Nov
15
2019
--

Why Salesforce is moving Marketing Cloud to Microsoft Azure

When Salesforce announced this week that it was moving Marketing Cloud to Microsoft Azure, it was easy to see this as another case of wacky enterprise partnerships. But there had to be sound business reasons why the partnership came together, rather than going with AWS or Google Cloud Platform, both of which are also Salesforce partners in other contexts.

If you ask Salesforce, it says it was ultimately because of compatibility with Microsoft SQL.

“Salesforce chose Azure because it is a trusted platform with a global footprint, multi-layered security approach, robust disaster recovery strategy with auto failover, automatic updates and more,” a Salesforce spokesperson told TechCrunch. “Marketing Cloud also has a long standing relationship with Microsoft SQL which makes the transition to SQL on Azure a natural decision.”

Except for the SQL part, Microsoft’s chief rivals at AWS and Google Cloud Platform also provide those benefits. In fact, each of those reasons cited by the spokesperson — with the exception of SQL — are all part of the general cloud infrastructure value proposition that all the major cloud vendors provide.

There’s probably more to it than simply compatibility. There is also a long-standing rivalry between the two companies, and why in spite of their competition, they continue to make deals like this in the spirit of co-opetition. We spoke to a few industry experts to get their take on the deal to find out why these two seeming rivals decided to come together.

Retailer’s dilemma

Tony Byrne, founder and principal analyst at Real Story Group, thinks it could be related to the fact it’s a marketing tool and some customers may be wary about hosting their businesses on AWS while competing with Amazon on the retail side. This is a common argument for why retail customers in particular are more likely to go with Microsoft or Google over AWS.

“Salesforce Marketing Cloud tends to target B2C enterprises, so the choice of Azure makes sense in one context where some B2C firms are wary of Amazon for competitive reasons. But I’d also imagine there’s more to the decision than that,” Byrne said.

Nov
14
2019
--

Salesforce announces it’s moving Marketing Cloud to Microsoft Azure

In the world of enterprise software, there are often strange bedfellows. Just yesterday, Salesforce announced a significant partnership with AWS around the Cloud Information Model. This morning, it announced it was moving its Marketing Cloud to Microsoft Azure. That’s the way that enterprise partnerships shimmy and shake sometimes.

The companies also announced they were partnering around Microsoft Teams, integrating Teams with Salesforce Sales Cloud and Service Cloud.

Salesforce plans to move Marketing Cloud, which has been running in its own data centers, to Microsoft Azure in the coming months, although the exact migration plan timeline is not clear yet. This is a big deal for Microsoft, which competes fiercely with AWS for customers. AWS is the clear market leader in the space, but Microsoft has been a strong second for some time now, and bringing Salesforce on board as a customer is certainly a quality reference for the company.

Brent Leary, founder at CRM Essentials, who has been watching the market for many years, says the partnership says a lot about Microsoft’s approach to business today, and that it’s willing to partner broadly to achieve its goals. “I think the bigger news is that Salesforce chose to go deeper with Microsoft over Amazon, and that Microsoft doesn’t fear strengthening Salesforce at the potential expense of Dynamics 365 (its CRM tool), mainly because their biggest growth driver is Azure,” Leary told TechCrunch.

Microsoft and Salesforce have always had a complex relationship. In the Steve Ballmer era, they traded dueling lawsuits over their CRM products. Later, Satya Nadella kindled a friendship of sorts by appearing at Dreamforce in 2015. The relationship has ebbed and flowed since, but with this announcement, it appears the frenemies are closer to friends than enemies again.

Let’s not forget though, that it was just yesterday that Salesforce announced a partnership with AWS around the Cloud Information Model, one that competes directly with a different partnership between Adobe, Microsoft and SAP; or that just last year Salesforce announced a significant partnership with AWS around data integration.

These kinds of conflicting deals are confusing, but they show that in today’s connected cloud world, companies that will compete hard with one another in one part of the market may still be willing to partner in other parts when it makes sense for both parties and for customers. That appears to be the case with today’s announcement from these companies.

Nov
13
2019
--

AWS, Salesforce join forces with Linux Foundation on Cloud Information Model

Last year, Adobe, SAP and Microsoft came together and formed the Open Data Initiative. Not to be outdone, this week, AWS, Salesforce and Genesys, in partnership with The Linux Foundation, announced the Cloud Information Model.

The two competing data models have a lot in common. They are both about bringing together data and applying a common open model to it. The idea is to allow for data interoperability across products in the partnership without a lot of heavy lifting, a common problem for users of these big companies’ software.

Jim Zemlin, executive director at The Linux Foundation, says this project provides a neutral home for the Cloud Information model, where a community can work on the problem. “This allows for anyone across the community to collaborate and provide contributions under a central governance model. It paves the way for full community-wide engagement in data interoperability efforts and standards development, while rapidly increasing adoption rate of the community,” Zemlin explained in a statement.

Each of the companies in the initial partnership is using the model in different ways. AWS will use it in conjunction with its AWS Lake Formation tool to help customers move, catalog, store and clean data from a variety of data sources, while Genesys customers can use its cloud and AI products to communicate across a variety of channels.

Patrick Stokes from Salesforce says his company is using the Cloud Information Model as the underlying data model for his company’s Customer 360 platform of products. “We’re super excited to announce that we’ve joined together with a few partners — AWS, Genesys and The Linux Foundation — to actually open-source that data model,” Stokes told TechCrunch.

Of course, now we have two competing “open” data models, and it’s going to create some friction until the two competing projects find a way to come together. The fact is that many companies use tools from each of these companies, and if there continues to be these competing approaches, it’s going to defeat the purpose of creating these initiatives in the first place.

As Satya Nadella said in 2015, “It is incumbent upon us, especially those of us who are platform vendors to partner broadly to solve real pain points our customers have.” If that’s the case, having competing models is not really achieving that.

Nov
11
2019
--

Salesforce Ventures invested $300M in Automattic while Salesforce was building a CMS

In September, Salesforce Ventures, the venture of arm of Salesforce, announced a hefty $300 million investment in Automattic, the company behind WordPress, the ubiquitous content management system (CMS). At the same time, the company was putting the finishing touches on Salesforce CMS, an in-house project it released last week.

The question is, why did it choose to do both?

One reason could be that WordPress isn’t just well-liked; it’s also the world’s most popular content management system, running 34 percent of the world’s 10 billion websites — including this one — according to the company. With Automattic valued at $3 billion, that gives Salesforce Ventures a 10 percent stake.

Given the substantial investment, you wouldn’t have been irrational to at least consider the idea that Salesforce may have had its eye on this company as an acquisition target. In fact, at the time of the funding, Automattic CEO Matt Mullenweg told TechCrunch’s Romain Dillet that there could be some partnerships and integrations with Salesforce in the future.

Now we have a Salesforce CMS, and a potential partnership with one of the world’s largest web content management (WCM) tools, and it’s possible that the two aren’t necessarily mutually exclusive.

Nov
07
2019
--

Salesforce announces new content management system

Salesforce has its fingers in a lot of parts of the customer experience, so why not content management? Today, the company announced a brand new tool called Salesforce Content Management System, which it says is designed from the ground up to deliver a quality customer experience across multiple channels.

The idea is to provide a way for customers to create, manage and deliver more meaningful content across multiple channels from within the Salesforce family of products. The company claims it doesn’t require any kind of deep technical knowledge to do it, meaning marketers and product people should be able to create and deliver content without the help of IT, once the system is properly set up.

Anna Rosenman, Salesforce’s VP of product marketing for Community Cloud, Commerce Cloud and Salesforce CMS, says the company created the new CMS to answer a customer demand. “Our customers have been asking for a dedicated CMS. The systems that they’ve been relying on so far tend to be legacy tools that are hard to use and built for a single-channel or site,” she said.

Photo: Salesforce

While users can create more personalized content based on what they know about the customer based on Salesforce data, Rosenman says the key differentiator here is the ability to connect to third-party systems. “A hybrid CMS provides a native experience channel or touchpoint, but also gives you the flexibility to present content to any touchpoint built on a third-party system,” she explained.

Tony Byrne, founder and principal analyst at Real Story Group, who has followed the Web CMS space for two decades, says this isn’t the first time that Salesforce has tried content management. The previous iteration was called Salesforce Sites. “They made big promises around that platform, got some major customers on board and then dropped it,” Byrne said.

He says it’s a major challenge to build a sophisticated multi-channel CMS. “It’s easy to build a simple CMS. It’s much harder to build an extensible, enterprise platform,” he said. He added, “There’s a lot of work they still need to do to feed other platforms around things like connectors, simulation, tracking, very advanced asset management (e.g., compound assets), object-oriented storage, etc.”

But Rosenman says the system’s built-in flexibility is designed to provide that, and even be used in conjunction with existing legacy tools if need be.

What’s interesting here is that Salesforce decided to build this tool, rather than buying a company and integrating it into the Salesforce family, an approach it has not been afraid to take in the past. In fact, the company pursues an aggressive acquisition strategy. This year alone it spent more than $15 billion to buy Tableau and another $1.35 billion to buy ClickSoftware.

In this case, in the tension between building and buying, it decided to build instead. Time will tell if that was a good decision or not.

Oct
21
2019
--

Veteran enterprise exec Bob Stutz is heading back to SAP

Bob Stutz has had a storied career with enterprise software companies, including stints at Siebel Systems, SAP, Microsoft and Salesforce. He announced on Facebook last week that he’s leaving his job as head of the Salesforce Marketing Cloud and heading back to SAP as president of customer experience.

Bob Stutz Facebook announcement

Bob Stutz Facebook announcement

Constellation Research founder and principal analyst Ray Wang says that Stutz has a reputation for taking companies to the next level. He helped put Microsoft CRM on the map (although it still had just 2.7% market share in 2018, according to Gartner) and he helped move the needle at Salesforce Marketing Cloud.

Bob Stutz

Bob Stutz, SAP’s new president of customer experience (Photo: Salesforce)

“Stutz was the reason Salesforce could grow in the Marketing Cloud and analytics areas. He fixed a lot of the fundamental architectural and development issues at Salesforce, and he did most of the big work in the first 12 months. He got the acquisitions going, as well,” Wang told TechCrunch. He added, “SAP has a big portfolio, from CallidusCloud to Hybris to Qualtrics, to put together. Bob is the guy you bring in to take a team to the next level.”

Brent Leary, who is a long-time CRM industry watcher, says the move makes a lot of sense for SAP. “Having Bob return to head up their Customer Experience business is a huge win for SAP. He’s been everywhere, and everywhere he’s been was better for it. And going back to SAP at this particular time may be his biggest challenge, but he’s the right person for this particular challenge,” Leary said.

Screenshot 2019 10 21 09.15.45

The move comes against the backdrop of lots of changes going on at the German software giant. Long-time CEO Bill McDermott recently announced he was stepping down, and that Jennifer Morgan and Christian Klein would be replacing him as co-CEOs. Earlier this year, the company saw a line of other long-time executives and board members head out the door, including SAP SuccessFactors COO Brigette McInnis-Day; Robert Enslin, president of its cloud business and a board member; CTO Björn Goerke; and Bernd Leukert, a member of the executive board.

Having Stutz on board could help stabilize the situation somewhat, as he brings more than 25 years of solid software company experience to bear on the company.

Oct
10
2019
--

Salesforce adds integrated order management system to its arsenal

Salesforce certainly has a lot of tools crossing the sales, service and marketing categories, but until today when it announced Lightning Order Management, it lacked an integration layer that allowed companies to work across these systems to manage orders in a seamless way.

“This is a new product built from the ground up on the Salesforce Lightning Platform to allow our customers to fulfill, manage and service their orders at scale,” Luke Ball, VP of product management at Salesforce told TechCrunch.

He says that order management is an often-overlooked part of the sales process, but it’s one that’s really key to the whole experience you’re trying to provide for your customers. “We think about advertising and acquisition and awareness. We think about creating amazing, compelling commerce experiences on the storefront or on your website or in your app. But I think a lot of brands don’t necessarily think about the delivery experience as part of that customer experience,” he said.

The problem is that order management involves so many different systems along with internal and external stakeholders. Trying to pull them together into a coherent system is harder than it looks, especially when it could also involve older legacy technology. As Ball pointed out, the process includes shipping carriers, warehouse management systems, ERP systems and payment and tax and fraud tools.

The Salesforce solution involves a few key pieces. For starters there is order life cycle management, what Ball calls the brains of the operation. “This is the core logic of an order management system. Everything that extends commerce beyond the Buy button — supply chain management, order fulfillment, payment capture, invoice creation, inventory availability and custom business logic. This is the bread and butter of an order management system,” he said.

Lightning Order Management 7 LOM AppPicker bezel

Salesforce Lightning Order Management App Picker (Image: Salesforce)

Customers start by building visual order workflows. They can move between systems in an App Picker, and the information is shared between Commerce Cloud and Service Cloud, so that as customers move from sales to service, the information moves with them and it makes it easier to process inquiries from customers about an order, including returns.

Ball says that Salesforce recognizes that not every customer will be an all-Salesforce shop and the system is designed to work with tools from other vendors, although these external tools won’t show up in the App Picker. It also knows that this process involves external vendors like shipping companies, so they will be offering specific integration apps for Lightning Order Management in the Salesforce AppExchange.

The company is announcing the product today and will be making it generally available in February.

Oct
01
2019
--

Salesforce is building an office tower in Sydney, pledging 1000 new jobs in next five years

Salesforce announced this week that it’s building another shiny tower. This one will be in Sydney with views of the harbor and the iconic Sydney Opera House. The company has also committed to adding 1000 new jobs in the next five years and to building the tower in a sustainable fashion.

In fact, Salesforce is pledging the new tower will be one of the greenest buildings in the country when they are finished. “The building has achieved Sydney’s first-ever WELL core and shell Platinum pre-certification, the highest obtainable pre-certification, and will achieve a 6 Star Green Star Design and As-Built rating, representing world excellence in sustainable design,” Salesforce’s Elizabeth Pinkham wrote in a blog post announcing the project.

As is Salesforce’s way, it’s going to be the tallest building in the city when it’s done, and will sit in the Circular Quay, part of the central business district in the city, and will house shops and restaurants on the main floor. As with all of its modern towers, it’s going to dedicate the top floor to allow for flexible use for employees, customers and partners. The building will also boast a variety of spaces including a Salesforce Innovation Center for customers along with social lounges, mindfulness areas and a variety of spaces for employees to collaborate.

Salesforce has had a presence in Sydney for over 15 years, according to the company, and this tower is an attempt to consolidate that presence into a single, modern space with room to expand over the next five years and add hundreds of new employees.

The announcement comes on the heels of the one earlier this year that the company was building a similarly grand project in Dublin to centralize operations in that city where it has had a presence since 2001.

Sep
25
2019
--

Symantec’s Sheila Jordan named to Slack’s board of directors

Workplace collaboration software business Slack (NYSE: WORK) has added Sheila Jordan, a senior vice president and chief information officer of Symantec, as an independent member of its board of directors. The hiring comes three months after the business completed a direct listing on the New York Stock Exchange.

Jordan, responsible for driving information technology strategy and operations for Symantec, brings significant cybersecurity expertise to Slack’s board. Prior to joining Symantec in 2014, Jordan was a senior vice president of IT at Cisco and an executive at Disney Destination for nearly 15 years.

With the new appointment, Slack appears to be doubling down on security. In addition to the board announcement, Slack recently published a blog post outlining the company’s latest security strategy in what was likely part of a greater attempt to sway potential customers — particularly those in highly regulated industries — wary of the company’s security processes. The post introduced new features, including the ability to allow teams to work remotely while maintaining compliance to industry and company-specific requirements.

Jordan joins Slack co-founder and chief executive officer Stewart Butterfield, former Goldman Sachs executive Edith Cooper, Accel general partner Andrew Braccia, Nextdoor CEO Sarah Friar, Andreessen Horowitz general partner John O’Farrell, Social Capital CEO Chamath Palihapitiya and former Salesforce chief financial officer Graham Smith on Slack’s board of directors.

“I believe there is nothing more critical than driving organizational alignment and agility within enterprises today,” Jordan said in a statement. “Slack has developed a new category of enterprise software to help unlock this potential and I’m thrilled to now be a part of their story.”

Slack closed up nearly 50% on its first day of trading in June but has since stumbled amid reports of increased competition from Microsoft, which operates a Slack-like product called Teams.

Slack co-founder and chief technology officer Cal Henderson will join us onstage at TechCrunch Disrupt San Francisco next week to discuss the company’s founding, road to the public markets and path forward. Buy tickets here.

Sep
22
2019
--

TechCrunch Disrupt offers plenty of options for attendees with an eye on the enterprise

We might have just completed a full-day program devoted completely to enterprise at TechCrunch Sessions: Enterprise last week, but it doesn’t mean we plan to sell that subject short at TechCrunch Disrupt next month in San Francisco. In fact, we have something for everyone from startups to established public companies and everything in between along with investors and industry luminaries to discuss all-things enterprise.

SaaS companies have played a major role in enterprise software over the last decade, and we are offering a full line-up of SaaS company executives to provide you with the benefit of their wisdom. How about Salesforce chairman, co-CEO and co-founder Marc Benioff for starters? Benioff will be offering advice on how to build a socially responsible, successful startup.

If you’re interested in how to take your startup public, we’ll have Box CEO Aaron Levie, who led his company to IPO in 2015 and Jennifer Tejada, CEO at PagerDuty, who did the same just this year. The two executives will discuss the trials and tribulations of the IPO process and what happens after you finally go public.

Meanwhile, Slack co-founder and CTO Cal Henderson, another SaaS company that recently IPOed, will be discussing how to build great products with Megan Quinn from Spark Capital, a Slack investor.

Speaking of investors, Neeraj Agrawal, a general partner at Battery Ventures joins us on a panel with Whitney Bouck, COO at HelloSign and Jyoti Bansal, CEO and founder of Harness (as well as former CEO and co-founder at AppDynamics, which was acquired by Cisco in 2017 for $3.7 billion just before it was supposed to IPO). They will be chatting about what it takes to build a billion dollar SaaS business.

Not enough SaaS for you? How about Diya Jolly, Chief Product Officer at Okta discussing how to iterate your product?

If you’re interested in security, we have Dug Song from Duo, whose company was sold to Cisco in 2018 for $2.35 billion, explaining how to develop a secure startup. We will also welcome Nadav Zafrir from Israeli security incubator Team 8 to talk about the intriguing subject of when spies meet security on our main stage.

You probably want to hear from some enterprise company executives too. That’s why we are bringing Frederic Moll, chief development officer for the digital surgery group at Johnson & Johnson to talk about robots, Marillyn A. Hewson, chairman, president and CEO at Lockheed Martin discussing the space industry and Verizon CEO Hans Vestberg going over the opportunity around 5G.

We’ll also have seasoned enterprise investors, Mamoon Hamid from Kleiner Perkins and Michelle McCarthy from Verizon Ventures, acting as judges at the TechCrunch Disrupt Battlefield competition.

If that’s not enough for you, there will also be enterprise startups involved in the Battlefield and Startup Alley. If you love the enterprise, there’s something for everyone. We hope you can make it.

Still need tickets? You can pick those up right here.


Powered by WordPress | Theme: Aeros 2.0 by TheBuckmaker.com