siebel crm professional edition adapting your products to the smb market alvin leung product...

Siebel CRM Professional EditionAdapting Your Products to the SMB Market

Alvin Leung

Product Strategy Manager

Oracle Corporation

Updated July 12, 2006

Goals of This Presentation

• Understand overall positioning of Oracle’s SMB CRM offerings and SPE’s place

• Understand SPE sales positioning, pricing and packaging

• How to add SPE positioning to your products• How to develop SPE appropriate products

Agenda

1. The SMB CRM Opportunity

2. Oracle SMB CRM offerings

3. SPE as part of Oracle’s SMB CRM offerings

4. Review of SPE Positioning, Pricing, Packaging

5. Case Study – Horizon Health

6. Adapting your product for SPE

The SMB CRM Opportunity

: Best Selling and Most DeployedLargest Number of Live Users

93-4 95 96 97 98 99 00 01 02 03

500 4,000 20,000 60,000200,000

600,000

1 M

1.3 M

2.17 M

04

Number of Live Siebel Users (as of Q4 2004)

0

3.0 M

Gartner: Live Users by CRM Provider (as of Q4 2003)

2.5M

2.0M

1.5M

1.0M

500k

2,170,000

Seats

360,000 Seats 180,000

Seats 165,000

Seats

Source: Gartner Dataquest, G00122293, August 13, 2004, T. Topolinski, Y. Dharmasthira, and P. Kumar.

Siebel PeopleSoft Oracle SAP0

Best Selling and Most DeployedIndustry Leaders Run Oracle-Siebel CRM

9 of the top 10 global telecommunications companies

20 of the top 25 global banks

25 of the top 25 global pharmaceutical companies

19 of the top 20 global high technology companies

14 of the top 20 life insurance companies

3 of the 4 largest U.S. railroads

9 of the top 10 global consumer goods companies

18 of the top 25 global energy companies

10 of the top 15 global automotive companies

Communications

Banking

Pharmaceuticals

High Technology

Insurance

Transportation

Consumer Goods

Energy

Automotive

Oracle SMB Customer Revenue CY03-05

Based on customer size; from Oracle sales data from past three years

57%67% 71%

44%37%

43%

29%

56%63%

33%

Oracle E-BusinessSuite

JD EdwardsEnterpriseOne

JD Edwards World PeopleSoft Enterprise Siebel CRM

SMB (< $1B) Large Business(> $1B)

Takeaway #1

SMB is still a largely untapped market for CRM

SMB/MidMarket CRM Represents Large Revenue Opportunity

Source: • CRM Software Application Spending by SMBs on the Rise. Gartner Research, 2004• IDC Proprietary Research for Oracle

Large SMB/Mid Market Base … that is Largely Untapped

CRM PenetrationMidsized Businesses

20%

CRM PenetrationSmall Businesses

2%

# Companies in North America

5M Small Businesses

90K Midsize Bus.

SM

B/M

idM

arke

t

$8.0B $8.6B$9.3B

2004 2005 2006 (P)

Drives Significant SMB/ MidMarket CRM Spend

World Wide SMB ($0-$500M) CRM Spending

$5.9B

2005

$6.3B

2006

$6.6B

2007(P)

Takeaway #2

Oracle is well positioned to capitalize on this opportunity.

Copyright ©2006, Oracle. All rights reserved. Oracle Confidential

Why Oracle is Poised to Succeed

The Best Software– Most comprehensive application functionality

– Best industry applications

– Solutions to address all deployment needs

Longevity and Commitment– Most successful enterprise software vendor– Focused on business applications and technology only– Long term support and continual enhancements

Most Success and Expertise in CRM– Best Selling and most deployed

– Most experience in making customers successful

– Certified consulting ecosystem


Oracle’s SMB CRM Offering


Oracle’s SMB CRM Offerings

CRM Professional Edition

Oracle CRM

JDE Edwards EnterpriseOne CRM

CRM On Demand Peoplesoft CRM


Oracle’s Siebel CRM On Demand

Comprehensive Hosted Solution• Pre-built sales, marketing and service• Industry-specific features ensure organizations

spend less time customizing their software• Built-in contact center empowers virtual teams

Insight-driven• Enables real-time feedback, historical trend

and predictive analyses

Embedded Best-practices• Tutorials, wizards, and task-based layouts

guide optimal behaviors

Flexibility• Multiple deployment options• Easy integration and customization address

your specific needs

Blueprint for Customer Success

Embedded Analytics withBuilt-in Data Warehouse

Configuration, Integration & Extension

World-Class Hosting Infrastructure

MarketingSales Service

Built-in Contact Center

Industry Specific CRM


Oracle’s Siebel CRM Professional EditionThe Most Comprehensive CRM Solution for Small and Mid-sized Businesses

Strategic CRM– Pre-integrated best of class sales, marketing,

service and CRM analytics applications

– Embedded industry best practices

– Deep industry functionality for across 12 vertical editions

– 150 available add-on modules

Tailored for Small and Mid-sized Businesses– Functionality optimized for SMB requirements

– Tailor deployment with 6 free add-on modules

– Integration with familiar desktop and Web apps

– Runs on Windows, SQL Server

– Priced at $995 per user, financing available

Delivered by certified implementation partners

“Siebel Professional Edition offers best-of-breed CRM to the mid-market.”

-- Forrester Research 11/22/2005


Oracle E-Business Suite CRM, Peoplesoft CRM &Oracle’s JD Edwards EnterpriseOne CRM

CRM functionality embedded in Oracle’s ERP applications

Single Suite ERP & CRM Apps

• Consolidates and reduces IT admin costs

• Common data model – enables a single source of customer data

– reduces data integration costs

• Integrated Order Mgmt &Inventory Fulfillment – supports customer service for manufacturing

companies

• Integrated CRM to financials


Oracle’s SMB CRM Offerings


Oracle CRM


Which product to sell?

CRM On Demand Peoplesoft CRM


SMB Mid-Market PlaybookGlobal Recommendations—Product Positioning for Net New Accounts

Aer

ospa

ce &

Def

ense

Aut

omot

ive

Che

mic

als

Com

mun

icat

ions

Con

sum

er P

rodu

cts

Edu

catio

n\R

esea

rch

Fin

anci

al S

ervi

ces

Hea

lthca

re

Hig

h T

echn

olog

y

Indu

stria

l Man

ufac

turin

g

Life

Sci

ence

s

Med

ia &

Ent

erta

inm

ent

Nat

ural

Res

ourc

es

Oil

& G

as

Pro

fess

iona

l Ser

vice

s

Pub

lic S

ecto

r

Ret

ail

Tra

vel &

Tra

nspo

rtat

ion

Util

itiesTarget

ProductLine

E1

Enterprise

EBS

E1

E1

E1

EBS

SEBL

EBS

SEBL

EBS

SEBL

EBS

SEBL

EBS

SEBL

EBS

SEBL

EBS/Retek

SEBL

EBS

SEBL

EBS

SEBL

Enterprise

EBS

SEBL

Aut

omot

ive

Sup

plie

rs

E1

E1

SEBL

LegendEBS—Oracle eBusiness Suite/Special EditionE1—JDE EnterpriseOneEnterprise—PeopleSoft EnterpriseSEBL—Siebel CRM Professional Edition

Eng

inee

ring\

Con

stru

ctio

n

E1

SEBL

E1

Who

lesa

le D

istr

ibut

ion

EBS

SEBL

CoreERP/SCM

CRM

Takeaway #3

Comparative Advantage – Utilize SMB CRM Offerings as a Portfolio


Oracle’s SMB Mid-Market CRM Offerings


Order ManagementInventory Fulfillment

Integration to Oracle ERP

Closed Loop MarketingContact Center On Demand

Customer’s Key Functional

Requirements

Closed Loop Marketing,Analytics,

Mobility esp. Field Service,Industry Specific functionality,

Workflow EngineContact Center On Demand

Leverages ERP IT ResourcesMinimalIT Admin Costs IT Resources Needed

Oracle CRM

Hosted, Integrated or Best of ClassOracle Provides A Complete Portfolio of CRM Products for all SMB’s Needs

Cost of Ownership,ERP Integration

Rapid Deployment, Cost of Ownership

Purchase DriversCRM for Competitive

Differentiation

ERP Suite, Add-on FunctionalityStandalone CRM Scope of Deployment Standalone CRM


Hosted Best of ClassIntegrated

CRM On Demand

Existing Oracle ERP CustomerNet new,

Existing Oracle ERPOracle Footprint

Net new,Existing Oracle ERP

For existing ERP, all sizesAll SizesDeployment Size Recommend 30+ seats

Manufacturing IndustriesAll Industries Industries Services, B2C Industries


Siebel CRM Professional EditionPositioning, Packaging & Pricing

…used by leading companies large and small…

Oracle’s Siebel CRM: The World’s Leading CRM Solution

…and the recognized CRM leader by industry analysts such as Gartner and Forrester.

The most complete CRM suite available… …with 3M live users from 4000+ companies worldwide…

Proven, pre-integrated CRM solutions for SMB’s

Optimized for SMB IT environments

Affordable priced from $995 Delivered by local systems

integrator

Tailored for SMB’s

Siebel CRM

…Engineered for Small & Mid-sized Businesses

Featuring Best of Breed CRM Solutions with Built-in Best Practices

developed from over 12 years of experience pioneering CRM solutions

Vertical Editions with Deep Industry-Specific Functionality

Communications,Media

& Energy

FinancialServices

LifeSciences

Health Care& Insurance

ConsumerGoods

Automotive

•Pricing Authorization Management

•Billing Management

•Credit Management

•Fraud Management

•Price Comparison

•Credit Origination

• Investment Banking

•Retirement & Pension Mgmt

•Wealth Mgmt

•Small Business Banking

•Adverse Events & Complaints Tracking

•Prescription Analysis

•Clinical Profiles

•Territory Mgmt for LS

•Pharma Campaigns

•Medical Handheld

•Etc…

•Group Coverage

• Individual Coverage

•Group Pensions

•Group Policies

• Individual Life & Annuities

•Personal Lines Claims

•Etc…

•Trade Management

•Sales Volume Planning

•Deduction

•CG Handheld Sales

•Territory Mgmt for Consumer Goods

•Van Sales & Delivery

•Etc…

•Financial Accounts

•Lease End of Term Processing

•Personal Lines Claims

•Title Management

•Vehicle Contracts

to deliver best fit for SMB’s while reducing implementation costs

• Greater product fit and business benefit• Increased user adoption

•Reduced need for customization •Streamlines implementation cost and time•Reduced future upgrade costs

The Most Comprehensive CRM Solution for Small and Mid-sized

Businesses

Siebel CRM Pro Ed.

SalesLogix

MSCRM

Onyx

Pivotal

SF.com

Fiel

d Sa

les

Insi

de S

ales

Partn

er M

gmt

E-C

omm

erce

Cus

tom

er S

ervi

ceFi

eld

Serv

ice

Dat

a C

lean

sing

CR

M A

naly

tics

Con

tent

Mgm

t.C

ampa

ign

Mgm

t.

Strong Functionality Light Product Functionality No Product Functionality

Source: A Feature Comparison of CRM Suites for MSBS, Wendy Close, Gartner, August 8, 2004

Flexible Packaging Allows SMBs to Create Custom CRM Bundles

Option 5Option 5Customer Choice






Base ApplicationBase Application

Build the Application You Need• Start with a Sales, Service,

Marketing or Call Center base• Choose 6 additional modules at

no extra cost

Solution Grows with Business • Purchase additional functionality

a la carte• Select from over 150 modules

cross-industry and industry specific modules

Siebel CRM Professional Edition Delivers A Broad Range Of CRM Capabilities…

• Opportunity Management (included in Sales Base)

• Forecasting Management

• Quote and Order Capture

• Proposals and Presentations

• Incentive Compensation Management

• Sales Methodologies

• Time and Expense reporting

• eSales/eCommerce

• Disconnected Mobile access

• Handheld (PocketPC) access

• Partner Relationship /Channel management

• Service Management (included in Service Base)

• Email response management

• Field Service

• Helpdesk

• Asset Management

• Computer Telephony Integration (CTI)

• Hosted Call Center

• SmartScript (Call Scripting)

• Quality Management

• eService (Web Self Service)

• Contracts (SLA management)

• Solutions

• Marketing Resource Manager (included in Marketing Base)

• E-mail marketing

• Web Marketing

• Event Management

• Data Quality

• TeleSales / Tele Marketing

• Segmentation

Available Sales Options Available Service Options Available Marketing Options

Compelling Pricing Options increase affordability to SMB’s

• Single payment at time of purchase• Maintenance and support purchased

separately

• Delivered through Oracle Financing Division• Competitive financing and leasing options• Single payment solutions covering software,

hardware and implementation costs available

FinancingFinancing

• Offered by qualified System Integrator partners

• Starting from $67K for up to 200 users

Fixed Fee Fixed Fee ImplementationImplementation

FromFrom $995 per user $995 per user

Flexible PackagingPre-integrated CRM SolutionsPick 6 modules to custom tailor

solution at no additional costSeamlessly add additional modules

as business needs evolve

Tailored for SMB EnvironmentsSupport for Oracle DB and SQL

Server, Windows, Solaris Streamlined installation process

Affordable PricedPricing from $995 per user Financing and leasing options

available

Siebel CRM Professional EditionComprehensive CRM Solutions Engineered for Small and Medium Businesses

Industry-Specific Best Practices

Case Study:

Company Overview:• Provider of EAP services and psychiatric rehab services • Annual Revenues of $180m in FY04-05

Problems:• Growth by acquisition = disparate information systems including

6 call center systems, various IT systems• Call center agents took 4 weeks to train and 1 month to get up to

speed• IT keeping 9 developer FT to maintain legacy systems – IT was

a barrier to improving business performance

Solution:• Initial project was to consolidate call center systems

using SPE• Selected SPE over SFDC, Rightnow, Sage• Project rapidly expanded to cover many other aspects

of the business using Healthcare vertical edition• Provider provisioning and assignment• Claims review, processing and payment• Hospital management and utilization

Case Study:

Results:• Operating Margin on EAP programs increased 5x• Call Center agents average call time 10mins to 2 mins• Call center training from 4 weeks to 2 days• Claims payment time from 120 days to 10 days• 60% decrease in complaints volume• Increased employee morale• IT became enabler for growth instead of roadblock:

• ‘Siebel has become our platform for future growth’• “Flexibility and integration is our greatest strength now”

• Looking at future projects for Siebel Helpdesk and Analytics• “Could only achieve these results with Siebel” – VP of IT• “Wouldn’t be able to afford Siebel without Professional Edition offering”

Case Study:

Adapting Your Product for SPE

Adding SPE Positioning to Existing Content

http://my.oracle.com -> integrated products -> siebel -> oracle-branded content -> CRM Professional Edition -> Sales Presentations

1. Append the SPE “Mini-Deck” to Existing Presentations

2. Use the SPE One-slide for summary callout

Profile of an Typical SPE Customer

Company Profile• $150AAR+• 100-500 seats ~$100K-$500K

SPE Profile• At 2-3 CRM apps (Sales+Service, Marketing+Sales)• Single instance system

IT Profile• IT department of 9-12, 2-3 DBA’s, 1 FTE Siebel admin• SQL Server DB/MSFT shop (60% of the time)• Leverage local SI’s for initial implementation, in-house

resources for ongoing maintenance

How SMB’s Are Different?• Risk adverse!

• Seek to purchase from known stable vendor• Typically lag adoption of new technologies by 2-5 years

• Buying Psychology• Seek to address their greatest pain points, ‘vision’ will be

differentiator but not as important• Failure is not an option – 1 shot to get it right: Ease of

implementation, ease of adoption are priorities

• Limited IT resources• Target initial budget for CRM project $500K – $1M (licenses and

services)• Cost of Ownership (relative to value added) is important

Product Management Considerations for Siebel CRM Professional Edition

Product:1. Consider the ownership experience of your product

• Does it work ‘out of the box’ – ‘default settings’, ‘set up wizards’, straightforward documentation?

• Easy to implement, maintain and upgrade? • Can be maintained by 1 Siebel FTE?

• If not, was in minimum number of seats needed?

2. Product dependencies?• Does your product need high end/enterprise only products such as CDI/UCM, Analytics

3. License Keys• SPE is delivered using License keys:• Ensure your LK definitions are cleanly and logically grouped• No monolithic LK definitions – we can aggregate LK’s together but not disaggregate large

ones• Advance notice of chances to LK definitions, deprecations, etc.

4. Future releases of Siebel – advance changes to pricing models, module or LK names between releases.

Product Management Considerations for Siebel CRM Professional Edition

Pricing:1. Avoid server-based pricing models with high minimum

1. E.g. $55k email marketing server, $500k Siebel Analytics Server are inappropriate for SMB2. Per seat pricing is preferable, $200-$1500/seat range. Typical per seat Enterprise pricing is

usually satisfactory

Product:1. Consider ownership experience of your product

1. Does it work ‘out of the box’ – ‘default settings’, ‘set up wizards’, straightforward documentation?2. Easy to implement, maintain and upgrade? 3. Can be maintained by 1 Siebel FTE?

1. If not, was in minimum number of seats needed?

2. Product dependencies?1. Does your product need high end/enterprise only products such as CDI/UCM, Analytics

3. License Keys1. SPE is delivered using License keys:2. Ensure your LK definitions are cleanly and logically grouped3. No monolithic LK definitions – we can aggregate LK’s together but not disaggarate large ones

Key Takeaways

1. SPE is part of a portfolio strategy to attack the SMB CRM market

2. SPE expands addressable market of your Siebel CRM product

3. Your product can be easily adapted for SPE

4. Consider suitability for typical SPE customer when designing new products

siebel crm professional edition adapting your products to the smb market alvin leung product...

Documents