find new revenue with existing customers

Finding New Revenue From Existing Customers

Presented by ServiceSource and Johnson Controls

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Today’s Moderator

Peter Hegyi Director, Industrial Systems ServiceSource

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We are the market leader Focused exclusively on recurring revenue since 1999

Software Hardware Networking Healthcare & Life Science

New Markets (XaaS and Industrials)

$14.5B Recurring Revenue under management 47 seconds A renewal is closed

LOCATIONS WORLDWIDE:

200+ Engagements worldwide


Multiple paths to Recurring Revenue

Less complex

More complex

Com

plex

ity

Revenue Model

Fixed Fee Usage or Subscription

Pay to Use

Service Contracts

Support or Preventative Maintenance Agreements

Hybrid/Multi-Service


Today’s presenters

Glenn Johnson Director, Industrial Systems ServiceSource

Joy Medved Sr. Director Data Quality & Governance, ServiceSource

Buddy Saucier Vice President, HVAC Service and Security & Fire Operations, NA Johnson Controls

Kelly Bremness Program Manager Johnson Controls

Emerging Data Trends


$30 Billion Lost Because Companies Simply Don’t See the Whole Picture.


More Strategic Insights

Access Real-Time

Data

Comparative Analytics

Identify Trends Proactively Correct Issues


10110101001 10110101110 01101000110 10001001110 01101011010 00010110001 11001110101 00110001100

Where is the product installed?

How many service calls on the product?

What is the annual maintenance price?

Who is the correct point of customer contact?

When did the warranty expire?

Have there been parts replaced?

Is there an opportunity to upsell or x-sell?


Company Product SKU Support lvl Exp. Date Price Contact Phone #

CRM OM

Entitlement System

Installed Base

Pfizer Inc A5000 A243210.1 Bronze 8x5 12/31/13 $10,500.00 Bob Greene 615.442.1212

ERP


Data Quality

Data Governance

Resolve Validate Map &

Assemble Enhance


Data Quality &

Governance

Sales Execution

Customer Feedback

• Revenue growth •  Improve customer intimacy

•  Product and service innovation


What if…

You could intelligently generate the right service

offers for the right customers…

You could get real time market insight to

inform new pricing and consumption models…

You could improve customer loyalty and ensure they buy from

you again…

Buddy Saucier Vice President, HVAC Service and Security & Fire Operations North America Kelly Bremness Program Manager, Enterprise Accounts, North America

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Industry challenges

Data quality and reliability

Multiple sources of data

KPIs & reporting

Data governance

Leveraging big data

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Installed base data project

DATA QUALITY

•  Consolidate multiple tools into one

•  Clean up of existing installed base data

GOVERNANCE

•  Ongoing quality enforcement

•  Process improvement

More sticky, linkage & attachment = MORE RECURRING REVENUE

17 Johnson Controls

Key benefits of installed base data improvement

Database Improvement

Business Insights

Incremental recurring revenue and project pull

through

Increased upsell & cross-sell

Targeted tech refresh

campaigns

Competitive displacements

Improved customer

satisfaction

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Project Workstreams

PHASE 1

•  Sponsorship

•  Set and track quantitative goals

PHASE 2

•  Rollout plan for all 120 NA branches

•  Identify a captain for each branch

•  Engaging customers directly for asset verification

PHASE 3

•  Sustain through governance

•  Customer site creation monitoring

•  Ongoing Executive audits

19 Johnson Controls

Expected results from growth initiatives for 2014

Controls and governance

Process improvements

Reporting and analysis

$12M incremental

services revenue

Glenn Johnson ServiceSource Director, Industrial Systems


Why does data matter?

Low

High

Usage Traditional Delivery Model

Com

plex

ity

Service Contracts

Preventive Maintenance Agreements

Warranty Conversions

Support Agreements

Expired Business

Subscriptions

Pay Per Use


How we can help

*Based on internal studies, companies who worked with ServiceSource reduced churn by an average of 9 points **ServiceSource internal study comparing sales productivity before and after using Renew OnDemand showed an average increase of 20%

Best practice process & industry benchmarking

Increase renewal rates and efficiency

Optimize subscription revenue throughout the customer lifecycle

Maximize performance with our experts in customer success and renewal sales

Optional

20% increase in sales productivity**

15pt improvement in renewal rates*


Engagement model

Solution Design Solution Deployment

Service Performance Analysis (SPA)

Gather needs and requirements

Jointly design solution to meet your goals Rapid deployment

•  Sales & services strategy

•  Business case

•  Baseline performance vs. industry benchmarks

•  Policies, processes & practices

•  Metrics, reporting & systems

•  Collaborative workshops

•  Scope of engagement

•  Solution design

•  Cloud application deployment plan

•  Build business case

•  Training and On-boarding

•  Communication / change management plan

•  Team alignment

•  Cloud app configuration, deployment & roll-out


Key Takeaways

Understand the opportunity for improvement Leverage benchmarks to identify recurring revenue performance upside as well as qualitative process improvement opportunities.

Develop a strategy specific to your needs Leverage knowledge from other industries to capitalize on revenue improvement opportunities.

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Thank you!