smbs and cloud service adoption · 2017-10-24 · on-premise vs. cloud-based solutions findings •...
TRANSCRIPT
© AppDirect, Inc. Confidential Material 1
SMBs and Cloud Service Adoption
© AppDirect, Inc. Confidential Material 2
How are SMBs using the cloud and
how can I support them?
© AppDirect, Inc. Confidential Material 3
AGENDA
• Current SMB Cloud Landscape
• SMBs and Cloud Services
• Plans for Cloud Growth
• Meeting the Cloud Services Needs of SMBs
• What is AppDirect?
© AppDirect, Inc. Confidential Material 4
Current SMB Cloud Landscape
© AppDirect, Inc. Confidential Material 5
On-Premise vs. Cloud-Based Solutions
FINDINGS
• A majority of SMBs, 55%, say that their software is mostly or all on premise.
• At companies with 1-10 employees, it’s 72%.
SMB Solutions: Cloud vs. On Premise:
Educate SMBs on the benefits of the cloud.
© AppDirect, Inc. Confidential Material 6
SMB Concerns About Cloud FINDINGS
• 67% of SMBs are comfortable with cloud-based applications
• 16% are moving everything to the cloud
AS SMBS GET LARGER, THEIR COMFORT LEVEL WITH CLOUD INCREASES:
• 81% of companies with 11 to 100 employees are comfortable with cloud
• 86% of companies with 101 to 250 employees
The majority of SMBs are comfortable with cloud technology.
SMBs Comfortable with the Cloud:
© AppDirect, Inc. Confidential Material 7
SMB Concerns About Cloud
FINDINGS
The other side of the coin: 33 percent of SMBs overall not comfortable with cloud
• 39% of SMBs are worried about security
• 27% say they aren’t big enough
• 18% say same solution isn’t available
• 16% say that they don’t understand how solutions work
More education on security, availability, how the cloud works.
Top SMB Cloud Concerns:
© AppDirect, Inc. Confidential Material 8
SMBs and Cloud Services
© AppDirect, Inc. Confidential Material 9
Current SMB Use of Cloud Services
FINDINGS
• SMBs use an average of 6.48 cloud services
• A significant amount, 19%, report using none
Number of Cloud Services Used:
Huge opportunity to expand your market to the 1 in 5 who use no cloud services.
© AppDirect, Inc. Confidential Material 10
Where SMBs Buy Cloud Services
FINDINGS
• 49% of SMBs purchase their software directly from ISVs
• 27% buy from Internet and / or telecom service providers
• 21% buy from local IT resellers
• 67% say that having to go to multiple vendors is “a waste of their time”
• Increases to 74% at the largest SMBs
SMBs want to go to a single vendor for their cloud services.
Where SMBs Buy Cloud Services:
© AppDirect, Inc. Confidential Material 11
How SMBs Pay for Cloud Services FINDINGS
• 39% of SMBs with 11 to 100 employees get 3 - 5 bills
• 29% of SMBs with 101 to 250 employees get 6- 10 bills
THE LARGER THE COMPANY, THE GREATER THE NUMBER OF MONTHLY FEES / B ILLS
• 52% of SMBs with 1 to 10 employees get 1 - 2 bills
• 37% don’t know how many they receive
Many SMBs need more visibility into their IT Spending
© AppDirect, Inc. Confidential Material 12
SMB Plans for Cloud Growth
© AppDirect, Inc. Confidential Material 13
Increasing Usage and Spend
FINDINGS
• 47% of SMBs will increase use of cloud services
• 42% of SMBs won’t change their use of cloud services
Company size matters:
• 59% of larger SMBs say that their use will increase
• 30% of those in a company with 1 to 10 employees will increase usage
SMBs are eager to use more cloud services.
Percentage of SMBs that will increase use of cloud services:
© AppDirect, Inc. Confidential Material 14
What SMBs Want from Cloud Services
FINDINGS
• 35% want an easy way to access customer / technical support at any time
• 34% want a central location to manage apps
• 32% want to be able to buy bundled apps
• 29% want to buy apps bundled with Internet access
SMBs want cloud services to be easier.
What SMBs are looking for in Cloud Services:
© AppDirect, Inc. Confidential Material 15
Meeting the Cloud Services Needs of SMBs
© AppDirect, Inc. Confidential Material 16
Expert Advisors
FINDINGS
• 61% of SMBs overall want to use more cloud-based solutions, but they need help
• 85% say they want to talk with a person who can help them and answer their questions about cloud
SMBs need expert advisors to help them find what they need.
© AppDirect, Inc. Confidential Material 17
Preferred Cloud Services Providers
FINDINGS
• 45% of SMBs that are likely to consolidate want to get services from a telecom, Internet, and / or cable provider
• 27% of SMBs want them from local IT service providers / resellers
• 27% of SMBs want them from software vendors that offer add-on products
SMBs are comfortable buying from the channel.
Where SMBs prefer to get consolidated services:
© AppDirect, Inc. Confidential Material 18
Consolidated Billing for Apps and Services
FINDINGS
• 70% of SMBs say they would be more likely to buy their software from their telecom company if they could pay for all their services on one bill
• 68%, say they would be more likely to buy software from their local IT reseller if they could pay for their services on one bill
Offer streamlined, simple billing to attract SMB customers.
SMBs want to consolidate cloud service purchases:
© AppDirect, Inc. Confidential Material 19
Simplified Management
FINDINGS
• 50% of SMBs value “simple management most, only 25% named low prices as the most important
• Simple management becomes even more important as companies grow larger, with 69% of companies with 101 to 250 employees citing it as their top value
Make it easy to use cloud services.
What SMBs value most in cloud services:
© AppDirect, Inc. Confidential Material 20
A Variety of Targeted Cloud Services
FINDINGS
• 84% of SMBs say it’s important for their companies to have many choices
• 69% of small businesses say they are looking for a variety
• At the largest SMBs, 85% of SMBs want a range of applications to choose from
Focus on a core set of apps to start and then expand.
© AppDirect, Inc. Confidential Material 21
How You Can Make an Impact
FINDINGS
• Only 20% of SMBs say that they have everything they need with regard to their cloud services
• Drops to 14% of companies with 11 to 100 employees
• 6% of SMBs with 101 to 250 employees
There is tremendous opportunity to improve the SMB experience.
© AppDirect, Inc. Confidential Material 22
What Is AppDirect?
© AppDirect, Inc. Confidential Material 23 AppDirect Overview & Plan
AppDirect was founded to help businesses find, buy and manage cloud services through trusted providers.
$245 MILLION IN FUNDING RECENT SERIES E LED BY JP MORGAN AND PETER THIEL’S MITHRIL CAPITAL
WINNER OF NUMEROUS INDUSTRY AWARDS AND ACCOLADES
COOL VENDOR
FASTEST-GROWING SOFTWARE COMPANIES
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