Calculating Return-on-Investment for Cloud Services in 2017 is about as effective as programming on punch cards. Our industry moves at such a breakneck pace, cloud services can easily be obsolete before they ever make it to market. The best way to succeed in our space, is to be faster to market than your competition. That requires insight, a bit of courage, and a great cloud management platform.
By focusing on TTM over ROI, you open the door to greater flexibility and responsiveness for your customers. When you are releasing the latest and greatest – even at additional cost to develop faster – the evidence shows you are putting yourself on the path to success. Studies show that a product released six months late will make 33% less profit over five years, which is an extraordinarily long time for a cloud service anyway. Even a product that is 50% over budget but released on time only reduced profit by 4%. (Source: https://www.kbmanage.com/concept/time-to-market)
Being first to market isn’t enough, you have to continuously innovate and add new products to your business portfolio. Using TTM as your primary metric will keep your organization flexible and motivated. You may not always hit the mark, but in the end your speed and agility will make up for any failures. Steve Jobs is famously quoted as saying “real artists ship”, and cloud artists are no exception.
Faster to market doesn’t have to come at a sacrifice to quality or stability, if you have the right tools for the job. AirSembly allows you to expand your reach through channel partners, which means your services will be exposed to more customers faster. With XaaS value-added bundles, you can create unique and diverse service offerings quickly and easily no matter what the combination of automated and manual services. All of your services can be instantly made available for customers to order on-demand in a custom-branded marketplace.
Time to Market is important, but even more important is Time to Revenue. Traditional sales and order fulfillment cycles for cloud services can typically be five business days. AirSembly’s automated provisioning reduces the entire cycle to two days or less. In this scenario, you gain three billing days for every VM ordered. Once a customer confirms an order, the provisioning and billing process is automated, and you can begin billing immediately. The final result is a 60% improvement in your time to revenue.
The fundamentals of the cloud services industry will always be changing, but with a good platform like AirSembly, you can be a company that embraces change rather than braces for it. You need to do more, faster, than ever before. We’d be happy to have a conversation about how we can reduce your time to market and generate new opportunities without increasing operational costs.