QUOTE AND NEWS
Benzinga  2 hrs ago  Comment 
On CNBC's Fast Money Halftime Report, Pete Najarian spoke about options trading volume in salesforce.com, inc. (NYSE: CRM). He said the stock started to trade lower on Friday on the news of a potential acquisition of Twitter Inc (NYSE: TWTR), but...
Clusterstock  5 hrs ago  Comment 
It looks like a Twitter sale is coming soon. Several reports over the past week have claimed that multiple tech and media giants are eyeing a bid for the social networking company. Claimed suitors range from Google to Salesforce to Disney. The...
Wall Street Journal  Sep 27  Comment 
Salesforce.com on Tuesday introduced a new e-commerce service based on its $2.8 billion acquisition of Demandware Inc. in July.
Benzinga  Sep 27  Comment 
salesforce.com, inc. (NYSE: CRM), Microsoft Corporation (NASDAQ: MSFT), Alphabet Inc (NASDAQ: GOOG) and Walt Disney Co (NYSE: DIS) are all said to be vying to buy out Twitter Inc (NYSE: TWTR) - and this is "surprising" to Neil Doshi of Mizuho...
Forbes  Sep 27  Comment 
Slack is moving into the enterprise with the help of Salesforce as the companies have announced a partnership that integrates Slack into Salesforce and vice versa.
TechCrunch  Sep 27  Comment 
 The need to contact customer support is the bane of many a modern consumer’s existence: not only is it likely that you are doing it because you have a problem that needs fixing, but you are inevitably sucked into a vortex where you have to...
guardian.co.uk  Sep 26  Comment 
Each rumored sale would have advantages except ABC News-owner Disney, which poses the risk of causing competitors to refrain from using the platform Twitter is being sold to Disney. No, Microsoft. No, Salesforce. No, Alphabet. The troubled, often...
Benzinga  Sep 26  Comment 
$71.21 - Intraday high as of 2:35 PM $70.39 - Friday close $70.29 - Current price as of 2:35 PM $70.10 - Friday low $69.88 - Intraday low as of 2:35 PM If content like this is useful to your trading/investing strategy,...
Benzinga  Sep 26  Comment 
The following are the M&A deals, rumors and chatter circulating on Wall Street for Friday September 23 thru Sunday September 25, 2016: Twitter Said to be Exploring Sale The Rumor: Twitter (NYSE: TWTR) shares soared Friday following a report...
Wall Street Journal  Sep 25  Comment 
Salesforce.com CEO Marc Benioff is weighing a bid for Twitter, a move that would vault his 17-year-old business-software company into a new realm with very different challenges and risks.




RELATED WIKI ARTICLES
 

Salesforce.com provides enterprise cloud computing applications such as customer and collaboration relationship management (CRM) to businesses of various sizes and industries.[1] By providing subscription-based CRM applications to record, track, manage, and analyze data concerning sales, customer service and support, and marketing operations, Salesforce.com's CRM applications provide customers the ability to build these systems without investing in new software, hardware, and other infrastructure.[2] Salesforce.com's main products and services include CRM applications, the Force.com, AppExchange, and related consulting and maintenance services. Salesforce.com has over 92,000 customers worldwide and derives more than 30% of its revenue from overseas sales. While providing a potential less expensive platform, Salesforce.com faces heavy competition from large business customers who have greater resources and entrenched customer relationships with larger businesses.[3] As these businesses compete for cost conscience customers , profit margins continued to remain depressed.[4]


Business Growth

Through the acquisitions of InStranet in 2008 and Jigsaw in 2010, Salesforce.com has increased its offerings of software-as-a-service, or SaaS, and expanded into adjacent markets.[5] Salesforce.com has developed business applications beyond CRM applications that are designed to attract larger businesses as well.[6]

Trends and Forces

High-degree of competition threatens Salesforce.com's market share and profitability

With greater resources and established relationships with large business customers, large enterprise software companies like SAP and Oracle (ORCL) are a significant threat to Salesforce.com's ability to grow into new markets.[7] In addition, these companies have the ability to develop large research and development facilities, which put pressure on Salesforce.com to develop and market new products and services. In response, Salesforce.com has expanded its product lines through key acquisitions in 2008 and 2010.[8]


Salesforce.com's cloud-based platforms also face competition from cloud-computing rivals like Google (GOOG) and Microsoft (MSFT) as well as from open-source alternatives like SugarCRM.[9] These companies are market similar platforms to those marketed by Salesforce.com that have similar price-advantages that attracted small and medium-sized businesses to Salesforce.com.[10]


Salesforce.com declining 2011 profitability margins partially reflect increased competition in the CRM space as software providers compete for cost-sensitive contracts.[11] In addition, many of Salesforce.com's SaaS competitors have the potential of taking away clients and revenue from the Company.[12]

Salesforce.com needs growth to keep pace with high customer acquisition costs

Salesforce.com's marketing expenses represent almost half of the Company's revenue. While marketing expense represent one type of cost, it illustrates how critical scale is to the Company's profitability.[13] Compared to those of its competitors SAP AG (SAP) and Oracle (ORCL), Salesforce.com operating margins are below industry average.[14] With larger deals, Salesforce.com lowers its customer acquisition costs. In response, Salesforce.com has launched products designed to increase investment in the Company's services. Force.com and Chatter Cloud both represent newly-launched products designed to attract customers to a "suite" of Salesforce.com offerings.[15]

Competition

Within the CRM-space, Salesforce.com's competitors offer open-source, SaaS, and traditional software solutions.[16] Competition is high,which has led to relatively diminished margins for Salesforces.com. Its key competitors include:



It's like you're on a misison to save me time and money!

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki