View webinar recording: http://wso2.com/library/webinars/2017/05/turning-a-software-product-company-into-a-cloud-company/ Are you a product company wondering what it would take to move to the new cloud and as-a-service model? Over the last few years WSO2 has been going through that transition and in this webinar we will share our experience and answer the following questions: Why bother? What makes as-a-service model attractive? What makes the model different for engineering, sales, pre-sales, support, finance, and business reporting teams? What is some practical advice on starting the cloud business within a software company and what lessons have we learned?

1. Turning a Software Product Company
Into a Cloud Company
Dmitry Sotnikov
VP, Cloud
May 23, 2017

2. 5x in 4 years:
SaaS in enterprise grew
from 13% adoption in
2011 to 74% in 2015
2
Source: North Bridge Venture Partners &Gigaom Research

3. 18% CAGR:
The worldwide public
cloud services market is
projected to grow 18
percent in 2017 to total
$246.8 billion
3
Source: Gartner

4. Customer Benefits
• Low cost of entry
• Fast time to benefit
• Pay as you go
• Outsourced operations:
uptime, upgrades, security
• Integration and Scalability
• Work anywhere
• Social benefits 4

5. Vendor Benefits
• New market segments
• Faster feedback
• Less shelfware
• Recurring revenue
5

6. R&D
• Waterfall vs cloud
• No “works on my
computer”
• Testing impact
• Upgrade impact
• Troubleshooting, access,
logs
6

7. Operations
• Whole new team
• Related to internal IS &
PS
• Ops vs Dev
• Role of processes &
automation
• 24x7
• Post-mortems, shifts,
7

8. Transparency
• SLA
• Credits
• Uptime dashboard
• Communications
8

9. Security
9
• Compliance
• Audits
• Documented processes
• Encryption

10. Sales
• Impact on current sales
• Cannibalization
• Customer confusion
• Self-service
10

11. Pricing
• Freemium, trial,
commercial
• Customer terms
• Predictability
• Tiers vs counters
11

12. Pre-Sales / Services
• Self-service or not
• Nurturing
• Geography
• Tickets vs project
12

13. Support
• 24x7
• Engineers or external
• Integrated into product
13

14. Finance
• Bookings vs
• Revenue
• MRR
• ARPU
• Churn rate
• LTV
• CAC
14

15. Culture & Impact
• Incremental vs big bang
15

16. Q&A

17. THANK YOU
wso2.com