Digital transformation fueled Salesforce’s record quarter
Marketing cloud, commerce solutions grew 33% in first quarter of its fiscal year 2020 while service cloud surpassed $1 billion for the first time.
The global adoption of digital technologies is transforming how consumers and businesses operate interact drastically. While CXOs continue to embrace — and implement — the concept of digital transformation, technology vendors like global CRM Salesforce continue to dominate the marketplace. Earlier this week, Salesforce announced a record $3.74 million in revenue in its first quarter of its fiscal year 2020, an increase of 24% year-over-year.
The marketing cloud and commerce solutions alone saw 33% growth. Its service cloud surpassed $1 billion in revenue for the quarter for the first time.
“Our strong revenue growth in the quarter reflects the strength of our business and the tremendous demand we’re seeing from customers worldwide,” said Keith Block, co-CEO of Salesforce in prepared remarks. “Companies of every size and industry are undergoing a digital transformation to better serve their customers and they are choosing Salesforce as their partner.”
Why we should care
As leaders shift organizational objectives toward digital transformation, the influx of new workplace technologies comes as no surprise to digital marketing teams. Most of us had to adapt to the ever-evolving martech landscape quickly — and before the rest of our organizations.
Salesforce’s growth this past quarter demonstrates that organizations are, in fact, adapting and embracing the necessary changes. And with CMOs reportedly investing roughly 30 percent of their budgets in martech, it’s clear that the transformation is here. Consumers expecting better customer experiences will continue to drive digital teams to adopt new technologies, increasing our reliance on vendors like Salesforce.
More on Salesforce
- At last week’s TrailheaDX 2019 Conference, the company revealed Salesforce Blockchain, a low-code blockchain solution that will be natively available to Salesforce users.
- Salesforce recently launched its new Datorama marketplace, for brands and agencies to develop customer applications with a focus on marketing intelligence.