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Bringing to Market a Successful Cloud Service - Knowing When to Partner, When to Build, and When to Buy!

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Rick Nucci, Co-founder of Boomi and now CTO at Dell Boomi, discusses what it took to build the Dell Boomi Atomsphere. Rick looks back on lessons learned around pricing, packaging, and operational …

Rick Nucci, Co-founder of Boomi and now CTO at Dell Boomi, discusses what it took to build the Dell Boomi Atomsphere. Rick looks back on lessons learned around pricing, packaging, and operational decisions that are guaranteed to save any SaaS vendor time and money while preventing several headaches along the way. The presentation was prepared for and presented at SafeNet's LicensingLive - Monetizing Software in the Cloud event series in March 2011.

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  • Access network of hundreds of interconnected applicationsCommunity of experts contributing connectors, widgets and process mapsVisual Technology interface – no coding requiredEnd-to-end self-service offers complete control of integrations
  • Transcript

    • 1. Bringing to market a successful cloud service
      Rick Nucci
      Founder & CTO
    • 2. Agenda
      About Us
      Go To Market Strategy
      Product Components and Operations
      Integration to Back-office Systems
      Case Study: Pricing and Packaging
      Case Study: Entitlement and License Management
      Lessons Learned
    • 3. About Boomi
      Acquired by Dell, November 2010
      Industry’s first & leading Integration Cloud
      500+ Clients Globally
      70+ ISV and SI partners
      Offices in Philadelphia and San Francisco
    • 4. PaaS Apps
      Cloud Services
      Social Networks
      SaaS Apps
    • 5. 5
      Select Partners
    • 6. The Integration Impact
      During your sales cycle
      According to our SaaS ISV partners, 35-65% of deals
      During implementation
      Custom coded integrations typically the longest phase of the implementation
      During renewals
      Silo’dSaaS deployed cited as top reason for cancellation
      Confidential
      6
      3/10/2011
    • 7. Our Story
      7
      Confidential
      3/10/2011
    • 8. Timeline
      2000 – 2006: On-premise integration product and focus
      2006: Integration Cloud Concept Discovery and Core Product Development
      June 2007: Market Announcement
      September 2007: Beta Launch at Dreamforce
      January 2008: General Availability
    • 9. Go To Market Strategy
      9
      Confidential
      3/10/2011
    • 10. Core Goals and Guiding Principles
      Disrupt a legacy market with Cloud approach
      Our “Flux Capacitor” Moment
      Do it “right”: multi-tenancy
      Instant access to our offering
      Transparent pricing
      Price matches value – pay for actual use
      Easy to calculate “what Boomi will cost me”
      Trust priority
      Managing customer expectations
      Confidential
      10
      3/10/2011
    • 11. trust.boomi.com
      Confidential
      11
      3/10/2011
    • 12. Core Goals and Guiding Principles
      Partner Focus
      Enable ISV’s to solve integration during sales cycle
      “They create the problem we solve”
      Arm SI’s and Managed Service Providers with delivery platform
      Community Focus
      IP Development and Protection
      ISV’s
      System Integrators
      Customers
      Confidential
      12
      3/10/2011
    • 13. Community
      • Open Platform – Free Connector SDK
      • 14. Public/Private Communities
      • 15. Assets can be Shared Instantly Worldwide
      • 16. Rev Share for Public Connectors and Widgets
      • 17. Self-Sustaining Ecosystem
      Connect Once – Integrate Everywhere®
    • 18. Product Components and Operations
      14
      Confidential
      3/10/2011
    • 19. Core Components
      Multi-tenancy – our hurdles
      Hierarchical account structure
      Self-service provisioning
      Partner account vs. Customer account
      Partner Management vs. Customer Management
      Development Environment
      Rich UI experience
      Flash experience
      Deployment & Change Control
      Cloud vs. On-premise
      Version control
      Environments
      Confidential
      15
      3/10/2011
    • 20. Core Components
      Management
      Scaling challenges
      Aggregation
      Release Strategy
      Leverage our single code base and ability to rapidly innovate
      Iterate early and often
      Heavy investment in automated regression environment
      Scale Strategy
      Runtime Environment
      The “Atom”: Cloud integration is a distributed problem
      Confidential
      16
      3/10/2011
    • 21. Atom: Distributed Architecture
      Patent-Pending AtomTM Technology
      Centralized Control
      Distributed Execution
      Infinitely Scalable
      No Single Point of Failure
    • 22. Under the Hood:Integration of Platform to Back-Office Systems
      18
      Confidential
      3/10/2011
    • 23. 19
      Confidential
      Provisioning Workflow
      3/10/2011
      Drupal
      CMS
      Marketo
      Landing
      Pages
      Marketo
      Marketing
      Automation
      Boomi.com
      Direct
      Trial
      Leads
      Leads/Contacts
      NetSuite
      Accounting
      Billing
      Salesforce
      CRM &
      Admin PRM
      Provisioning
      Salesforce account / Atomsphere Account
      PRM (General Access)
      Partner/Customer
      Trial Account / Opportunity
      Direct
      Trial Account
      Atomsphere
    • 24. Automated lead-to-cash process
      Marketing Automation
      Free trial registration  lead creation
      User communication/ notifications
      CRM
      Automated provisioning
      Usage tracking and reporting
      Red/Green/Yellow Status
      Upsell and cross-sell opportunities
      Billing
      Provisioning and entitlement management
      Usage management
      Support
      Ticket status mashup to CRM
      Confidential
      20
      3/10/2011
    • 25. Case Study: Pricing & Packaging
    • 26. Pricing & Packaging
      Transition from “pay per connection” to edition model
      Feature packaging and segmentation
      Finding the right feature combinations at the right price point
      Accounting for add-on features
      Upsell opportunities
      3 Price increases over 2 years
      Confidential
      22
      3/10/2011
    • 27. Current Pricing
    • 28. Case Study: Entitlement and License Management
    • 29. Licensing and Entitlement
      Feature toggling
      Feature discovery
      What am I not using?
      Usage tracking
      Audit capabilities
      Administration
      Analytics
      Challenges
      Confidential
      25
      3/10/2011
    • 30. Summary:Lessons Learned
      26
      Confidential
      3/10/2011
    • 31. What would we have done different?
      Pricing
      TOO disruptive!
      Huge value differential between SMB and LE
      License Management and Entitlement
      This is not unique IP
      Still a labor pain today due to underinvestment
      Deeper marketing integration
      Directly into our product from the beginning
      Key to understand what is working
      Earlier investment in analytics
      Trial usage and conversion
      Feature utilization
      Customer churn warning signs and trending
      Confidential
      27
      3/10/2011
    • 32. Thank You.
      Rick Nucci
      CTO
      rick_nucci@dell.com
      @ricknucci
      Dell Boomi
      801 Cassatt Rd. Suite 120
      Berwyn, PA 19312
      West Coast Office
      473 Jackson St. 3rd Floor
      San Francisco, CA 94111
      Tel: 610-854-0700
      Email: info@boomi.com
      Twitter: @boomi`

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