Did you know you can increase your company valuation with integration?
Securing Enterprise customers is extremely challenging, and as the competitive landscape continues to grow with best of breed SaaS applications, it will be important to consistently meet customer requirements and differentiate your service from the competition.
Join Chris Purpura GM of MuleSoftâs Cloud Integration Business as he presents key findings from the 2nd annual SaaS Connectivity report, which discusses top barriers to SaaS adoption in the new Enterprise, with recommendations for SaaS providers to address the challenge of integration and improve the top level SaaS key performance indicators (KPIs).
What you will learn:
Top barriers to SaaS adoption in the Enterprise
Overview of the New Enterprise, and what it means for SaaS providers
3 ways integration can increase your valuation as a SaaS provider
Presenter:
Chris Purpura, VP and GM of Cloud Integration at MuleSoft
3. ⢠21 years of experience in both private
and public companies building out new
markets and business models for enterprise
middleware companies
⢠Chris has held various senior executive level
positions across marketing, product
management, strategy, and alliances
functions.
Chris Purpura, VP and GM of CloudHub, MuleSoft
All contents Copyright Š 2013,
MuleSoft Inc.
3
5. The New Enterprise
And what it means for SaaS Providers
All contents Copyright Š 2013, MuleSoft Inc.
6. MuleSoft:
â˘150K+ developer community
â˘100+ Anypoint⢠Connectors
â˘3500+ global deployments on premises
â˘10,000+ cloud deployments
â˘35% of the Global 500
â˘5 of the top 10 banks
A Unique Perspective on the New Enterprise
6
8. Key Trends Impacting the Enterprise
8
Increased
Adoption
Enabling
technology
SaaS Mobile Cloud APIs
(You guys)
Enterprise
9. SaaS vendors and Corporate IT, a new detente?
9
The conditions for dĂŠtente are already here:
SOURCE: Forrester Researchâs Forrsights Software Survey, Q4 2012
10. SaaS vendors and Corporate IT, a new detente?
10
Within 3- 5 years, CIOs aspire to spend their time:
SOURCE: 2013 State of the CIO Survey, CIO Magazine
11. Data + SaaS + Mobile = Competitive Advantage
11
Respond to cloud,
SaaS adoption,
mobile, line of
business demands
Select strategic
technology purchases
to differentiate business
to customers & drive
innovation
2011 2012 2013
IT focus is shifting from
internal to external customers
13. Integration = pain for Enterprise
13
Create every connection
â˘Learn the application
â˘Map and transform data
â˘Code integration logic
â˘Add security, control and
error handling
â˘Test and debug
Create every connection
â˘Learn the application
â˘Map and transform data
â˘Code integration logic
â˘Add security, control and
error handling
â˘Test and debug
Ongoing pain
â˘Not Supportable
â˘Flexibility of SaaS unrealized
â˘Lack of real connectivity = can
solutions
Ongoing pain
â˘Not Supportable
â˘Flexibility of SaaS unrealized
â˘Lack of real connectivity = can
solutions
14. Integration = pain for SaaS vendors
14
Your
Application
Point to point tools
â˘Separate tools for separate
integration use cases
â˘Restrictive licensing and/or
fees for use
â˘Little visibility or ability
troubleshoot internally
Point to point tools
â˘Separate tools for separate
integration use cases
â˘Restrictive licensing and/or
fees for use
â˘Little visibility or ability
troubleshoot internally
Custom coding
â˘Requires in house talent and
application expertise
â˘Little repeatability
â˘No visibility or ability to
troubleshoot issues
â˘Higher support costs
Custom coding
â˘Requires in house talent and
application expertise
â˘Little repeatability
â˘No visibility or ability to
troubleshoot issues
â˘Higher support costs
15. 2012 SaaS Integration Survey:
Demographics
15All contents Copyright Š 2013, MuleSoft Inc.
â˘92% Business primarily sell to other businesses (B2B)
â˘Diverse size/stage of company
â˘Balanced across many application segments
â˘Balanced across job functions
â˘More heavily weighted by executive decision makers
2012 SaaS Integration Survey Key findings. MuleSoft
survey done in conjunction with THINKstrategies .
17. MuleSoft â a platform based approach to
integration
17
Your
Application
Advantages of CloudHub Platform
â˘Integrate anything, anywhere
â˘Native app user experience
â˘Single instance/multi-tenant platform
â˘Scalable multi-tenant support
Advantages of CloudHub Platform
â˘Integrate anything, anywhere
â˘Native app user experience
â˘Single instance/multi-tenant platform
â˘Scalable multi-tenant support
Advantages of MuleSoft Partnership
â˘Integration aligned to your GTM
â˘Flexible packaging into your app
â˘Leverage MuleSoft ecosystem
â˘Customer stickiness âbuilt inâ
Advantages of MuleSoft Partnership
â˘Integration aligned to your GTM
â˘Flexible packaging into your app
â˘Leverage MuleSoft ecosystem
â˘Customer stickiness âbuilt inâ
18. Recommended Readings
Running a SaaS business? (Forbes.com, J.J. Colao)
Bessemerâs 10 Laws of being âSaaSyâ (SlideShare)
18All contents Copyright Š 2013, MuleSoft Inc.
Integration & Valuation
19. Why Address Integration Now?
19
A structured approach to integration
has major impacts on key SaaS
business metrics
All contents Copyright Š 2013, MuleSoft Inc.
20. Public SaaS valuations
All contents Copyright Š 2012,
MuleSoft Inc.
20
Source: Bloomberg, Goldman Sachs, October 2012
21. What drives SaaS Valuations?
All contents Copyright Š 2012,
MuleSoft Inc.
21
Source: Goldman Sachs Investment Bank
SaaS EV as multiple of Revenue
2X â 15X
23. Impact of Packaged âAppâ Integrations
All contents Copyright Š 2013, MuleSoft Inc.
Metric Baseline With Integration
Billion $ or Million User Markets with
clear âentry pointsâ
Renewals + Add-Ons should be
>100%
Total Available
Market
Customer
Retention
CAC Ratio
Live MRR + New/Add-On â Churn =
CMRRCMRR
Provides Clear
Expansion Points
Integration = Stickiness
Add-Onâs increase CMRR
No impact on S&M Spend
Creates Add-on SKU
Reduces churn
Measured by Time to Live, Customer
Support
Customer
Satisfaction
Faster TTL (Land)
With Upsell Options (Expand)
24. 3 Ways To Increase Your Company Valuation
24All contents Copyright Š 2013, MuleSoft Inc.
Packaged SaaS Integration Impact to Valuation
1 Provide integration as an add-
on to your service
Increase your MRR
Increase your multiple
2 Reallocate internal resources
to core application
Decrease your CAC
Increase your multiple
3 Standardize services on an
integration platform
Accelerate time to live,
reduce customer churn
Increase your multiple
25. MuleSoft: Approved by IT Buyers
25
Your
Application
3,500+ on premise & 10,000+ cloud global deployments
â˘SaaS Integration
â˘Enterprise Integration
â˘SOA Architecture
â˘Legacy System modernization
3,500+ on premise & 10,000+ cloud global deployments
â˘SaaS Integration
â˘Enterprise Integration
â˘SOA Architecture
â˘Legacy System modernization
27. Next Steps
27All contents Copyright Š 2013, MuleSoft Inc.
Contact Us for
KPI Calculator
Contact Us for
KPI Calculator
Download SaaS
Integration Survey
Download SaaS
Integration Survey
info@mulesoft.com
www.mulesoft.com/cloudhub
OBJECTIVE: Articulate trends There is a convergence happening today between increased adoption of SaaS and mobility (precisely where you guys come in) and enabling technology within cloud computing and APIs The mega-trends of SaaS, mobile and Big Data are converging to create a massive new wave of business opportunity. Organizations are each choosing a uniquely diverse and ever-growing set of best-of-breed applications to power their business. However, a new challenge has emerged as a result: a massive explosion of endpoints and data. In this New Enterprise era, businesses can be overwhelmed by the resulting explosion of endpoints, or they can seize the opportunity and gain competitive advantage by connecting everything. The solution is integration. TRANSITION:
OBJECTIVE: Describe the improving relationship between LOB leaders and CIOâs / IT In 2013, SaaS, Mobile and Big Data (the âBig 3â) have moved on from visionary ideas well into disruptive realities impacting IT. IT is no longer in denial, as they were for much of the last decade, and in fact are âleaning inâ on all fronts. According to CIO Magazineâs 2013 CIO survey, more IT organizations are focusing on building better relationships with the lines of business, and are raising their game and engagement into LOB projects, particularly around SaaS selection, implementation, and integration. âResults from the past 3 years suggest that CIOs are increasingly taking action to solidify or elevate their teamâs general relationship with business stakeholders by delegating more, developing leadership and cross-Ââfunctional skills among their IT staff and increasing their attention and focus on customersâ Even further- âWithin 3-Ââ5 years, many CIOs aspire to spend their time on more strategic activities including driving business innovation (54 percent), developing and refining business strategy (45 percent), and identifying opportunities for competitive differentiation (41 percent). â CIO 2013 Survey TRANSITION:
OBJECTIVE: Describe the improving relationship between LOB leaders and CIOâs / IT In 2013, SaaS, Mobile and Big Data (the âBig 3â) have moved on from visionary ideas well into disruptive realities impacting IT. IT is no longer in denial, as they were for much of the last decade, and in fact are âleaning inâ on all fronts. According to CIO Magazineâs 2013 CIO survey, more IT organizations are focusing on building better relationships with the lines of business, and are raising their game and engagement into LOB projects, particularly around SaaS selection, implementation, and integration. âResults from the past 3 years suggest that CIOs are increasingly taking action to solidify or elevate their teamâs general relationship with business stakeholders by delegating more, developing leadership and cross-Ââfunctional skills among their IT staff and increasing their attention and focus on customersâ Even further- âWithin 3-Ââ5 years, many CIOs aspire to spend their time on more strategic activities including driving business innovation (54 percent), developing and refining business strategy (45 percent), and identifying opportunities for competitive differentiation (41 percent). â CIO 2013 Survey TRANSITION:
OBJECTIVE: Many vendors have already tried to solve the integration problem, but have run into difficulties, namely internal roadblocks and overhead Custom coding in particular impacts internal resources across product, sales, services and support: Requires in house talent and application expertise Little repeatability No visibility or ability to troubleshoot issues Higher support costs Point to point tools do not perform as promised, generating higher support challenges than anticipated: Separate tools for separate integration use cases Restrictive licensing and/or fees for use Little visibility or ability troubleshoot internally TRANSITION: