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Presentation by Treb Ryan, Chief Strategy Officer, Dimension Data Today's consumers are getting more and comfortable with digital technology, yet marketers continue to throw up unnecessary roadblocks when it comes to driving more online sales. Learn how Dimension Data is using new thinking and new technologies, including Tealium, to create a frictionless sales approach that caters to today's new "cloud generation." Learn how to "get out of the way of your customers" and increase purchase activity across web and mobile channels.
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Frictionless Sales: Selling to Generation Cloud
Treb Ryan
Generation Cloud = New Expectations
Limitless Resources
Sharing & Collaboration
Mobile and BYOD
Immediate Availability
Ubiquitous Access
But sales hasn’t evolved since the mainframe
Until the Last Few Years
2000 2004 2005 2007 2008 2009 2010
1 year contracts
Monthly Commitments
Hourly Commitments
Elements of a Frictionless Sale The 3 NoCo’s
No Contact
People who use the cloud like to buy in the cloud
No contact
No Contact
Hourly Billing is a simple proposition. Customers will continue to use a service they like.
No contract
No Contact
Your core value proposition should be simple. Complexity should be grown into.
No complexity
Benefits of a Frictionless Buy
Frictionless Ops Benefits
Pay for What you Need
Savings over Time
Improve Operations
Pay for What you Need: Burstability – Every Day
Almost every application has a sine wave of usage
By modifying the available capacity throughout the day you can reduce costs by as much as 40%
Pay for What you Need: Don’t Pay Until You Start
Traditional Sales Buy Date
Frictionless Sales Buy and Launch Date are the
Same
6 months of deprecation alone can kill the cost on a project
Save over Time Immediately Take Price Breaks
Your Costs go Down Immediately at Prices Go Down!
Better Operations DevOps needs frictionless Operations
DevOps has the potential to transform IT the way that Agile has transformed development, but it and Agile methodology needs a frictionless infrasctructure.
Benefits of a Frictionless Sale
Low Price = Low Risk
Hourly Price
20¢ $1752
YYYY Yearly Price
Fast Decisions
28 Jan
Change Your Sales Cycle to Days not Months
Easy Up Sells = Fast Growth
Spin Up Compute Resource
Measure Usage
Usage Increasing?
With frictionless sales – flow charts can spend money
Reduced Competition = Price Stability
The Thirteen Scariest Things in IT – The End of the Quarter eWeek Magazine
Existing customers put far less pressure on pricing than new business
20 27 January 2014
The Power of Measurement
• Direct Cost • Immediate
Feedback • Focus on
MarkeAng • Metrics over
Sales • ProbabiliAes • Customer
AcquisiAon Cost RaAo
Site Visitors 12000 Signup Per Visitor (1/150) 80 % Active per Signup (33%) 25 12 month avg. revenue ($1000 per month avg.) $12,000 GM% 60% Gross Profit Per Active Customer $7,200 Brand Mktg. Per Visitor $4.00 Direct Mktg. Per Visitor $5.00 Sales Cost Per Visitor $2.00 Visitor Acquisition Cost $11 Customer Acquisition Cost $4950 CAC Ratio .69
Sample CAC RaAo
21 27 January 2014
Tealium Takes Those Metrics to the Next Level • MulA-‐Vendor Tag Mgt.
• Dev,QA, Prod • End to End • Full ReporAng • GamificaAon
Tealium has improved tracking of buyers by over 50%
Sales + Contracts: Still Absolutely Necessary
Up-sell complex items
Exchange Discounts for commitments
Create long-term relationships
Lock-in pricing
To experience a fricAonless sale, visit: hVp://www.dimensiondata.com/cloud
