Yocale’s “Book Local” Solution for Small Businesses

Laurie:      Today I am speaking with Arash Asli, who is the Chief Executive Officer at Yocale.  Arash and I met earlier this year at a Salesforce event.  Arash’s company, Yocale, provides small local businesses with some very compelling marketing services.  Arash, can you tell us about Yocale and the problems that you help small businesses solve?

arashArash:        Absolutely. Yocale’s story started with a basic search on a smart phone for a local service, a massage therapist actually, and in the frustration of not being able to reach any therapist or book an appointment in the evening. So it sparked the idea for a listing site that people could use to find info on local service providers, and then book them online—kind of like a combination of Yelp and OpenTable, but for appointment-based services. This of course helps customers easily find and book appointments. The YoCale platform becomes the place where the local consumers can discover, book, and review local service providers within their community. So you don’t have to drive 10 miles across two suburbs for a hair stylist when there’s a great right in your neighborhood—who may also be able to recommend a local massage therapist or a personal trainer nearby.

But our key mission is to support appointment-based local businesses by helping them to attract local customers, take the friction out of scheduling, and increase customer satisfaction. Just like the buy local movement, we’re like the book local movement basically with a mission of encouraging consumers to book local with service providers.

Laurie:      This seems to be part of the trend towards more specific or individualized marketing services for different kinds of businesses, with Yocale targeting local small business service providers.

chiropractorArash:        Exactly. In addition to marketing, we also help them automate operations, such as online booking, text and email reminders to reduce no-shows, email marketing, SEO optimized search, staff scheduling and more. Our software tackles two of the main challenges that these businesses face, which are marketing and data security and records management, which are two of the top SMB challenges that you covered in SMB Group’s 2016 Top Ten SMB Technology Trends. Once we help appointment-based businesses attract new clients, solution makes it easy for them to manage their entire business on securely in the cloud, from any device.

Laurie:      Right, right, and this is for service providers, which are actually a bigger percentage of small local businesses than those selling physical products, and their needs are definitely different.

Arash:        Absolutely. For these businesses, online marketing can be extremely difficult and it can be expensive to stand out and get the traffic online. With the Yocale marketplace, we group all the service providers in one community together, so we can funnel bigger stream of motivated local purchasers. This makes it easier for service providers to get discovered, and streamlines the booking process for appointments.

Another way we help is with the Yocale internal referral system. We have a community of local service providers, and we promote complementary services to the consumers or the members of Yocale that are booking services. So, when the client books an appointment with one service provider, we let them know that they can book their other services in the same area with the same account

Laurie:      What areas is the Yocale service available in?

booklocalArash:        We initially launched Yocale in Vancouver, Canada, and we’re expanding to other areas.  So, we have customers from various different cities throughout North America and overseas now. People are signing up because we help them to market more effectively, automate operations, such as invoicing and staff scheduling, and to manage clients. When they start using our software, they automatically become part of our marketplace.

Laurie:      So, if you’re a small local service provider in an area and you haven’t really heard of Yocale or familiar with it, how would you start kind of taking advantage of it and using it in an area that you guys haven’t kind of officially entered yet?  Is there a way to do that?

Arash:        Yes. Those customers can still sign up, and we can help automate their operation, with the functions we discussed.  So as long as they do business in an English-speaking country and in the appointment based business, we can help them.

Laurie:      Okay, great, and do you have anyone, just to kind of maybe wrap up, do you have like your favorite example of a local services business where using this has really made a difference?

Arash:        Yeah, absolutely.  I’ll just use an example of a well-known hair salon in downtown Vancouver. Their clients are high net worth individuals, celebrities. They were doing a lot of things manually, working 10 – 12 hours a day to just to try to keep customers happy from a point of view of being able to schedule and reschedule them. And time is a precious commodity for a lot of small, local service providers.

With Yocale, people can book online and they can reduce their no shows. It’s saving the salon a lot of time and aggravation. It’s really taken off—about 85% of their customers now book online.

Laurie:      Thanks, Arash, for the Yocale overview.

Thinking About Going Global? Read This Book First

book-cover-2016-3This past week, I had the opportunity to talk to Steve Creskoff, a lawyer and a leading expert on international trade. And Steve has just published a new book called “What You Need to Know to Go Global: A Guide to International Transactions.” The best part about this is he’s written it specifically for small and medium businesses that want to explore their options in the international market.

Laurie: Steve, I’m excited to talk to you, because in our SMB Group surveys and the research we do, we see that only a small percentage of U.S. SMBs do business outside of the United States. So, first of all, why do you think this is?

Steve: Well, this is just what the case is today, and it’s unfortunate because small and medium businesses are very competitive internationally. They need to think more about their position in global markets. The statistics tell us that, in terms of trade and goods, only about 23% of U.S. GDP is in trade and goods, and about the same for trade and services, and this is very low. The lowest for any developed economy. So, our small businesses often are not aware of the international opportunities for them.

Laurie: That is very similar to what our data says. But I didn’t realize that the U.S. is the lowest.

Steve:  For a developed economy, we’re by far the lowest.

Laurie: So why should more small and medium businesses think about doing business beyond U.S. borders?

Steve: Well, first, let me talk about services. Our economy is about 80% services, and a lot of those services are tradeable, and we’re extremely competitive internationally with our services businesses. We export more services than any other country in the world by far and we have a very favorable surplus in trade and services, so this is important. The politicians don’t talk about that, but this is an area of international trade where we’ve been very successful. And then, of course, about 94 to 95 percent of world population is outside the U.S., so there are all sorts of opportunities for small businesses, whether it’s services providers or if they have a tangible product. So, there are great opportunities that should not be ignored.

Laurie: What are the risks to ignoring the potential?

Steve: First, what you don’t know can hurt you. If you’re not aware of how your product is situated internationally, an international competitor can come into the U.S. market and eat your lunch, so to speak. So, you have to be aware of… You have to evaluate your product or service for the international market and for the global economy, no matter how small you are. For instance, I’m a very small service provider, but most of my work is international, and that’s the case with a lot of businesses that I know.

Laurie: Yes, but many business owners don’t see a ready opportunity to extend their business overseas. Do you have a couple of examples you could share of creative ways that SMBs have gone into new markets.

stephen-profile-square-244Steve: Well, first of all, it’s like domestic business. It’s all about people. It’s about meeting people, developing a personal relationship, and telling them about your product or service. You can do this at international trade shows. You can do this through visits, as you do, of course, for domestic clients. And, of course, there are government resources, which are valuable. The U.S. Commerce Department and Small Business Administration have excellent resources. And last but maybe most important are the new internet platforms that have been developed that open up all sorts of potential for international business. Probably it’s an exception about my point about meeting the people, because now you can actually put up your goods or services on an Internet platform and start engaging with prospects in new countries through that.

Laurie: Right. The Internet definitely makes the world smaller. Do you have a favorite business story about a particular business that did something innovative in terms of going to market in another country?

Steve: Well, I’m legal counsel to the Trade Association of Fencing Manufacturers, and one of the members makes equipment to manufacture fencing. They’ve sold in more than 60 countries around the world. They’re located in Southern California. It’s a small business, and it’s not a new technology, but the services component is very important because they send people to their customers to train them on how to use the equipment, and that’s been very significant. So, there are many, many examples of small businesses that have been extremely successful.

Laurie: And you can differentiate yourself with customer service.

Steve: Yes. We think in terms of products and services being separate, but they’re not really. Maybe you’re selling a tangible product, but the services might be critical to that product. Conversely, you may be selling a service, but there may be certain tangible products that support that service

Laurie:  So, once a business owner says, “Hmm, I think I do have an opportunity to compete in this market. I can differentiate on either innovation, my product, or service, or whatever,” some of the key financial or regulatory or other kinds of considerations that a business really needs to understand to be successful?

Steve: It’s not really rocket science. There’s a great deal of uniformity around the world in terms of the regulations that apply to international trade and goods and services now, whether it’s a World Trade Organization agreement or a different type of international agreement. Because our businesses are so successful in the area of technology, export controls is one issue I would identify. Not that many goods and services are subject to export controls, but anything that is a so-called dual use item that might have a military application, the commerce department is responsible for that regulation here in the U.S. But businesses can very quickly find out whether there may be an issue or not. Only about 10% of exports are subject to export controls. As far as import controls and taxation and so forth, there are a lot of advisers that can be helpful, whether they’re freight forwarders, customs brokers, trade consultants. And, of course, the commerce department and the small business administration also provide advice. And my book–I’ll be shameless and promote my book!–has a great deal of detail and provides an overview of these various regulations so that a business can have an idea of when they should be talking to a consultant or a lawyer and when they’re probably okay.

Laurie: Absolutely. This has really been interesting, and starts to lessen some of intimidation about expanding a business internationally. But we’ve only just touched on just the tip of the iceberg. As you said, business owners that want to learn more can find a wealth of information about key considerations in your book, “What You Need to Know to Go Global,” which is available on Amazon and Barnes & Noble, both in paperback, and for Kindle and other ebook formats.

Steve: Thanks. Businesses can also check out my website. And I’m happy to say that the World Trade Organization in Geneva has taken an interest in my book, so my official book launch is going to be September 28th in Geneva. I’m very happy that they like the book and they’re going to be joining me in promoting it. The book isn’t t intimidating in terms of a lot of technical detail, and you can skip chapters if you’re not particularly interested in a given area. It’s like a travel manual. You read the parts that are of interest to you and relevant to your business and you can skip the other parts. So, I hope that many of your listeners will take a look at my book and start exploring their options.

Laurie: Thanks again, Steve, and best wishes for the book launch.

 

 

Using Sales Management Solutions to Boost Sales Productivity and Customer Satisfaction

SMB Group research consistently shows SMBs view attracting new customers, growing revenues, maintaining profitability, improving cash flow and improving customer experience and retention as their top business goals (Figure 1).

Figure 1: Top SMB Business Goals

Slide1

With that in mind, I was interested in talking with Karen McCandless, market researcher at GetApp, a sales management software comparison and reviews site, on her latest study. The study shows that a majority of B2B sales professionals lack  confidence in their sales strategy. Karen, can you tell me a little about the study, and what you found?

Karen: For our study, we surveyed 250 B2B sales professionals in North America. We found that 67% think that their small business selling strategy needs improvement to help them generate leads. Digging deeper, it seems that they are more concerned about the quality of leads than the quantity of them.

Laurie: Yes, we hear the same thing. For lack of a better term, SMBs often take a shotgun approach that may bring in lots of leads, but fails to bring in quality leads that are a good fit for the business.

Karen: Exactly. In fact, we spoke with Salesforce’s Global Customer Growth and Innovation Evangelist, Tiffani Bova, for our study, and she explained that the biggest opportunity to improve lead performance was to, “incorporate personalization and intelligence into [the] sales process.” This missing element is backed up by our data as well: Just 10% of sales reps believe that their B2B customers are looking for any kind of personalized service when purchasing. These facts help paint a picture as to why that two-thirds of sales professionals think their sales strategy needs help.

If salespeople rarely think their customers want personalized service during the sales process, it leads to B2B customers focusing more on factors like ‘price’ when it comes to purchasing (which 64% of our customer sample cites as the most important purchase factor), forcing salespeople to fight over price.

Laurie: Sure, and the race to the bottom is one most SMBs can’t win against large companies. So, your survey also looked at how SMBs can use sales management software to help them to compete more effectively. What did you learn here?

Effect of sales software on revenue_GetApp 2016Karen: We found that 66% of SMB sales professionals currently use sales management software, while a third still doing things manually. Not surprisingly, among those using these solutions, 86% have seen an increase in revenue, and 93% reported a boost in productivity.

Laurie: We see very similar results in our studies. Technology is increasingly part of the business fabric, and SMBs that invest in technology to automate business processes can get a great return on their investment.

Karen: It can really help automate manual, time-consuming tasks, freeing reps up to focus more time on areas such as prospecting, nurturing and closing deals. These solutions also give sales reps more information about their leads and prospects so they can make better decisions. Together, this can help improve the sales process.

Laurie: Were there any other key findings from this study?

Karen: Yes. We heard very positive things on the value of sales training: 92% of respondents said that the additional training they have received has increased their selling abilities. We also found that sales people view one-to-one coaching, delivered on an ongoing basis, as the best type of sales training.

Subject matter is also important, such as equipping sales professionals with the right software training to help them to harness the soft skills they have developed. In addition, we found only 15% of salespeople use social media to generate leads and better engage potential B2B clients (compared to 27% for both phone and in person).

Laurie: Yes, this is a critical area that sales people need help with, because online reviews, ratings and social media increasingly shape buying decisions. But even though technology solutions offer great benefits, SMBs are often confused and challenged when it comes to deploying new tech solutions. In fact, in our 2015 SMB Group Routes to Market Study, respondents ranked “implementing new technology solutions” and “figuring out which technology solutions can best help my business” among their top three technology challenges. Your thoughts on this?

Karen: Well, if you’re a small business looking to implement a sales management or CRM for the first time, you need to take several considerations into account. This includes factors such as deployment speed, cost, training needs, features, integration with other software you are already using, can it grow with your business, and mobile capabilities. Cloud-based sales management software can help here, as having the software hosted generally means quicker setup (with less downtime), predictable cost with less to pay up front, the ability to add and remove users easily, simplified IT management, and more updates more often. Plus most cloud-based systems these days are intuitive and have mobile capabilities, which makes adoption easier.

Laurie: Yes, all of the above. In fact, we find ease of use often trumps price when SMBs are making software decisions, so its no wonder that cloud based CRM is becoming the norm. And while the PC isn’t dead, people are doing more work on mobile devices. In our 2016 SMB Collaboration, Communication & Mobility Study, 67% of SMBs said that mobile solutions are changing how they communicate and collaborate. Any final insights?

Effect of sales software on customer satisfaction_GetApp 2016Karen: In addition to the increases in revenues and productivity, we found 78% of salespeople have seen an increase in customer satisfaction after adopting CRM solutions, which I think underscores the fact that these solutions free up salespeople to focus on creating a selling process that caters to the customer, thus allowing small business to have a leg up and compete with the big fish.

Laurie: Absolutely agree with that, Karen, and thanks for sharing these findings and your perspectives with me.

Missed Sales Machine? Attend the Encore Presentation!

I had an amazing time attending and being a panelist at #SalesMachine in NYC a couple of weeks ago. Maybe the best line up of inspiration, motivation and education I’ve seen at one event! Plus, there were so many great opportunities for networking.

SM16-Twitter-1025x512-EncoreStream

If you didn’t get a chance to attend, Salesforce and SalesHacker are presenting a 2-day Encore presentation of the entire Sales Machine event on July 6 and 7. Just use this link,www.salesmachinesummit.com/encore, if you’d like to attend!

Can IBM’s Redesigned PartnerWorld Move the SMB Needle?

ibm pw logoEast coast weather and flight issues foiled my attempts to attend IBM’s annual PartnerWorld Leadership Conference last week. I was disappointed, as IBM took advantage of the event to formally launch its newly revamped PartnerWorld program, which focuses on helping partners drive business in strategic areas, most notably in cognitive and analytics. However, I was able to talk to Brig Serman, IBM’s Director of Global Commercial Business, about what these changes mean for IBM, its partners, and small and medium business customers.

Here are some of what I consider the key changes that IBM made, followed by my perspectives on them.

  • Introduced the newly named “commercial segment.” This segment includes the former midmarket segment (businesses with less than 1,000 employees) and “white space” larger enterprises in which IBM has a small or non-existent footprint. IBM has consciously moved away from identifying this segment based on company size, and calling it “SMB” or “midmarket.” Big Blue made the shift because it believes that this segment—which it sells to via the channel—is not well-defined by size, and that other characteristics such as different buying and consumption behavior, including self discovery, self-service transactions, a preference for cloud, and partner involvement.
  • Committed to a channel only model for the commercial segment. IBM has committed to serving this segment by driving higher value solutions exclusively through its global business partner network. Brig’s group includes 450 IBM sales people. Each is responsible for a territory, from understanding market requirements to driving engagement with business partners to increase penetration in that territory. IBM sellers will only be compensated if the sales transaction goes through a business partner.
  • Redesigned the PartnerWorld program to help partners provide more value to this segment. IBM is offering partners refined “roadmaps” to help partners identify and build skills in selected areas in a more simplified and integrated way. These roadmaps direct business partners to invest in software asset certifications for all software brands, with a focus on analytics, cloud, security and mobile solutions. Partners will earn incremental incentives for sales in these areas, offering margin opportunities that are two to three times higher than for hardware sales. The goal here is to help partners move away from hardware only sales towards higher value solutions that include IBM software, industry expertise, their own IP and/or integration. IBM is also providing Business Partners with the shared best practices of its most successful partners, so they can model skills investments, lead generation, presales and post sales support more effectively and make investments that will pay off.
  • Announced new digital programs to help partners build skills. IBM is expanding digital partner benefits. It has overhauled the PartnerWorld University portal, which offers web-based training for both sales and technical skills, adding new courses and certifications, and giving users more tools to track and manage their progress. IBM is also adding Digital Marketing workshops to help partners use digital and social media more effectively. Big Blue is also expanding its Business Transformation Initiative (BTI) to help more partners move up the solutions value chain. Finally, IBM is offering developerWorks.Premium at a reduced price to help developers more easily tap into the IBM ecosystem and build new applications on IBM Cloud.

Perspective

Although IBM has changed the name, the Commercial segment really has the charter as it did before the name change: to help IBM more effectively reach the millions of businesses that it doesn’t sell to today.

IBM’s new channel programs and directions will certainly help IBM increase its footprint in the large enterprise “white space,” where its worth it in terms of deal size for the business partner and IBM to make the investment. The new initiatives are also a step in the right direction in terms of making gains in the SMB market, as partners are clearly IBM’s best bet to grow, scale and make headway in this diverse and complex space. Boosting partners’ technology, sales and marketing expertise will help them make some inroads with prospective IBM customers. These tactics should also help partners more easily surface solutions that might be a good fit for SMBs who are looking to solve a problem.

But IBM also has a big perception problem in the SMB market. Many SMBs believe IBM lacks solutions that are relevant, consumable, and priced right. While IBM does have some solutions, such as SoftLayer, IBM Verse (for collaboration) and cloud-based Watson analytics that are suitable for SMBs, and has recently begun offering free trials for a handful of them. But, most SMBs are blithely unaware of them, and while IBM has the vision, it really doesn’t have mechanisms in place to stimulate the type of viral adoption that vendors such as Google, Box and Slack have enjoyed. In fact, IBM’s cloud marketplace is just in the early stages, and having IBM solutions in third-party marketplaces is also nascent.

Furthermore, all businesses (regardless of size and whether or not they are IBM customers) are doing much more research, comparisons and shopping and purchasing online. IBM is changing its high-level value proposition (e.g. easier to discover, shop for, buy and use) to accommodate this evolution, and intends to make the necessary business model and solution changes required to execute on it. But, this type of tectonic shift will take time, and in the interim, it will be difficult for IBM raise awareness about the relevancy of its solutions for the broad SMB market.

Given these realities, helping business partners to invest to accelerate skills development and marketing and sales movement will only go so far. To really move the needle, IBM needs to fully execute on significant cultural, business model, sales and marketing and product design changes. Whether or not IBM has the will to put enough time, energy, commitment into the market to make bigger gains this time remains questionable.

Does Salesforce’s Refreshed SMB Strategy Add Up?

salesforce logoSalesforce hosted its second annual Analyst Summit last week. This year’s format was much more engaging and interactive format than last year, sparking lots of interesting questions and discussions among analysts and the Salesforce team.

At a high level, Salesforce’s executives laid out the company’s key themes for 2016, which included:

  • Continuing to invest in its core CRM space to maintain market dominance. To that end, Salesforce recently introduced its new Lightning user experience and development framework, along with Trailhead, its interactive learning platform to help users and developers transition more quickly and easily to Lightning.
  • Using IoT to strengthen customer engagement. Salesforce announced Thunder, its IoT Cloud, at Dreamforce 2015. Salesforce’s Adam Bosworth emphasized that while Thunder isn’t yet ready for prime time, it is in pilot with several customers. Salesforce is focusing on connecting IoT with business processes and customer experience to help its customers to help drive sales and revenues.
  • Reimaging Wave Analytics to provide better insights to users. Salesforce initially launched Wave Analytics as a platform in 2014, with plans to develop apps on top of the platform over time. After hearing from customers that it was too expensive and focused too much attention on the platform play and not enough on providing enough prebuilt apps for business users, Salesforce introduced its next iteration of Wave at Dreamforce 2015. In addition to a streamlined pricing model, the new version offers prebuilt sales templates and apps that make it easier for sales reps to get more value from their customer data.

Of most interest to me, however, was that Salesforce devoted more time to its strategy and solutions for SMBs than last year.

From SMB Startup To Enterprise Powerhouse

Salesforce.com website circa 1999, courtesy of Internet Archive Wayback Machine (https://archive.org/web/).

Salesforce.com website circa 1999, courtesy of Internet Archive Wayback Machine (https://archive.org/web/).

When Salesforce was founded in 1999, it was focused on the SMB market. As a cloud pioneer, Salesforce captured the market’s attention with its story of faster, easier, better and less expensive CRM. While SMBs were its target in the early going, the marketing genius of Benioff and a stellar sales team quickly moved Salesforce upstream, and capitalized on replacing enterprise dissatisfaction with Seibel to become the undisputed 800-pound CRM gorilla in the enterprise market.

To accommodate demands from large customers and a rapidly evolving market, Salesforce expanded its vision over the years to become what it now terms a “customer success platform.” Today, this platform encompasses many parts and solutions, including:

  • Multiple editions of its core CRM solution
  • A veritable storm of clouds (sales, marketing, service, community, etc.)
  • New Thunder and Lightning initiatives
  • More than 35 acquisitions, from ExactTarget to SteelBrick.

However, as I wrote in this post, Salesforce’s SMB Story: Great Vision, But a Complicated Plot Line, amid its enterprise success, the Salesforce story became harder for the average SMB to parse through. And, while the vendor offered relatively low entry-level pricing for it former Group Edition ($25/user/month), SMBs faced a steep jump to Professional ($65/user/month) if they needed more functionality that many wanted, such as pipeline forecasts, campaign management, contract storage and quote delivery, custom reporting and dashboards.

Either as a by-product or intentionally, Salesforce’s SMB story has evolved to focus on the “fast growth” SMBs and digital elite, where it has done an excellent job of capturing market share.

But when it comes the vast majority of SMBs the math is revealing. True, Salesforce is the #1 CRM vendor in SMB: SMB Group’s 2015 Routes to Market study shows that 25% of SMBs (1-999 employees) that currently use a CRM solution use Salesforce. However, 75% use other brands, from old-guard competitors such Microsoft and ACT!, to newer ones such as Insightly and Pipeliner. And then there are all of the SMBs still using Excel, email and/or basic contact management solutions.

Furthermore, according to Salesforce, about 150,000 businesses in total use its solutions, and about one-third of them (or 50,000) are SMBs. When you consider that there are roughly 6.5 million SMBs with employees (plus another 17 million or so solopreneurs) in the U.S. alone, Salesforce has barely scratched the surface in SMB market.

Salesforce’s New SMB Story

Recently, Salesforce has begun to refocus its SMB story, for a few reasons. In addition to the huge, untapped market potential, Salesforce sees SMBs as canaries in the coal mine in terms of requiring the simplicity and ease of use that all businesses—even large ones—increasingly demand from business application vendors. Salesforce also wants to tap into SMB diversity and innovation to help keep pits own focus fresh.

Screen Shot 2016-01-19 at 12.57.27 PMTo that end, Salesforce has recently taken a couple of big steps to refocus its SMB story, including:

  • Launching SalesforceIQ for Small Business at Dreamforce in September 2015. Positioned as “the smart, simple CRM to grow your business,” SalesforceIQ, at $25/user/month, replaces Group Edition as the vendor’s CRM entry point for SMBs. Based on the acquisition of RelateIQ, SalesforceIQ automatically captures, analyzes and surfaces customer information across email, calendars and other channels, using pattern recognition to provide users with sales insights and proactive recommendations.
  • Announcing a free integration between Desk.com, Salesforce’s small business customer service app and SalesforceIQ. The integration gives give SMBs a unified view of their customers, enabling them to provide the more connected, personalized experience that their customers will increasingly demand.

Screen Shot 2016-01-19 at 1.02.03 PMSalesforce also quietly rolled out Trailhead  in 2014, and then showcased it at Dreamforce 2015. Trailhead provides users, developers and administrators with a guided, learning path through the key features of Salesforce to help people get more value from Salesforce solutions more quickly. According to Salesforce, Trailhead earners have passed more than 1,000,000 challenges, earning more than 250,000 badges.

In addition, Salesforce’s AppExchange—one of the first and most successful app stores, which just celebrated its 10th birthday—offers more than 2800 applications that integrate with Salesforce). Many of these are SMB-oriented, and Salesforce continues to ramp up SMB partnerships and integrations, with vendors from MailChimp to Slack to Sage Live (link to blog) on board.

Perspective

There are many things I like about what Salesforce is doing in the SMB space. I think SalesforceIQ gives SMBs a much better bang for the buck than Salesforce Group Edition. Furthermore, the integration between Desk.com and SalesforceIQ gives SMBs a cost-effective way to improve their customers’ experience, and level the playing field against larger companies in today’s increasingly social, omnichannel world.

Salesforce’s ecosystem is also a huge plus for SMBs that are already Salesforce customers. The AppExchange makes it easier for SMBs to find apps that will work well with Salesforce, and reduce potential integration issues. Meanwhile, Trailhead is one of the most fun training programs I’ve seen in the business applications space.

But, Salesforce will need to do more if it really wants to become an SMB mainstay. First, of all, Salesforce needs to improve SMB segmentation and understanding. Sure, it gets those Silicon Valley startups, but it needs a deeper understanding of the broader SMB landscape and their diverse attitudes and requirements.

This leads to my next point, which is that the broader swath of SMBs still need a lot of business and conceptual education about how and why sales, marketing and customer service are changing, and what they need to do to succeed amidst these changes. Salesforce paved the way in educating SMBs about the big picture benefits of the cloud, it should have the same lofty goals in terms of educating them about the new customer journey.

In addition, Salesforce says that there is “a clear migration path” from SalesforceIQ to Sales Cloud. While it sounds like Salesforce can easily migrate data from SalesforceIQ to Sales Cloud, the applications are built on different code bases, and have different user interfaces. So its not intuitive as to how this works in real life in terms of user learning curves. As important, what is the strategy for all of the ISVs on the AppExchange that target SMBs? They’ve integrated with Sales Cloud offerings, not with SalesforceIQ. Since Salesforce is now pitching SalesforceIQ to SMBs, what do they need to do, and how will Salesforce help them? Another question is how does Lightning—and Thunder for that matter—fit into the SMB story?

That said, as evidenced at this event, Salesforce is listening, and is formulating plans to increase investments to educate and engage SMBs both locally and online. While engaging the broad SMB market is never easy, Salesforce has the right attitude, and the brand and budget to create a wider lens through which it can gain the pulse on SMBs it needs to capture SMB attention and market share.

Note: Salesforce hosted me at Dreamforce and paid for my travel expenses. 

New Rules for Tech Vendors: How the SMB Buying Journey Is Changing

So many vendors are interested in selling to SMBs, or selling more to them—for obvious reasons! It’s an enormous market and many areas of the market are ripe for new technologies and solutions.

But over the years we’ve seen so many vendors flail—and even fail—when it comes to successfully reaching, selling and serving SMBs. And its arguably getting even more difficult to be successful as as the SMB landscape changes and more vendors compete for SMB customers.

So we put this webinar together as a  primer to on some of the key dynamics we see in the SMB market, so you can use it as a starting point to fine tune your SMB marketing strategy and tactics. During the webinar, I discuss:

  • Key SMB technology market trends
  • Insights into how the SMB customer technology journey is changing across the exploration, evaluation, selection and service phases, and their new expectations of technology vendors
  • Eight new rules for technology vendors in the SMB market

Please let me know what you think, and any additional observations that you’ve made related to this area!