBooks (QB) Connect event in San Jose. The 4,000-plus attendees included accountants, developers, small businesses, press, influencers and analysts. The agenda included a good mix of updates, announcement and inspiration from an all-star line-up of speakers. Below are my top takeaways from each of these areas.

Turning the Cloud Corner

While newer competitors, such as Xero, have made a lot of noise, they haven’t had much of an impact on the market. Instead, Intuit’s Small Business Group continues on its growth trajectory, especially in the cloud. QuickBooks Online’s U.S. subscribers grew 32% in 2014. QuickBooks is no longer just a U.S. solution, however. Intuit now sells QuickBooks in 124 countries, and has translated the solution into 12 languages. As of September 2014, the company has 705,000 paid subscribers for QuickBooks Online, and a total of 32 million customers worldwide.

cloudIntuit has clearly turned the cloud corner. In 2009, just 5% of new users were online, now the majority opt for QuickBooks Online over packaged QuickBooks products. In addition, 80% of QuickBooks Online customers are new to the Intuit universe, indicating the cloud version is doing a good job of pulling in net-new customers. The event signaled that Intuit will be doing more thought leadership as well, as evidenced by offering entrepreneurs one-on-one speed mentoring by Lean Startup Productions at the event.

Intuit’s QuickBooks Online development platform is also growing. Developer booths were in the spotlight at the event, and hundreds took Intuit’s Hackathon (link() challenge for a shot at winning a chunk of the $100,000 pot. Method:CRM took home the $55,000 grand prize for its Method:Donor app. Payments Cloud by Cloud Conversion, Safety Net by Jobber, and Service Titan won the $15,000 runner-up prizes.

Finally, Intuit’s Accountant Partner Network has always been essential to the vendor’s small business success. Throughout the event, Intuit speakers discussed “the power of we,” and ways in which the company is enhancing Intuit’s QB Accountant Edition to reduce the amount of time accountants need to spend on low-value data entry chores and increase the time they spend providing their customers with strategic business advice (some of which I note below).

Of course, the combination of a healthy pipeline of new QuickBooks Online customers plus a vibrant developer and accountant ecosystem bode well for continued growth.

Sometimes Less Is More

As Intuit CEO Brad Smith noted, Intuit is not focusing on creating more and more features for fewer and fewer small businesses. Instead, the company is looking for ways to make things easier for small businesses. According to Dan Wernikoff, senior VP and general manager of Intuit’s Small Business Group said, Intuit’s goal is to “make accounting completely invisible to small business owners.”

To that end, Intuit is plowing much of its R&D budget (which is about 16% to 17% of its revenues) into making its products simpler for small businesses, accountants and developers to use. Key announcements unveiled at the event included something for everyone:

Small businesses:

  • A full-service payroll solution, that handles payroll tax complexities
  • Automatic synching for bank and credit card transactions in QuickBooks Online
  • Easier ways to create reports, such as P&L and balance sheets in QuickBooks Online
  • Ability to accept credit card payments in QuickBooks Online in under a minute
  • A new payments offering that enables invoicing, accepting payments and updating books
  • A new QuickBooks Self-Employed solution to help freelancers, contractors and home-based business to separate personal and business finances

Accountants: 

The big news here was the new QuickBooks Online Accountant edition, which gives accountants the ability to work on their clients’ books anywhere, anytime and provides:

  • Customizable dashboards that provides snapshots of action items and deliverables.
  • Toolbox for one-click access to any client, from anywhere within QuickBooks Online.
  • Books-to-tax integration, so users can automatically push bookkeeping data to Intuit Tax Online.
  • Integration with Box, to give accountants a better, easier way to share content and collaborate with their clients.

Developers:

Intuit is striving to create a “drop dead simple environment” for developers to build and sell their apps. To that end, Intuit introduced:

  • New developer experience, featuring seamless cloud integration, new SDKs, and simpler documentation to make it easier to call on QuickBooks Online APIs.
  • New payments API to allow deep integrations with QuickBooks Online.
  • New Apps.com marketplace to enable developers to reach more QuickBooks customers with their solutions. Over 400 apps are already integrated with QuickBooks Online and available on Apps.com.

Inspiration On Tap

qbconnect speakersUnbelievably (this from someone who attends many events and co-manages a small business!) all the speakers featured at QuickBooks Connect were inspiring and informative. The speaker line-up was very diverse, but one commonality is that all are successful entrepreneurs. You can watch them on demand at www.qbconnectlive.com. Pearls of wisdom were flowing like water, but here are some of my favorites, which I hope will inspire you too! 

  • Arianna Huffington, chair, president and editor-in-chief of the Huffington Post: Stop wearing “busy” like a badge of honor! It’s not! Success is more than the metrics of money and power. We need health and well-being to be truly successful and happy.
  • Debbie Blox, CEO of Goldieblox, and winner of Intuit’s 2014 Super Bowl ad contest: You need to put yourself out there, and ask for what you need, because it takes a village to create a successful, sustainable small business! Be specific about what you want, and get advisors.
  • Tristan Walker, CEO of Bevel: You don’t get what you don’t ask for, and trials are really blessings in disguise.
  • Martha Stewart, founder and Chief Creative Officer of Martha Stewart Living Omnimedia, reminded us that we need to work really hard to be successful but must be compensated fairly for our hard work, and that once you’re through changing–you’re through!
  • Clif Bar CEO Kevin Cleary: Find people who share your passion and empower them to break things. The future of business is to upend the unacceptable.
  • Marc Andreessen, cofounder and partner of Silicon Valley venture capital firm Andreessen Horowitz: There’s a pivot happening with web, cloud and mobile enabling small businesses to use tech more aggressively.
  • Earvin “Magic” Johnson, chairman and CEO of Magic Johnson Enterprises and NBA legend: Have the courage to say I don’t know everything and to get help! Also, know your customer, serve them well they’ll keep coming back
  • Scott Cook, Intuit Founder and Chairman of the Executive Committee: Every one of Intuit’s successful businesses takes off via word of mouth.
  • Brad Smith, CEO of Intuit: We strive to be the operating system behind small business success.

Perspective

Intuit may have been born in the era of green screens and DOS, but it is now all in with solutions for today’s cloud, mobile, social and analytics technologies. However, one thing that hasn’t changed at Intuit is its commitment to helping small businesses thrive. This combination of strengths bodes well for fueling the next era of innovation for Intuit and for small businesses.

Disclosure: Intuit paid for most of my travel expenses to attend QuickBooks Connect.

Sneak Peak at Dell World’s SMB Focus


mark horanRecently, I had a chance to talk to Mark Horan, Vice President/General Manager at Dell to learn about what Dell World has to offer for SMBs. Here’s a recap of our conversation. 

Laurie: Hi Mark, and thanks for taking time to provide some color commentary on Dell World. As usual, my focus is on small and medium businesses, so can you preview for me what Dell will be doing at Dell World this year that is geared toward SMB customers?

Mark: Just like we purpose-design solutions for SMB customers, Dell World features speakers, sessions, solution showcases, and networking opportunities for SMBs. Two of my favorite things for SMBs are the User Forum, where customers can deepen their technical knowledge around Dell solutions, and keynote speaker Alexis Ohanian, a New York based entrepreneur who founded Reddit.

Laurie: Why would SMB customers and prospects attend Dell World?

Mark: It’s a world-class event and opportunity to network with and learn from not only other SMB customers but other types of organizations from around the world. The diverse perspectives are invaluable. For customers who rely on technology to grow their business, whether they’re Dell customers already or not, it’s a great way to learn about where Dell is going and how that helps customers achieve their goals.

Dell also recently commissioned an extensive research study that explores how respondents adopt, consume, use and influence technology in four key areas – mobility, security, cloud and big data. The research focuses on mid-sized organizations (100 to 5,000 employees) across the globe), and we’ll be sharing and reacting to the results in numerous sessions at Dell World.

Laurie: How many SMB customers do you expect to attend? Do you have any SMB customers being showcased at the event (Executive Track, Partner Summit, Main Track and/or Ancillary events)?

Mark: We expect over 600 SMB customers joining us for Dell World 2014. SMB customers will participate in all of the Dell World tracks: Executive Summit, Partner Summit, User Forum, and more.

Laurie: What particular SMB solutions is Dell showcasing at the event? Addressing which SMB customer problem areas?

Mark: We’ll be showcasing many of our solutions; ones that I think are of particular interest for SMBs include our SonicWALL network security appliances and management consoles that provide industry leading software-designed protection for facilities of all sizes from small branches to massive data centers; our 13G servers and new SC4020 storage array will also be prominent. Systems like these help customers increase performance, reduce their IT footprint, and maximize the value IT can drive for their business.

Laurie: Are there any ‘birds of a feather’ or interactive sessions specifically for SMB customers at the event?

Mark: Absolutely. My team and I will be hosting a reception on Wednesday evening at Cedar Street Courtyard in Austin for SMB customers, channel partners, and Dell leaders in the space. Any SMB customer registering for Dell World should ask their account team for an invite to the reception.

Laurie: I understand that  the Solutions Expo is a bit different this year and geared more around starting with a customer’s problem, then taking that customer down a specific path to a solution. What kind of path would an SMB customer take for the following problem areas at the show:

Mark: It is a bit different this year. It will help customers self-select the most relevant content for them including:

  • Mobility/mobile workforce Connect Journey to Evolving Workforce
  • Security Protect Journey to Security Deep Dive
  • Cloud Transform Journey to Cloud Deep Dive
  • Big data Inform Journey to Big Data Deep Dive

Other Deep Dive areas include: Services, Software, Internet of Things and Data Center.

Laurie: What makes Dell a good choice for SMBs?

Mark: Dell’s ability to provide industry leading and cost-effective solutions from the endpoint to the data center to the cloud that address key needs for productivity, security, data protection, and analytics is world-class. We architect and deploy these systems for SMBs through a dedicated model for sales and support from both our direct sales teams and our channel partners.

Laurie: Mark, thanks so much for the sneak preview, and see you at Dell World.

Disclosure: This post was sponsored by Dell.

California Dreaming? Salesforce’s Dreamforce SMB Story  

This is part one of a two-part blog series discussing Salesforce.com’s strategy to help SMBs better capitalize on technology. This first post provides perspectives from several Salesforce SMB customers on how they are rethinking their business models and using technology to get ahead. The second post, Salesforce’s Strategy to Bring Game Changing Technologies to SMBs, provides a detailed glimpse into Salesforce.com’s approach in the SMB market.


dreamforce2014
Each year, the festivities at Dreamforce, Salesforce.com’s annual user event, intensify. At Dreamforce 2014, the entertainment ranged from musicians as diverse as Bruno Mars and the Beach Boys; politicians as similar as Hillary Clinton and Al Gore; Hawaiian blessings and hula dancers; and Salesforce’s erstwhile mascots, Chatty and SaaSy. Beanbag chairs, giant chessboards, free pedicabs, and lots of liquor-fueled parties added to the carnival-like atmosphere.

But there were also many Salesforce-related keynotes, led by CEO Marc Benioff, and hundreds of Salesforce sessions. Of course, I was most interested in the SMB keynote, led by

The Technology Trifecta

Salesforce sees SMBs as being uniquely suited to use cloud, mobile and social technologies to create new business models and to win customers over from larger, but often slower-moving businesses.

As discussed in SMB Group’s Guiding Stars: Vendor Strategies to Bring Game-Changing Technology Trends to SMBs report, Salesforce is in violent agreement with other technology vendors. The nine major vendors we interviewed for the report (including Salesforce) all view cloud, mobile and social as providing SMBs enormous opportunities to gain business advantages. With customers and prospects racing into the digital future at breakneck speed, SMBs that use technology to stay ahead of their customers will thrive, while those that don’t face extinction.

Though many technology vendors offer SMBs solutions to capitalize on these trends, Salesforce’s SVP of SMB, Tony Rodoni, and Desk.com VP, Layla Sekla of course touted Salesforce as best positioned to help SMBs harness technology to:

  • Scale their businesses with one integrated system
  • Gain better visibility into data
  • Engage customers in new ways

The Salesforce worldview (and that of the customers that joined to tell their stories) skew heavily toward what they described as a “typical silicon valley startup.” These are companies that want to conquer a large market using disruptive technology–ones that will launch and soon face a “tidal wave of demand.”

In reality, this segment represents only a tiny fraction of the SMB universe. But, from my perspective, they zeroed in on how businesses of all kinds can think about and apply technology to improve business outcomes.

Differentiate With Great Customer Service

The heat is on for all companies to provide a great customer experience for obvious reasons. Unhappy customers are likely to stop buying and share their dissatisfaction, costing your business money. Happy ones are likely to come back for more and recommend your business to friends and family. Social media of course, amplifies the influence of customer experience.

muncheryWith this in mind, Munchery is bringing new meaning to meals on wheels. Munchery provides meal delivery of “wholesome prepared dinners, handmade by top local chefs using only the best ingredients, for same-day delivery to your home or office.” In 6 months, its revenues have grown by 400%. Munchery credits its success to using providing customer support “that’s as good as the meals.” The company uses Desk.com to:

  • See what social networks their customers are using, and what they’re saying. Are there trends in what foods people want, such as kale or quinoa (they are in San Francisco!)? Once Munchery spots these trends it integrates them into marketing and meals.
  • Intake cases from Munchery’ mobile app to adjust orders on the fly and respond to them. Munchery can provide great service, and happy customers can also add an extra tip if they’d like. This responsiveness is helping Munchery turn customer problems into opportunities, and create evangelists.
  • Streamline internal communications. The company’s 100 drivers use Desk.com to communicate back to headquarters to help optimize routes and deliveries.

Outsmart The Competition By Re-thinking the Problem 

Accessing, analyzing and acting on data can give SMBs a big advantage over the competition. But building and managing infrastructure to do this takes a lot of time, money and expertise–all scarce resources for SMBs.

zenpayrollAccording to ZenPayroll’s CEO, one-third of SMBs get fined for inaccurate payroll. The three-year old start-up the entered the payroll market, which is dominated by big players such as ADP and Paychex, with a strategy to differentiate by giving users “delightful modern payroll” that works right on day one. While competitors position payroll as a chore, Zen thinks of payroll as employees getting paid and employers showing appreciation. It provides SMBs with a paperless, cloud-based, mobile-first solution in 97% of the U.S. Its 60 employees use Desk.com to solve support issues once, and then take proactive measures to ensure they aren’t repeated. Zen also uses Pardot to automate marketing, sales and nurturing and grow its business, which now processes more than $1 billion in payroll annually. Reeves’ advice to other business owners is to rethink the problem you’re tackling.

Personally Engage Customers

Getting the right message at the right time to customers at the right time is essential in today’s multi-channel world. In addition, the more personal the message, the less likely it is to end up in the spam filter. Salesforce introduced both a B2B and B2C customer to illustrate the importance of personalized engagement.

firstmileFirst Mile told the B2B story. When it launched 2 years ago, U.K-based First Mile saw the recycling market as overcharged and underserved. Its mission is to displace entrenched, inefficient competitors by making recycling easy and responsive. First Mile sees customer engagement as its key to its strategy, and uses innovative business practices and technology to power it. For instance, established competitors require long contracts, so First Mile requires no contracts. While competitors never call their customer except when its renewal time, First Mile makes 100 calls a day to get feedback. The company uses the Salesforce platform and apps to get and analyze recycling stats and help minimize attrition. First Mile’s field sales people also recently began using iPads and Salesforce to directly enter leads into Salesforce, “quadrupling the return on investment from field sales,” over the former double-entry paper and pen to Salesforce method. First Mile’s advice to other SMBs? There are lots of free or low-cost cloud solutions out there. Try the ones you think will help you to find out which ones will give you the return you need.
georgestreetOn the B2C side, George Street is putting a new twist on wedding photos and videos by connecting photographers to brides in 50 cities across North America. George Street handles everything but taking the photos or videos. For brides, George Street creates a personalized experience to ensure they have a great wedding photography experience. The company uses several Salesforce and AppExchange solutions, including Pardot, Salesforce and Chatter lead generation, sales and contracts, photographer and shot selection, notifications and sharing photos. George Street has also created a community for brides to talk about everything from cakes to dresses. It helps facilitated last-minute requests, such as a new shot request, with Chatter. Before they used Salesforce, they did a lot of this manually, but by developing a Salesforce app to automate the process, they’ve sped up the process and can provide a better experience. For instance, it used to take 7 days from a bride’s initial appointment with George Street to close a contract, now the average close time is 24 hours. Automation has helped them scale, increasing the number of weddings they handle by 250%. And, they’ve reduced case incidents by 200%. George Street’s guidance for other SMBs is to focus on delivering an exceptional experience. Automate back-end so your people can spend more time with clients, make them happy and generate boost referrals. Finally, if you’re using Salesforce, find a good developer to help you make the most of it.

Perspective

The writing is on the wall for any business: With customers and prospects racing into the digital, mobile, and social future at breakneck speed, SMBs must proactively deploy technology to improve both business processes and the customer experience. SMBs that figure out how to use technology to stay ahead of their customers’ demands will thrive, while those that don’t will face extinction.

But there are lots of vendors and solutions out there ready to help you on your journey. Is Salesforce right for you? Read Part 2 of this blog series, Salesforce’s Strategy to Bring Game Changing Technologies to SMBs, to help you decide.

Disclosure: Salesforce paid for most of my travel expenses to attend Dreamforce.

Salesforce’s Strategy to Bring Game Changing Technologies to SMBs

This is part two of a two-part blog series discussing Salesforce.com’s strategy to help SMBs better capitalize on technology. Part One, California Dreaming? Salesforce’s Dreamforce SMB Story, provides perspectives from several Salesforce SMB customers. This second post, which is excerpted from SMB Group’s April 2014 Guiding Stars: Vendor Strategies to Bring Game-Changing Technology Trends to SMBs report, provides a more detailed glimpse into Salesforce.com’s approach.

The writing is on the wall for any business: With customers and prospects racing into the digital, mobile, and social future at breakneck speed, SMBs must proactively deploy technology to improve both business processes and the customer experience. SMBs that figure out how to use technology to stay ahead of their customers’ demands will thrive, while those that don’t will face extinction.

But there are lots of vendors and solutions out there ready to help you on your journey, and one-size-fit all doesn’t apply in SMB. Is Salesforce right for you? Read on for information and insights to help you decide.

Slide1

Top Technology Game Changers for SMB

Fifteen years ago, Marc Benioff founded Salesforce with the belief that multi-tenant, cloud computing applications democratize information by delivering immediate benefits while reducing risks and costs.

So it’s not surprising that while the cloud isn’t new, it continues its reign as Salesforce’s top game-changing trend. Salesforce sees cloud as removing the technology and cost barriers so that SMBs can:

  • Bring best practices and automation into their businesses so they grow, do more with less and do it better.
  • Gain real-time visibility into their businesses to improve decision-making.
  • Centralize information, making it easy for everyone to collaborate, no matter where they are, and providing a built-in way to retain knowledge as employees come and go.
  • Take advantage of enterprise class security and reliability trusted by thousands of enterprises at an affordable cost that scales with their business.

Salesforce views the cloud as the foundation and springboard for SMBs to benefit from other game-changing trends, namely mobile and social solutions. Salesforce believes that mobile is becoming the “new normal” user experience. People are already running their personal lives on mobile devices, and increasingly want to click into apps, dashboards and info on mobile devices for work. To that end, the vendor’s Salesforce1 initiative puts mobile first by making 100% of Salesforce functionality and information available to users in a relevant interface on any device.

Social collaboration is also key, not only in terms of marketing, but to help SMBs deliver more responsive service that customers increasingly expect. Social tools and analytics let SMBs increase context about customer and prospect interactions so they personalize how they engage and support them. For instance, Salesforce Chatter can run across everything in Salesforce and some of its partners’ apps, allowing everyone—from the CEO to the receptionist—to get on the same page whether to more readily spot new opportunities or to head off potential problems.

Together, these trends make things more transparent. It’s easier for people to collaborate to get the job done, instead of operating in silos. Salesforce introduced its Communities solution, which its customers can use to manage external relationships with customers and partners in a protected or non-protected way, furthering extending social collaboration capabilities from within Salesforce.

Changes in SMB Technology Expectations and Behavior

As SMBs get more familiar with cloud, social and mobile solutions, Salesforce sees several key shifts underway:

  • Rising expectations for centralized, single sign-on access to apps and data, with everything needed to get work done pulled together from different apps for a complete view.
  • Demand for solutions with built-in collaboration capabilities. Business owners see that collaboration helps the business to deliver better customer and employee experiences, because information flows both ways and provides better visibility to make decisions.
  • Customer service as the “new wave of marketing.” Better visibility and engagement with customers has raised awareness about the importance of servicing and engaging with customers throughout the whole life cycle to drive business, leading service people to take more ownership of the brand.
  • “Try before you buy” is the new normal. SMBs now expect to try—without having talk to rep—solutions before buying them. Salesforce cited one customer who wanted to get Desk.com, Salesforce’s small business help desk service, up and running by himself while watching the Super Bowl.
  • Friction-free technology. SMBs increasingly look for a frictionless technology experience. They have less patience for solutions that can potentially take too much time or cost too much money. They want vendors to demonstrate ease of use upfront, and provide transparent pay as you go pricing.

Although the cloud isn’t new in the industry, Salesforce believes that the concept of being able to gain advantages from enterprise-class software without having to worry about infrastructure is still something many SMBs are just starting to understand. Salesforce’s view is that while the cloud is more common today, some things aren’t “true Cloud” and SMBs are still learning about the nuances of the cloud value proposition. To that end, Salesforce is expanding its educational commitment to SMBs around business best practices. The vendor:

  • Doubled the amount of SMB content at its annual Dreamforce event last year over the prior year, with over 150 SMB breakout sessions, a dedicated networking and expert interaction area, ask the ask experts panels, a dedicated keynote as well as inclusion in other keynotes with SMBs alongside big companies.
  • Will move from one SMB message to differentiated messaging for different types of SMBs and decision-makers, to make it more relevant for different segments and roles.
  • Has recently introduced new SMB resources, including small business blogs, a customer success community.

Perspective: Salesforce as SMB Technology Catalyst

salesforcelogoAs one of the first true cloud computing pioneers, Salesforce seized on the fact that cloud computing removes the barriers for small businesses to gain the same business benefits from technology solutions as larger companies.

Salesforce—via its vision and strong customer proof points—has painted a vivid picture of how SMBs can use cloud, mobile and social solutions offerings for a more user-friendly, streamlined way to run their businesses.

At the low end of the market, many Salesforce customers move directly from Excel or from pencil and paper to Salesforce, underscoring both ease of use and the resulting business value of having real-time information access, anywhere from any device. And, even as it’s grown its star-studded Fortune 500 customer roster, Salesforce has kept SMBs in the spotlight, investing to educate the broader market about how they can use and benefit from these technologies.

Over the years, of course, Salesforce has also broadened its vision and developed and assembled many more components to enable this vision. For instance, there are now 4 editions of Sales Cloud, 3 of Service Cloud and 4 of Marketing Cloud.

At the upper end of SMB, companies may have enough staff, expertise and time to sort through Salesforce’s expanded portfolio, and figure out what’s right for them. But, Salesforce’s story may be getting confusing for smaller SMBs. While entry-level pricing is low, how many small businesses can jump from Group Edition ($25/user/month) to Professional ($65/user/month). While Professional Edition offers a lot more functionality (including pipeline forecast, campaign management, contract storage and quote delivery, custom reporting and dashboards, and a complete view of the customer across sales and service, the price differential is tough for many SMBs to absorb. Alternatively Salesforce does offer desk.com at $29/user/month to customers that have customer service requirements. Again, however, it can be challenging for SMBs to figure out which approach will work best and be most cost-effective.

However, Salesforce plans to increase investments to engage SMBs both locally and online. Not only will this help Salesforce educate more SMBs about the power of technology in business, but also it should give Salesforce a wider lens through which it can get a better pulse on SMB requirements. In turn, this should help Salesforce simplify and streamline solution packaging and positioning. All of which bodes well for its potential to help more SMBs understand and use technology as a game-changer.

Want to know more about how Salesforce’s SMB customers use Salesforce? Read Part 1 of this blog series, California Dreaming? Salesforce’s Dreamforce SMB Story, for perspectives from several Salesforce SMB customers on how they are rethinking their business models and using technology in their businesses.

Disclosure: Salesforce paid for most of my travel expenses to attend Dreamforce.

 

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