Too busy growing your own business this week? Here is a recap of some of this week’s top business news that you should know about.
- Salesforce becomes the first enterprise software company to reach $6 billion in revenue [Business Insider] Salesforce reported their Q1 earnings this week, becoming the first enterprise cloud computing company to reach a $6 billion revenue run rate. They have a revenue of $1.51 billion, up 23% year-over-year. The company beat Wall Street’s already positive predictions across the board. In a statement during the earnings release, co-founder and CEO Marc Benioff said, “Salesforce has surpassed the $6 billion annual revenue run rate faster than any other enterprise software company, and our current outlook puts us on track to reach a $7 billion revenue run rate later this year.” The stock is at an all time high, up nearly 6% since the announcement.
- European sales teams spend 300% more on sales acceleration technology than North American companies [Digital Journal] InsideSales.com, a leading cloud-based sales acceleration technology company, released research this week saying that European sales teams are spending 300% more per rep on sales acceleration technology compared to North American companies. However, roughly the same percentage of European and North American sales leaders believe their companies are spending just the right amount on sales acceleration. European sales hiring lags behind the rate in America, and it will be interesting to see how their increased investment in technology pays off over the next few years.
- Gartner announces that SaaS is adding to CRM software growth [Channelnomics] This week, Gartner announced that the CRM software marketing grew 13% last year worldwide, reaching $23.2 billion in 2014, compared to $20.4 billion in 2013. Gartner research VP Joanne Correia noted that the popularity of SaaS is contributing to overall market growth, saying “Strong demand for SaaS continues, with SaaS accounting for almost 47% of total CRM software revenue in 2014. This is driven by organizations of all sizes seeking easier-to-deploy and faster-ROI alternatives to modernizing legacy systems, implementing new applications, or providing alternative complementary functionality.”
- Marketing automation delivers real value, but hard to choose and implement [VentureBeat] VentureBeat Insights released a marketing automation report this week with the results from a survey they completed of marketing automation users and vendors. 80% of users said they see their leads increase, and 77% see conversions increase because of marketing automation. This study also highlights the often overlooked fact that there are very important distinctions between the vendors in the market today, and reveals where companies are struggling in choosing the right solution for their needs and implementing it quickly and effectively.