Why it makes sense to use Joomla in the global economic crisis

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Why it makes sense to use Joomla in
the global economic crisis.

Sam Higgins
Longhaus

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Why it makes sense to use Joomla in the global economic crisis

  1. 1. Brisbane Joomla Day 2009 Why it makes sense to use Joomla in the global economic crisis Sam Higgins, Research Director May 2009 Copyright © 2008 Longhaus Pty Ltd
  2. 2. Who is Longhaus; Australia’s ICT analyst firm Globally recognised as one of Australia's leading boutique ICT research and advisory companies. Offering localised research and analysis to assist major organisations overcome the challenges presented by the adoption of global ICT solutions.
  3. 3. There is no doubt that we are all facing tough times Source: Longhaus Tech Index™ Q2 2009 3 Commercial-in-confidence
  4. 4. And we’ve already seen that ICT spending is being impacted • Australia’s domestic business-oriented ICT spending is $90-100 Billion • 80% of this is spent by the top 7000 Medium to Large Enterprises • Within these firms ICT Budget growth has declined from 8% in 2008 down to 1% in 2009 4 Commercial-in-confidence
  5. 5. Exacerbating the problem is a lack of capital to fund deployment of new solutions • Just over $6 is spent on operations for every $1 on new investment • New ICT investment has dropped this year by 4% from 18% in 2008 • Private sector clients are reporting difficulty accessing capital 5 Commercial-in-confidence
  6. 6. When times are tough the “Value of IT” also changes • Just as personal needs change with economic cycles, so does the IT needs focus of an enterprise The Hierarchy of Personal • Self Actualisation Needs • Esteem Needs • Social Needs • Safety Needs • Physiological Needs Source: Abraham Maslow, 1943 6 Commercial-in-confidence
  7. 7. When times are tough the “Value of IT” also changes • Just as personal needs change with economic cycles, so does the IT needs focus of an enterprise The Hierarchy of • Paradigm Shifting IT Value • Competitive Differentiation • Integrated Information • Stability & Security • Infrastructure & Connectivity Source: Robert Urwiler & Mark Frolick, 2008 7 Commercial-in-confidence
  8. 8. Open source solutions address both the cost and value dimension, but it’s a constant opportunity 8 Commercial-in-confidence
  9. 9. The real focus for any software solution is to balance this against the business priorities 9 Commercial-in-confidence
  10. 10. The current priorities and economic climate demands organisations invest in an effective CMS • Online connectivity has become Individual a “net-cessity” Perspective • 73% of Queenslanders have broadband • CMS is the third solution of choice Business Perspective • 36% of firms are planning or considering a CMS 10 Commercial-in-confidence
  11. 11. And an effective CMS can be a platform for business growth, but… What business has is… What business wants is… • Content Publication • Content Management • Static • Dynamic • Single Purpose • Extensible • Siloed • Integrated • Transaction • Interaction • General Audience • Specific Targets But less than 47% of Australia’s medium to large enterprises have a web content management system 11 Commercial-in-confidence
  12. 12. Thankfully Joomla as a CMS solution addresses more than just cost Open Open Source Architecture Addresses Addresses Cost Extensibility Open Open Platform Community Addresses Provides Integration Choice 12 Commercial-in-confidence
  13. 13. Longhaus; a case study for the value of Joomla • Almost 4 years ago…Peter Carr created a static site 13 Commercial-in-confidence
  14. 14. Longhaus; a case study for the value of Joomla • A year after that…Sam implemented Joomla 14 Commercial-in-confidence
  15. 15. Longhaus; a case study for the value of Joomla • A year after that…Juan implemented Joomla + more 15 Commercial-in-confidence
  16. 16. Longhaus; a case study for the value of Joomla The final result? • 100,000+ unique visitors per year • Average visit time of 8.5 minutes • Regular new registrations • Zero ($0) capital investment • Extremely low operational cost The implications? • Retained and increased clients • Improved profitability through bottom line competitiveness • Enabled us to re-invest in further business integration 16 Commercial-in-confidence
  17. 17. So, why use Joomla in tough economic times? • We know slowing or falling top line revenue will be reality until at least late 2009 • Open source has been shown by our studies and experience to address the bottom line thereby maintaining and even improving profitability in uncertain times • An effective CMS provides a platform for constantly evolving functionality which is crucial for retaining customers • Joomla brings these two factors together in a world leading solution 17 Commercial-in-confidence
  18. 18. Thank you Longhaus Head Office Sam Higgins Level 30, AMP Place Research Director 10 Eagle Street sam.higgins@longhaus.com Brisbane QLD 4000 +61 412 621 014 Longhaus Research Centre 7/269 Abbotsford Road Bowen Hills QLD 4006 p: +61 7 3868 4796 f: +61 7 3303 8445 inquiry@longhaus.com 18 Commercial-in-confidence
  19. 19. The shifting market dynamic in the OSS sector means productivity & efficiency now dominate OSS for productivity High & efficiency Proportion Of Population OSS Contribution ICT Vendor Use End User Use Low Tactical Usage Focus Strategic

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