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Press and Analyst Tour. Steve Waters Vice President of Worldwide Marketing. February 1999. Agenda. FirePond At A Glance. Market Position. Interactive Selling and Electronic Commerce. FirePond News. FirePond Customer Applications. FirePond At A Glance. Market Position.
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Press and Analyst Tour Steve Waters Vice President of Worldwide Marketing February 1999
Agenda FirePond At A Glance Market Position Interactive Selling and Electronic Commerce FirePond News FirePond Customer Applications
FirePond At A Glance Market Position Interactive Selling and Electronic Commerce FirePond News FirePond Customer Applications
FirePond At-A-Glance Revolutionize the sale and marketing of complex products and services in the digital age. Vision Mission Deliver breakthrough competitive advantage through enterprise commerce systems unprecedented in functionality, integration and ease of use.
FirePond At-A-Glance • Founded in 1983 • 360 Employees • Executive offices in Boston • 12 office locations worldwide • Over $100 Billion in sales revenue processed every year through FirePond systems • Over 20,000 dealerships worldwide use FirePond systems • 200,000 users in production
Vertical Markets & Clients • Transportation • High-Tech / Telecom • Manufacturing • Health Care and Services
Graham Williams SVP Europe/Asia Paul Lavallee EVP Americas Sales Ilya Gorelik SVP Product Strategy and Development Lee Ginsburg SVP Organizational Growth Klaus Besier CEO Steve Waters VP Marketing Scott Schwartzman VP Professional Services “Keep and eye on Mr. Besier and his team as the new millennium dawns” AMR Research, November, 1998 Executive Team Jerry Johnson Founder and Chairman Paul McDermott CFO
FirePond At-A-Glance Market Position Interactive Selling and Electronic Commerce FirePond News FirePond Customer Applications
TES • CRM • OMS • Customer Care • Sales Force Automation • TERM • Guided Selling • Interactive Selling ? State of the Market • A volatile mix of Front Office vendors clamoring to get their messages heard Front Office Software Market* $42.7B Billions $15.7B 1998 2002 * Source: IDC, January 1999
Focus on call tracking, forecasting, and opportunity management • SFA = “Sales Force Administration” Prospecting Service Sales • Linked directly to revenue generation • Enhance all of your customer interactions • Provide a compelling and personalized BUYING experience • Post-sales interactions • Includes help desk, customer service, warranty, and fulfillment operations • Only manages existing customers C U S T O M E R A Customer’s Perspective Customer
Prospecting Service Sales C U S T O M E R Front Office Application Families SFA/OMS Sales Administration Sales Force Automation Opportunity Management System Marketing Campaign Management Customer Customer Care Interactive Selling Customer Service Help Desk Order Fulfillment Warranty Services Account Management Interactive Catalogs Sales Configuration Marketing Encyclopedia Price and Quotation Personalized Content
Prospecting Service Sales C U S T O M E R Front Office - Key Players SIEBEL SYSTEMS SALES LOGIX PIVOTAL BAAN/AURUM Customer FIREPOND CALICO BAAN/AURUM TRILOGY NICHE PLAYERS VANTIVE CLARIFY SIEBEL/SCOPUS REMEDY
Front Office Application Value “Enterprise contact management.” GartnerGroup, October 1998 “CRM projects have a disturbingly high (55%-75%) failure rate” Yankee Group, October 1998 “About 80 percent of sales automation projects fail to deliver ROI” Giga Group, January 1999 SFA/OMS Customer Care “The single highest ROI investment a company can make in sales technology”GartnerGroup, October 1998 Interactive Selling
“FirePond will be the only ISS leader through the year 2000” December 1998 Interactive Selling Systems Leadership
Why are we leaders in ISS? • Complete selling functionality • Heavy investment in UI excellence and usability • Deep understanding of customer buying processes • Comprehensive sales and marketing functionality productized from best practices developed over 15 years experience
FirePond At-A-Glance Market Position Interactive Selling and Electronic Commerce FirePond News FirePond Customer Applications
Death of a Salesman In ten years, 90% of all sales people will be replaced by electronic sales assistants
“Customer Relationship Management” Client/Server “Interactive Selling” Internet “E-Commerce” C U S T O M E R Interactive Selling and Electronic Commerce Prospecting Customer Service Sales
How do customers BUY on the Internet? Internet Payment Fulfillment Customer Service ERP and Legacy Systems C U S T O M E R S Interactive Selling and Electronic Commerce “ Electronic Commerce” Commerce Transaction Server
Payment Fulfillment Customer Service C U S T O M E R S Interactive Selling IS Electronic Commerce Complete Buying Functionality Commerce Transaction Server ERP and Legacy Systems
Interactive Selling IS Electronic Commerce - Examples - Interactive Selling Electronic Commerce Customer Profiling Customer Information Parametric Search Product Recommendations Sales Configuration Configuration Solvers and Fuzzy Logic Multimedia Presentation Intelligent Design and Navigation Marketing Encyclopedia Interactive Product Catalog Pricing and Promotions Tax, Duties, Shipping Pricing and Quotation On-line Credit Check POs and Payment Terms Financing Proposal Generator Dynamic Personalized Content Shopping Cart Order Forms Order Management
C U S T O M E R S One Software System For All The Ways You Sell • Breakthrough electronic commerce solutions will combine best of breed buying functionality with real time back-end integration Complete Buying/Selling Functionality Commerce Transaction Server Customer Care ERP and Legacy Systems Data Warehousing Supply Chain Systems Customer Care ERP and Legacy Systems Data Warehousing Supply Chain Systems Interactive Selling Electronic Commerce
Electronic Commerce Traditional Channels The Salesman is Not Quite Dead Yet! • FirePond allows companies to maximize revenue driven through their traditional sales models while effectively transitioning to the emerging paradigm of e-commerce % of Revenue Time
Revenue The Salesman is Not Quite Dead Yet! • FirePond allows companies to maximize revenue driven through their traditional sales models while effectively transitioning to the emerging paradigm of e-commerce Electronic Commerce Traditional Channels % of Revenue Time
Customer Deployment Focus - 1998 Deal Flow - - 1999 Deal Flow - 80% % of Deals % of Deals 50% 85% 70% 30% 15% C/S First Web First Commitment to Both C/S First Web First Commitment to Both
Electronic Commerce Leadership "FirePond's long-standing leadership in interactive selling has uniquely positioned its intuitive applications at the forefront of electronic commerce" Peter Firestone, Partner Ernst & Young Electronic Commerce Practice
Electronic Commerce Leadership “As more business-to-business applications move to the Internet, we see FirePond as well positioned to handle many of the front-end applications” November 1998
Electronic Commerce Leadership “Companies such as FirePond, who recently deployed GM's Web application that allows customers to configure a car on-line, are also likely to have a strong impact on the development of e-commerce solutions in the automotive industry” October 1998
FirePond At-A-Glance Interactive Selling and Electronic Commerce FirePond News FirePond Customer Applications
Recent FirePond News • Successful implementations • GM Web - US in 100 days, Canada in 45 days • Subaru of America - Phase 1 live 1/99 • Cummins Power Generation Integration to Oracle Manufacturing 1/99 • KLA-Tencor - Signed 12/98, Phase 1 live 1/99 • Strong new account momentum (deployment date) • Blue Cross and Blue Shield of Minnesota (3/99) • Bell Atlantic Data Solutions Group (5/99) • Renault VI Internet System (5/99) • ADP Internet System (4/99)
Recent FirePond News • New executive team members • Ilya Gorelik, SVP of Product Strategy and Development • Scott Schwartzman, VP of Professional Services • Lee Ginsburg, SVP for Organizational Growth • Paul McDermott, CFO • Dan Evans, VP Health Care and Insurance Business Unit • Aggressive investment in international expansion and creative design • New international managing directors • 60 overseas employees • Over 30 creative design resources focused on interactive agency services
Recent FirePond News • Established Health Care and Insurance Business Unit based on the success of Blue Cross Blue Shield • Strong Implementation partners • Over 70 trained resources worldwide • Strategic Ernst & Young manufacturing and health care initiatives • Established integrator relationships worldwide • Americas: Ernst & Young, IBM, Intelligroup • Europe: CAP Gemini, Debis Systemhaus • Asia: LG Hitachi
FirePond At-A-Glance Interactive Selling and Electronic Commerce FirePond News FirePond Customer Applications
Blue Cross of Minnesota • Tie agents, delivery channels and end customers closer together through an integrated selling platform • Increase the speed and accuracy of customer quotes and proposals • Deliver branding consistency across all sales channels to minimize the perception of health plans as commodities • Simplify complex plan information to help overcome consumer confusions around managed care options • Become easiest company for agents and their customers to work with
Blue Cross Demo “With Signature Plus ensuring real-time access to information and unsurpassed personalization to each client’s specific health care needs, our agents see Blue Cross as the plan of choice for their clients.” Richard Neuner, Chief Sales & Marketing Officer Blue Cross and Blue Shield of Minnesota
Renault Truck Web • Achieved 100% field usage for dealer-based system • Reduced the time necessary to generate a complete proposal with product, configuration, and pricing information by 90%. • Eliminated order errors generated at the point of sale • Leveraged sophisticated FirePond dealer system for web deployment in 90 days for a small group of their largest business customers (B2B Extranet) • Includes compelling visual spec’ing and use recommendations engine.
Renault Truck Web Demo “Signature Plus will position Renault VI as a visionary in the trucking industry in the areas on-line selling and business to business electronic commerce.” Bruno Chazalette, Marketing Manager Renault VI
ADP Web • Web-based payroll solution recommendation engine • Buyer needs analysis • Cost breakdowns • Allows users to select services beyond payroll • Customers can print out branded proposal • Direct web sales to small to medium sized businesses • Transforming direct selling model to powerful self-service buying application on the web
ADP Web Demo “With the Signature Plus system providing clients with the specific information they need to make buying decisions, we’re able to reach new levels of client service as well as expedite the sales process.” Bud Angelus, President ADP
General Motors Web • Leverage the value of existing functionality and data (PROSPEC dealers system) • Implement a highly differentiated web selling solution for all brands in 100 days, 45 days in Canada (French and English) • Capture customer behavior data for use in data mining and product planning activities
FirePond Target Markets - The FirePond Sweet Spot - High • Consumer Products • Retailers • Telecom • Electronics • Food • Banking • Technology • Energy • Insurance • Manufacturing • Financial Services Volume • Automotive & Trucking • Utilities • Chemicals • Health Care • Professional Services • Travel • Media • Mining & Metals • Defense Low High Product Complexity
FirePond Customer Fit - High-Level Criteria - Attribute Description Company Size • >$500M in Revenues Industries • Transportation, Manufacturing, High Tech, Telecom, Health Care, Financial Services Channels • E-Channel, Large Direct Sales, Partners, Kiosk Selling Products • Complex with multiple variables and dependencies; Customized services Key Values • Exceed customer expectations • Exploit new channels • One-to-one marketing and promotions • Sales Channels are a strategic asset • Value high ROI of selling tools • Understand sales admin Vs. sales effectiveness • Support sales channels, not burden them • Strong, consistent POWER branding
Web Sales Partners Kiosk DATA MODEL SUPPLY LEGACY ERP DATA SYSTEMS Signature Plus Sales and Marketing Framework PRESENTATION LAYER BUSINESS OBJECTS E- BRIDGE INTEGRATION DATA CAPTURE TOOLKIT BACK OFFICE INVESTMENTS DATA WAREHOUSE
Presentation Customer Information Configuration Electronic Catalog and Marketing Encyclopedia Pricing and Quotation Order Fulfillment System Order Finance Proposal Business Objects and Workflow Customer Database