Boss: SuccessFactors will make SAP big as Microsoft Office
by Joseph N. DiStefano, Posted: December 5, 2011
SAP AG's $3.4 billion purchase of California-based SuccessFactors will double the number of SAP product users, to 1 billion, second only to Microsoft Office, given the wide distribution of Success Factor personnel-tracking software applications to "CEOs, janitors, everyone," claims co-CEO Bill McDermott. German-based SAP has its US headquarters in Newtown Square.
Success Factors sales total $100 million a quarter, "growing at 50 percent" (annualized), according to McDermott, a onetime Xerox salesman who has focused on reviving SAP's worldwide salesforce. Isn't that still only a modest volume, for a 10-year-old "high-growth" company? "It's early days," he told me. "This market is uninitiated...
"I know how fast we can scale it (through) the SAP sales force," McDermott added. "We will continue to make sure Success Factors gets the necessary funding to get the brand higher. We intend to be the Number One brand cloud software." So SAP plans to hire lots more salespeople, in the US and abroad: "You'll see very high growth rates in the US and Europe."