Building a Foundation for Business Growth

Transcription

1 5/24/2018 SMB Group 1 Building a Foundation for Business Growth May, 2018 Laurie McCabe Cofounder & Partner, SMB Group #smbgroup #lauriemccabe

2 Introduction Laurie McCabe Cofounder & Partner, SMB Group SMB Group Technology industry research, analysis and consulting firm Focus on SMB technology adoption and trends Founded in 2008 Recognized for thought leadership, research and expertise in SMB markets 5/24/2018 SMB Group 2

3 Building a Foundation for Business Growth Business As Usual: A Recipe for Failure Staying Ahead of the Curve Get Organized, Automated and Integrated for Growth Summary Q&A 5/24/2018 SMB Group 3

4 5/24/2018 SMB Group 4 Business As Usual: A Recipe for Failure

5 5/24/2018 SMB Group 5 Seeking Growth is a Business Constant Top SMB Business Goals Attracting new customers Growing revenue Maintaining profitability Improving employee productivity Improving customer experience and retention Attracting & retaining quality employees Improving cash flow Reacting to changing market conditions Meeting compliance/regulatory requirements 47% 46% 32% 31% 30% 29% 26% 24% 20% Source: SMB Group s 2017 SMB Routes to Market Study

6 5/24/2018 SMB Group 6 But the Rules Are Changing Power has shifted from sellers to buyers The bar for businesses keeps rising

7 Customer Expectations Are Rising 89% 82% 81% 68% Expect companies to understand their needs and expectations Agree that technology makes it easier than ever to take their business elsewhere Demand improved response time Anticipate organizations will harmonize consumer experiences Sources: State of the Connected Customer, Salesforce Research; IBM Institute for Business Value 5/24/2018 SMB Group 7

8 The Amazon Effect Keeps Multiplying Using technology to provide convenience, lower prices and faster fulfillment than incumbents 1995: Started selling books online 2018: Disrupting: o Retail o Groceries o Cloud computing o Video streaming o Package delivery? o Healthcare? o Real estate referrals? o Auto parts? o Fashion? 5/24/2018 as SMB Group 8

9 2015 5/24/2018 SMB Group 9 The Creative Destruction Cycle Is Speeding Up S Average company lifespan on &P Index (in years; rolling 7-yebar average) Sample companies entering and exiting the S&P 500 between IN OUT Facebook Regeneron MGM Resorts PayPal UnderArmour??? Yahoo! Dupont Staples Urban Outfitters Starwood Hotels???

10 What Customers Want 5/24/2018 SMB Group 10 Understand my needs and preferences Provide me with a smooth, easy purchase process Offer great service 24x7 from presales to post sales Get me what I need-- when, where and how we want it Innovation to adapt to my changing needs

11 Staying Ahead of the Curve 5/24/2018 SMB Group 11

12 5/24/2018 SMB Group 12 Digital Transformation: No Longer If, But When and How Digital transformation: how businesses use digital technologies to create new and/or modify existing business processes, practices, models, culture and customer experiences to meet changing business and market requirements

13 5/24/2018 SMB Group 13 You Need to Put Technology to Work to Grow 76% Agree/strongly agree that digital technology is reshaping our industry 76% 55% of SMBs currently investing in technology to support new business initiatives forecast revenue growth of SMBs planning to invest in technology to support new business initiatives forecast revenue growth 74% Agree/strongly agree that using new technology effectively is key to our company s survival and growth 46% of SMBs with no plans to invest in technology to support new business initiatives forecast revenue growth Source: SMB Group s 2017 SMB Digital Transformation Study

14 5/24/2018 SMB Group 14 But It s Not Easy to Plan and Execute What are the top three challenges to using new technology solutions to transform your business? Hard to integrate new technology with existing 34% We don't have enough money to adequately fund it 34% Inadequate IT resources to support new technology 33% Difficult to figure out which solutions will work best 31% strongly agree that they have a welldefined strategy to use new technology solutions to transform their businesses Security concerns regarding new technologies People are resistant to change It's not a priority for decision-makers Unsure about how to execute to achieve goals We don't have enough time to focus on this 14% 27% 27% 24% 20% Source: SMB Group s 2017 SMB Digital Transformation Study

15 Building on a Bad Foundation Is Never a Good Idea 5/24/2018 SMB Group 15

16 Trying To Grow Your Business with Disconnected Applications Isn t a Good Idea 5/24/2018 SMB Group 16 Most SMBs use a mix of onpremise and cloud-based spreadsheets and point solutions that don t talk to each other Creates a drag on the business Difficult to see what s really what s going on in with your customers Impossible to personalize customer experience as you grow

17 5/24/2018 SMB Group 17 Get Organized, Automated and Integrated to Grow

18 5/24/2018 SMB Group 18 Business Growth Starts with a Solid Foundation Automate Integrate Visibility and Insights Agility and Flexibility Grow Your Business

19 Cloud Deployment 5/24/2018 SMB Group 19 The Cloud Makes It Easier to Add New Applications SMB Collaboration Contact and customer relationship management Business intelligence and analytics 60% Accounting/ERP Marketing automation Workforce and/or payroll management More flexible Easier/faster to deploy 40% 20% 0% More cost effective Improves business agility Source: SMB Group s 2017 SMB Routes to Market Study

20 But Hasn t Always Made It Easier to Integrate Them After-the fact integration is difficult, costly and hard to manage One-off manual data entry (via spreadsheets) or point-to-point integrations can work with a couple of apps--complexity, cost and manageability issues escalate quickly as you add more apps Third-party integration tools are often complex and expensive What method(s) do you currently use to integrate applications? Manual data entry via Excel or other batch file uploads (by internal IT staff) Custom code (written by internal IT staff or by a consultant) Pre-built integration from business software vendor(s) Third-party integration solution e.g. Dell Boomi, Actian Pervasive, Scribe, MuleSoft, Jitterbit, etc. (done by internal IT staff) 12% 23% 32% 52% *Multiple responses allowed Source: SMB Group 2017 Routes to Market Study 5/24/2018 SMB Group 20

21 Advantages of Integrated Solution Suites Much easier to use a solution that already looks and feels integrated Saves you time and money Improves user productivity Gives you getter visibility into your customers and business processes so you can be proactive and make better decision making Less heavy lifting and IT costs for integration Easier to expand as your business grows 5/24/2018 SMB Group 21

22 Level of Integration Integrate Applications to Focus on Growth, Not Grind Revenue Expectations Increase Stay the same Decrease Not at all integrated 14% 31% 22% Partially integrated 25% 29% 31% Fully integrated 54% 29% 25% Source: SMB Group 2017 Routes to Market and Digital Transformation Studies

23 Integrated Solutions Suites are a Springboard to Growth Technology backbone to automate and integrate your applications now Flexibility to add new capabilities as needed in an incremental and integrated way Consistent interface makes it easier for users to get productive with new applications On ramp to new technologies that you ll want to use artificial intelligence, machine learning, voice, blockchain and more Minimize the heavy-lifting! 5/24/2018 SMB Group 23

24 Thank You For more information: 5/24/2018 SMB Group 24