Salesforce.com is Ready to Create a New Industry

Salesforce.com is, perhaps, the most widely used and recognized customer relationship management software developer, and, now, it is poised to launch a new $30 billion “FUSED Marketing System” industry, as it has positioned itself for success through strong fundamentals and enterprise growth strategies. It has set itself up to be able to capitalize on the ad-spend between online and offline markets when the two segments combine. 

The research company Global Equities Research has found that the global amount of ad-spend is near $500 billion. From this $500 billion, $100 billion is generally spent on technology, and, out of the latter figure, $30 billion could be spent on FUSED Marketing Systems Cloud Offering. Salesforce.com (News - Alert) has noticed these trends and has started to discreetly build an impressive group of cloud services for its Marketing Cloud offering. These offerings bolster marketing efforts in social media networking sites, such as Twitter (News - Alert) and Facebook.


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Chief marketing officers are in need of an integrated marketing platform to cope with the excessive amount of time people spend on social media sites and consumers’ desire to communicate with brands throughout the social media gambit. 

Salesforce is determined to continue investing in the new fused marketing systems cloud industry and has done so through quietly acquiring such companies as ManyMoon, Radian 6, Rypple, Buddy Media (News - Alert), and Exact Target. The acquisition of Exact Target is expected to increase billing in 2014 from 19 percent to 25 percent.

UBS analyst Brent Thill noted, "Despite experiencing hypergrowth since launching its first product in 2000, CRM's $3 billion-plus subscription rev run rate is still under 20 percent of the overall $17 billion CRM market and only 3 percent of a $124 billion TAM that reaches across CRM and infrastructure.”

The addition of Exact Target (News - Alert) in to CRM’s Marketing Cloud group has already proven valuable with the sales cycles of joint deals. Trip Chowdry, an analyst for Global Equities Research, let his clients know that “Salesforce.com may need to do more acquisitions to build out this new $30 billion ‘Fused Marketing Systems’ industry."