Getting Disruptive Products to Market Fast and Cheap Leveraging Force.com Sam Heywood Cliff Armstrong
sponsors
Goals for Today <ul><li>Help Entrepreneurs understand Force.com </li></ul><ul><li>Enjoy a robust town-hall discussion </li...
The Challenge <ul><li>Enter a very mature market populated by an 800# gorilla enjoying 20-years of dominance </li></ul><ul...
The New Math <ul><li>Review Force.com impact on following </li></ul><ul><ul><li>Running Innovator’s Dilemma Product Strate...
Me Too Is Dead <ul><li>Challenge </li></ul><ul><li>How can I make my product a unique and compelling choice out of the gat...
Need it Yesterday <ul><li>Challenge </li></ul><ul><li>Shift in market expectations to “all-in-one” solutions </li></ul><ul...
Got $5 in my wallet <ul><li>Challenge </li></ul><ul><li>“ Build Product” – single line on GA punchlist </li></ul><ul><li>G...
↓  Price ↑Margins <ul><li>Challenge </li></ul><ul><li>New product, price is a clear lever in the offer </li></ul><ul><li>M...
Let’s Partner <ul><li>Challenge </li></ul><ul><li>Client success dependent on config / data migration </li></ul><ul><li>No...
SFDC: My Big Brother <ul><li>Challenge </li></ul><ul><li>New product is a hi-risk business decision </li></ul><ul><li>“ Yo...
The Results
What Can You Do? <ul><li>Launch a new enterprise app tonight for $0.00 </li></ul><ul><li>Re-Examine economics of your busi...
Contact Info <ul><li>Sam Heywood  [email_address] </li></ul><ul><li>Cliff Armstrong  [email_address] </li></ul>
sponsors
<ul><li>Identify someone to watch time  – give 5 minute warning at :45 minutes. </li></ul><ul><li>Identify someone to take...
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Disruptive, fast, cheap pca10

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Provides a look at how an internal Convio start-up team leveraged the Force.com platform to quickly deliver a truly disruptive product into a classic sleepy market and immediately start winning against the big incumbents. Participants will be given a solid understanding of how Entrepreneurs (independent or internal to a larger company) leveraging Force.com can radically change major considerations like time to market, R&D costs, initial and ongoing CapEx, development of the whole product eco-system and the value of riding the Salesforce.com coattails

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Disruptive, fast, cheap pca10

  1. 1. Getting Disruptive Products to Market Fast and Cheap Leveraging Force.com Sam Heywood Cliff Armstrong
  2. 2. sponsors
  3. 3. Goals for Today <ul><li>Help Entrepreneurs understand Force.com </li></ul><ul><li>Enjoy a robust town-hall discussion </li></ul><ul><li>Who We Are </li></ul><ul><ul><li>Smart guys that did something kind of neat </li></ul></ul><ul><li>Who we are not </li></ul><ul><ul><li>Representatives of Salesforce.com </li></ul></ul><ul><ul><li>Representatives of Convio </li></ul></ul><ul><ul><li>Stuffed Shirts prepared to talk for 45 minutes  </li></ul></ul>
  4. 4. The Challenge <ul><li>Enter a very mature market populated by an 800# gorilla enjoying 20-years of dominance </li></ul><ul><li>Do it on a shoe-string </li></ul><ul><li>Do it fast </li></ul><ul><li>A “Me Too” would be a loser </li></ul><ul><li>Oh yeah, product should support entirely new hi-volume sales, marketing and services model </li></ul>
  5. 5. The New Math <ul><li>Review Force.com impact on following </li></ul><ul><ul><li>Running Innovator’s Dilemma Product Strategy </li></ul></ul><ul><ul><li>Getting v1 to market in a compressed timeframe </li></ul></ul><ul><ul><li>Managing R&D costs (shorthand for tiny budget) </li></ul></ul><ul><ul><li>CapEx and gross-margins </li></ul></ul><ul><ul><li>Whole-Product Eco-System (specifically pro-serv) </li></ul></ul><ul><ul><li>Halo effect of Force.com platform </li></ul></ul>
  6. 6. Me Too Is Dead <ul><li>Challenge </li></ul><ul><li>How can I make my product a unique and compelling choice out of the gate given that I would lose a feature drag race for the next N years? </li></ul><ul><li>Solution </li></ul><ul><li>Force.com Platform-as-a-Service </li></ul><ul><li>Cloud based </li></ul><ul><li>Extensible </li></ul><ul><li>AppExchange marketplace </li></ul><ul><li>Mature partner eco-system </li></ul><ul><li>Introduces creative pricing strategies </li></ul>
  7. 7. Need it Yesterday <ul><li>Challenge </li></ul><ul><li>Shift in market expectations to “all-in-one” solutions </li></ul><ul><li>Gorilla rapidly encroaching our space with new offer </li></ul><ul><li>Must quickly attack from flank with a rival offering in their traditional space </li></ul><ul><li>Solution </li></ul><ul><li>Enterprise dev & production environment in 5 min. </li></ul><ul><li>Strong fit between problem domain and Force.com capabilities </li></ul><ul><li>75% of app complete in first 5 min. of project </li></ul>
  8. 8. Got $5 in my wallet <ul><li>Challenge </li></ul><ul><li>“ Build Product” – single line on GA punchlist </li></ul><ul><li>Go-To market expensive </li></ul><ul><li>Launch the business but don’t crater corporate P&L </li></ul><ul><li>Solution </li></ul><ul><li>See previous slide: 75% done </li></ul><ul><li>Extremely high developer productivity </li></ul><ul><li>Platform, Integration, Scale development and testing handled by SFDC </li></ul>
  9. 9. ↓ Price ↑Margins <ul><li>Challenge </li></ul><ul><li>New product, price is a clear lever in the offer </li></ul><ul><li>Market price sensitive </li></ul><ul><li>Need hi-volume to establish install base </li></ul><ul><li>Must hit internal investment hurdle rates to get funded </li></ul><ul><li>Solution </li></ul><ul><li>Annual CapEx: $0.00 </li></ul><ul><li>IT Staffing Req’d: $0.00 </li></ul><ul><li>One marginal cost: Support </li></ul><ul><li>We don’t pay SFDC until we sell one </li></ul>
  10. 10. Let’s Partner <ul><li>Challenge </li></ul><ul><li>Client success dependent on config / data migration </li></ul><ul><li>No budget to build and staff this internally </li></ul><ul><li>Avoid “sell only as fast as you staff srvcs” constraints </li></ul><ul><li>Expand our pipeline and reach beyond mkt’g efforts </li></ul><ul><li>Solution </li></ul><ul><li>Army of trained / certified SFDC pro-serv firms </li></ul><ul><li>Partners provide effective caulking around small product gaps </li></ul><ul><li>Client can typically work with a local partner </li></ul><ul><li>BizDev carries 25% quota </li></ul>
  11. 11. SFDC: My Big Brother <ul><li>Challenge </li></ul><ul><li>New product is a hi-risk business decision </li></ul><ul><li>“ You don’t get fired for buying…” </li></ul><ul><li>Remove 5 9’s concerns and allow focus on business value </li></ul><ul><li>Solution </li></ul><ul><li>By nature SaaS lowers initial investment risk </li></ul><ul><li>Try-before-you-buy </li></ul><ul><li>SFDC is Global leader in cloud computing </li></ul><ul><li>Enterprise platform = Enterprise sales opps. </li></ul>
  12. 12. The Results
  13. 13. What Can You Do? <ul><li>Launch a new enterprise app tonight for $0.00 </li></ul><ul><li>Re-Examine economics of your business plan </li></ul><ul><li>Be an effective intrapreneur </li></ul><ul><li>Realize you might just be a programmer </li></ul><ul><li>Tap into a Fortune 500 app distribution channel and an install base with 1M+ users </li></ul><ul><li>We’ve got the playbook, give us a call </li></ul>
  14. 14. Contact Info <ul><li>Sam Heywood [email_address] </li></ul><ul><li>Cliff Armstrong [email_address] </li></ul>
  15. 15. sponsors
  16. 16. <ul><li>Identify someone to watch time – give 5 minute warning at :45 minutes. </li></ul><ul><li>Identify someone to take notes – post notes to http://barcamp.org/ProductCampAustinSummer2010Notes </li></ul><ul><li>Thank our sponsors </li></ul>please take a moment to

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