Salesforce.com 2014 Annual Report Download - page 10

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solution with existing third-party, custom, and legacy apps and write their own application services that
integrate with our solutions. For example, many of our customers use our Salesforce1 API to move
customer-related data from custom-developed and packaged applications into our service on a periodic
basis to provide greater visibility into their activities.
High levels of user adoption. We have designed our solutions to be intuitive and easy to use. Our
solutions contain many tools and features recognizable to users of popular consumer web services, so
users are more familiar with our user interface than typical enterprise applications. As a result, our users
can often use and gain benefit from our solutions with minimal training.
Rapid development of apps using the Salesforce1 Platform. Our customers and third-party developers
can develop apps rapidly because of the ease of use and the benefits of a multi-tenant platform. We
provide the capability for business users to easily customize our applications to suit their specific needs,
and also a variety of programming language support so developers can code complex apps spanning
multiple business processes and deliver them to multiple mobile devices.
Increased innovation. By providing infrastructure and development environments on demand, we
provide developers the opportunity to create new and innovative apps without having to invest in
hardware and distribution. A developer with an idea for a new app can log onto our platforms, develop,
test and support their system on the Salesforce1 Platform and make the app accessible for a subscription
fee to his or her customers.
Lower total cost of ownership. We enable customers to achieve significant up-front savings relative to
the traditional enterprise software model. Customers benefit from the predictability of their future costs
since they generally pay for the service on a per subscriber basis for the term of the subscription contract.
Because we deploy all upgrades on our servers, new features and functionality automatically become part
of our service on the upgrade release date and therefore benefit all of our customers immediately.
Our Strategy
Our objective is to deliver solutions that help companies transform the way they sell, service, market and
innovate. Not only do we provide enterprise cloud apps, we also provide an enterprise cloud computing platform
upon which our customers and partners can build apps.
Key elements of our strategy include:
Strengthening our solutions. We designed our solutions to easily accommodate new features and
functionality. We intend to continue to extend our core solutions with new features and functions and
increased security. We also offer advanced editions for an additional subscription fee to customers that
require enhanced CRM capabilities. We offer a range of editions to meet our customers CRM
requirements. Through our own development, acquisitions and partnerships, we have strengthened and
extended our service offerings. We expect to continue to make such investments in the future.
Extending distribution into new and high-growth categories. As part of our growth strategy, we are
delivering innovative solutions in new and high-growth categories, including marketing and cloud
platforms. We are expanding our footprint in these areas to offer new social and mobile cloud innovations
to our customers.
Expanding relationships with existing customers. We see a significant opportunity to deepen our
relationships with our existing customers. As our customers realize the benefits of our service, we aim to
upgrade the customer to higher priced editions, extend the duration of the customer’s contract and sell
more subscriptions by targeting additional functional areas and business units within the customer
organization, and ultimately pursue enterprise-wide deployments.
Pursuing new customers. We believe that our offerings provide significant value for businesses of any
size. As a result, we will continue to aggressively target businesses of all sizes in top industries, primarily
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