Citrix GoToMeeting Named a Market Leader in WebConferencing by Frost & SullivanBy combining social, mobile and video collaboration,GoToMeeting delivers a seamless collaboration experience
2White Paper TitleTABLE OF CONTENTSSignificance of the Market Share Leadership Award....................................... 3Key Industry Challenges Addressed by Citrix ......................................... 3Best Practice Award Analysis for Citrix ..................................................... 4Citrix’s Performance in Web Conferencing Market.................................... 4Key Performance Drivers for Citrix ............................................................ 5Conclusion ....................................................................................................... 8About Citrix ............................................................................................... 8About GoToMeetingAbout Frost & Sullivan .................................................................................... 8
3Significance Of The Market Share Leadership AwardKey Industry Challenges Addressed by CitrixBusinesses today encounter multifaceted challenges including increased competition,fewer resources, and rapidly changing markets. Web and video collaboration technologiesare enabling businesses to do more with less and maintain a competitive edge. In a recentFrost & Sullivan survey of C-level executives, video and web conferencing ranked highamong key enterprise communication applications for awareness and usage. Eighty fivepercent of the respondents indicated that they are aware of the benefits of videoconferencing and fifty eight percent use it within their company. Seventy eight percent ofthe respondents indicated that they are aware of the benefits of web conferencing withsixty percent routinely using web conferencing.Frost & Sullivan recognizes that user demand for web conferencing is growing at a strongpace, indicating that web conferencing is going mainstream. Web conferencing adoptionhas increased significantly as companies seek greater savings on travel costs and look toimplement efficient collaboration across geographically dispersed teams. However,market expansion and maturity present a number of challenges to vendors that are vyingto increase and defend their market shares. More specifically, end user demands arecausing growing price competition. New business models are reshaping the landscape topose challenges for established market leaders.Web conferencing represents a high growth market that is being fueled by the increasingneed for cost savings as well as growing user demand to implement efficient collaborationacross geographically dispersed teams. According to Frost & Sullivan’s research, the globalweb conferencing market, which includes hosted and on-premises web conferencing, grewat 9.0 percent in 2011 to reach $1.62 billion in revenue. Web conferencing revenue willshow a healthy compound annual growth rate (CAGR) from 2011 to 2016 of 12.0 percentto reach $2.86 billion by 2016. Frost & Sullivan finds that end users need better userexperience, mobility enhancements, and robust video integration. Hosted services are thedominant model contributing 81.1 percent of total web conferencing revenue.“Citrix addresses keyuser pain pointsassociated with ease ofuse, simple pricing, andease of delivery to clearlycommunicate their valueproposition tocustomers.”Roopam Jain, IndustryDirector, Frost &Sullivan
4White Paper TitleWhile user demand is growing rapidly, revenue growth in web conferencing hostedservices is starting to slow down due to increased market maturity and impact of decliningprices. End user concerns about ease of use and simplicity along with lack of a strong usecase for mainstream communications have kept web conferencing adoption restrained.Citrix addresses key user pain points associated with ease of use, simple pricing, and easeof delivery to clearly communicate their value proposition to customers. In addition byseamlessly incorporating video into the online meeting experience, Citrix has addressedmany challenges users face in regards to connecting distributed and mobile workers. Moreimportantly, Citrix’s ability to address specific business problems with custom verticalapplications and deeper integrations within business applications are key.Holding a growth leadership position puts Citrix in a favorable position to increase itsfootprint and share in the market. Moreover, Frost & Sullivan research shows that growthleadership validates Citrix’s ability to meet the current as well as emerging demands.Best Practice Award Analysis For CitrixThe Frost & Sullivan Growth Leadership Award is a prestigious recognition of Citrix’saccomplishments in the Web Conferencing Services Market. As an unbiased, third-party,Frost & Sullivan recognizes Citrix for delivering excellence and best practices in theirrespective endeavors. The Growth Leadership Award is backed by extensive analysis;companies identified, and the annual compound growth rates are monitored andevaluated through primary analyst research. This stringent methodology positions Citrix asa superior market participant.The Frost & Sullivan Award for Growth Leadership is presented to the company that hasdemonstrated excellence in capturing the highest annual compound growth rate for thelast three years.Citrix’s Performance in Web Conferencing MarketCitrix is one of the fastest-growing web conferencing SaaS providers today. Frost &Sullivan’s research shows that in 2011, Citrix continued to grow at a rapid pace andincreased its market share significantly to reach 16.8 percent revenue market share. Itsgrowth momentum continued unabated in 2012. Citrix reported 18 percent revenuegrowth for its SaaS products in 2012.In 2011, Citrix earned $430.2M in online services, with its web collaboration productsrepresenting more than 50 percent of total SaaS revenues. The accelerated growth notonly strengthened Citrix’s position and market share in web conferencing hosted servicesbut also helped it push past Microsoft to move to number two ranking in revenue marketshares in the total web conferencing market, which includes hosted services and on-premises software.
5Citrix’s strong focus on creating easy to use and affordable web collaboration services hasbeen a key factor in its ability to continue its growth momentum. In 2011 and 2012, Citrixrapidly expanded its portfolio of offerings and now offers a vast array of solutions thatinclude end-to-end meeting and collaboration solutions.Recent developments in web conferencing have focused on three key trends—social,mobile, and video. These trends are increasingly getting intertwined along with acontinued focus on improving the user experience. Citrix’s product developments havehoned in on all three areas to deliver leading enhancements.Key Performance Drivers for CitrixFactor 1: User-Friendly And Intuitive Services At Attractive Price PointsThe dominant theme for Citrix and its collaboration solutions has been focused ondelivering user-friendly and intuitive services at attractive price points. Citrix has gainedsignificant revenue growth and installed base in the SMB sector, a segment that marketleaders like Cisco and Microsoft are eyeing to capitalize on growth opportunities. Theavailability of HDFaces videoconferencing and several mobile enhancements has aidedCitrix’s growth among its core SMB user base. Frost & Sullivan’s analysis shows that with abroadening product portfolio, Citrix is now well positioned to address user needs in theenterprise market. Additionally, a key factor for Citrix’s success has been its very effectivemarketing and media campaigns that have created tremendous awareness for theGoToMeeting brand among organizations of all size. In addition to creating awareness forGoToMeeting, these campaigns have also helped educate users around the value of webconferencing.Citrix has focused on expanding its footprint globally. Its acquisition on Netviewer hasprovided a stronger portfolio to users in the European markets. It is now expanding itschannels globally and has recently announced a partnership with Shanghai Telecom tooffer GoToMeeting with HDFaces to customers in China.Factor 2: Anytime, Anywhere Collaboration OfferingWeb conferencing solutions are morphing from point meeting applications to social andcollaborative workspaces that offer end-to-end meeting and project-managementcapabilities integrated with presence and multi-modal communications. With this shift,the market is seeing the emergence of larger collaboration products that will beintegrated with business applications and processes.
6White Paper TitleCitrix recognized this trend early on. It revved up its acquisition engine to expand itsmarket reach beyond point meeting applications. Citrix made two critical acquisitions in2011– Podio and ShareFile. The Podio and GoToMeeting integration offers a collaborativeworkspace platform which supports team work in a social setting, by adding apps thatprovide context, work flow, file sharing, tasks, and activity steams. ShareFile is a secure filesharing and hosting service. Frost & Sullivan notes that with the addition of ShareFile andPodio, Citrix users can now share content and get team-based work done in a socialsetting.These acquisitions position Citrix well in the broader collaboration space. Its expeditiousintegration of acquired technologies, within a matter of few months after the acquisitionsclosed, has helped it grow sales. By continually enhancing its collaboration portfolio, Citrixis addressing emerging demands and allowing customers to deploy web conferencingmore pervasively.Factor 3: Growing Focus on Mobility and VideoCitrix recently announced the expansion of its growing line of mobile workforce solutionswith the new Citrix Me@Work mobile app family. This new family of core mobile apps willaddress the key functions required for end user mobility, with the security and controlbusinesses require.As part of the Citrix Me@Work family, Citrix now offers the ability to host meetings frommobile devices with the new GoToMeeting iPad Presenter Mode. In addition, the newGoToMeeting for iPad offers the ability to present and host content from multiple cloudstorage systems — including Citrix ShareFile and Dropbox — through native integrationsand the built-in web browser.There is a strong need among users today to integrate video into all their communications,including video at desktops and mobile devices, for anytime anywhere communications.The consumerization of IT and the resulting BYOD trend along with the sweeping adoptionof social media networks is leading to increased adoption of video in all its forms. Citrixhas seen tremendous traction for HDFaces videoconferencing for GoToMeeting users.Frost & Sullivan’s competitive benchmarking confirms that the mobility enhancementscombined with HDFaces video is offering a richer user experience to Citrix customers.
7How an International Design Firm Delivers Projects Faster UsingGoToMeetingCitrix is aiding thousands of customers in accelerating their productivity and decision-making cycles while reducing costs. IN2 Innovation is one such customer.IN2 Innovation is a new product design and development firm offering comprehensiveservices ranging from idea generation to production manufacturing. Co-founders BrianRoderman, chief innovation officer, and Ken Buras, chief integration officer, created aturnkey process that combines creativity and technical operations to move clients’ ideasfrom the concept stage through engineering and testing to commercialization. IN2Innovation’s clients range from single entrepreneurs to very large corporations inindustries such as consumer goods, electronics, medical devices and industrial products.IN2 Innovation is based in Dallas, Texas, operates locations in Houston and Austin,Texas, and Dongguan and Wuxi, China, and employs about 20 people.IN2 Innovation’s core business is built around speed: the faster a new product can becommercialized, the sooner it can generate revenues and establish a competitiveadvantage. However, IN2 Innovation faced a challenge several businesses face today -traditional in-person meetings with clients, with all the logistical arrangements that arerequired, stretched out the timeline and led to delays in launch. IN2 was looking for afaster and more effective way to meet with its clients. It also needed an effective way tocommunicate with its factories in China, where many of the products are manufactured.Its designers needed a way to show three-dimensional CAD drawings and point outdetails or describe changes. Conversely, they wanted to see exactly what the factorywas producing.IN2 selected GoToMeeting for collaboration at all levels. One of the main reasons theyselected GoToMeeting was the ability to launch a session regardless of firewall issues.Another important feature is integrated Voice over IP calling (VoIP), which has enabledthe company to save a significant amount previously spent on conference-calling fees.GoToMeeting quickly became the basis for IN2 Innovation’s globally distributedorganization and flexible work policy. It reduces errors, risk and misunderstandings thatarise with simple voice-only calls. The availability of GoToMeeting over Apple iPad andiPhone devices, which are provided to all team members, further extended the reachand value of collaboration.The video conferencing capabilities offered by HDFaces, which is free and integratedwithin GoToMeeting, has made it possible to show a product using HDFaces and hasenhanced the collaboration process in many ways. For example, product designers andfactory staff can now share comprehensive views of a part in real-time and even capturescreen shots for future reference.GoToMeeting has optimized the way IN2 Innovation works with clients. “GoToMeetingwith HDFaces makes it easy to interact with end users in their homes or workspaces toshow and discuss a concept or prototype. This qualitative approach not only providesextremely valuable, specific feedback, it also saves time and money”, says BrianRoderman.
8White Paper TitleIn one case, a major client asked IN2 Innovation to design and develop six new productsin just eight months, a process that would require 12 to 18 months using traditional in-person meetings. By gaining the client’s commitment to work virtually usingGoToMeeting, IN2 Innovation was able to slash four months from the timeline.GoToMeeting’S key benefits forIN2 Innovation include:• Faster time-to-market for new products• Supports an all-digital and flexible work environment• Significant return on investment through enhanced client participation.• Cost savings on travel and conference callsConclusionIn Frost & Sullivan’s opinion, Citrix has effectively leveraged its expertise in the webcollaboration market and has achieved excellent market penetration through soundexecution. Frost & Sullivan research clearly shows that Citrix is focused on simplicity andease of use, which enables companies to save costs with online meetings. Its recentsuccesses and market share growth is a strong indicator that the company’s reach andmarket footprint is set to grow.Based on the aforementioned factors, Frost & Sullivan is proud to present the 2012 GlobalGrowth Leadership Award in Web Conferencing Services to Citrix.
9About CitrixCitrix is transforming how people, businesses and IT work and collaborate in the cloud era.Its portfolio of GoTo cloud services enables people to work from anywhere with anyone byproviding simple-to-use cloud-based collaboration, remote access and IT support solutionsfor every type of business. Learn more at www.citrix.com and www.citrixonline.com.About GoToMeetingGoToMeeting is the extremely simple, extraordinarily powerful web conferencing servicefrom Citrix. It integrates HD video conferencing, screen sharing and audio conferencing,allowing you to collaborate effectively online in a face-to-face environment. Hold unlimitedmeetings for one low flat fee and attend meetings from a Mac, PC and mobile devices.GoToMeeting will change the way you work – and perhaps a whole lot more. Learn more atwww.gotomeeting.com.About Frost & SullivanFrost & Sullivan, the Growth Partnership Company, enables clients to accelerate growthand achieve best-in-class positions in growth, innovation and leadership. The companysGrowth Partnership Service provides the CEO and the CEOs Growth Team with disciplinedresearch and best-practice models to drive the generation, evaluation and implementationof powerful growth strategies. Frost & Sullivan leverages 50 years of experience inpartnering with Global 1000 companies, emerging businesses and the investmentcommunity from more than 40 offices on six continents. To join our Growth Partnership,please visit http://www.frost.com.