Salesforce.

com:
Creating a Blue Ocean Strategy in a B2B Space

Group 13
Akshay Bansod 1811003
Prithviraj Sukumar 1811058
Kirti Kishan Yandapalli 1811066
Irshad Ahmad 1811380
Karthick Selvan 1811429
 Traditional CRM
Customers
Large Business Houses
• Had complex software requirements
and system infrastructure needed to
be integrated with applications
• Were offered sophisticated software
packages ranging from sales
management, marketing, call
centers, customer support and
other CRM functions
Non-customers
Small And Medium Size Business
• Could not afford the cost of basic
CRM applications
• Could not accommodate length
deployment process
• Generally used alternative tools
such as Excel spreadsheets or
other database programs to
store customer and sales
information
Biggest blocks to buyer utility in Traditional CRM

Cost of purchasing packaged Deployment of CRM

CRM software was High [25- software was complex and
30% of overall cost] lengthy

Customers needed to spend It took on an average 18-

additional money on 24 months for companies
infrastructure, support and to get the application to
maintenance work at full functionality

Need to hire professionals 60% of CRM deployments

to implement & upgrade the failed to work
software & train users
How did Salesforce.com create new market space?

Focus on essentials – Provided a

comprehensive and flexible package that
had all the essentials and nothing fancy
which let the customers focus on value-
add and strategic activities. It was more
intuitive and user friendly.

End to Software- Introduced Cloud

Computing which allowed the
customers to access it anywhere Shift from On-Premise to On-
from a device with Internet. This Demand – A wide set of
saved the customers from the huge customers were served and
investment in software saved them from the hassles of
on premise.

Lesser Time and Cost - No cost Risk of Failure dropped

for acquiring and maintaining the - Customers demand for
CRM. Simplified Deployment proof of concept could be
Procedure done in less than a work
group which reduced the
risk of failure
What value does it offer to
customers?
Focus on Functionality – The basic Salesforce
01 subscription provided only the key features
but came with add-on options. This let the
customer focus on value-add activities.
Low Cost and Time - No huge on investment
02 or maintenance as the customer needs no
software and simplified deployment
procedure
03 The On Demand coupled with Cloud
Computing let the customers access the
CRM anywhere from a device with Internet
04 The interface was more intuitive and
user friendly
05 The risk was minimized as the
product could be tested without any
huge initial outlay,
What value does it offer to
Salesforce?
Salesforce was the first one to tap into a wider
01 set of audience and redefine the competition.
Hence, gaining it higher profits
All such could be accomplished by operating low
02 on cost as not much flexibility was offered and
also less was the manpower requirement.
Moreover, economies of scale kicked in
03 Their further efforts via Chatter,
AppExchange and Force lowered their time
and money involved in the R&D activity.
They could stay far ahead of the game as
04 the customer data regarding the feedback
and expectations were readily available.
Sustaining market leadership in the on-demand CRM
market for more than a decade
On demand hybrid solutions
offered by competitors were not
compatible with their existing
software

Salesforce offered additional value to

their customers by launching: Possible for developers to
Force.com – Platform for external quickly create enterprise apps at
developers to create add on applications low cost
for any business and host these apps on
their own website
Appexchange – A web based portal for
applications trading

Acquired multiple industry

Custom programs were leading technology services like
integrated into CRM software Dimdim, Model Metrics, Assistly,
within hours Radian6, Manymoon

‘Chatter’ – Private social network which

allowed sales team to collaborate in real
time
THANK YOU