2.5 million jobs and $272 billion GDP impact by 2018 - bold claims from Salesforce (with a clear sense of timing)

Profile picture for user slauchlan By Stuart Lauchlan October 28, 2015
Summary:
Two-and-a-half million jobs and $272 billion of GDP impact on local economies - all stemming from Salesforce and its ecosystem by 2018, according to IDC.

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It’s been a time coming, but that Salesforce Economy report that’s been flirtatiously teasing us since May, when company President Keith Block first dropped a few stats into his Cloud World Tour keynote in London, has finally been published.

And how very nicely timed, as the last day of the Oracle OpenWorld conference in San Francisco gets underway. A happy co-incidence, no doubt.

Actually there’s been the bare minimum of cross-company snarking this year, with only a few jibes from the Oracle camp and a bullish tweet or two from Salesforce CEO Marc Benioff, such as:

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But this one was more interesting, shooting across the Oracle bows and CEO Larry Ellison's boasts that Oracle will overtake Salesforce in the cloud market:

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That second tweet is the more aligned with this report, compiled by IDC, which sets out to deliver a message: Salesforce is now a grown-up enterprise company with a clout across its ecosysytem that extends beyond the cloud computing sector and into the wider macro-economic environment.

The main points:

  • One million jobs created worldwide by 2018 that are enabled directly via the Salesforce ecosystem.
  • A further 1.5 million jobs created indirectly, via, for example, supply and distribution chains related to the Salesforce ecosystem.
  • By the end of 2018, Salesforce customers will pump $272 billion in GDP impact to local economies (from a base of 2014).
  • The United States will reap more than 50% of the global financial gain from the Salesforce customer set, followed by the UK and Japan.
  • 60% of the jobs will be created in emerging markets where labor costs are low.

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Tyler Prince, EVP of WW Channels & Alliances at Salesforce, comments:

Partners benefit from every dollar of Salesforce sold, as organizations supplement their Salesforce subscriptions with professional services from consulting partners (like Accenture, Bluewolf and Deloitte) and applications to extend core functionality built by ISVs (like Apttus, FinancialForce.com and SteelBrick) on the Salesforce App Cloud. Many companies chose multiple types of add-on products and services from Salesforce partners. (Only 7% said they had none, according to IDC).

Eric Berridge, CEO of one of those cited partners, BlueWolf, adds:

Client success in today’s marketplace requires a new breed of GSI - a partner inherently aligned to driving customer engagement, with deep technical competencies - but also highly developed digital services across a diverse set of customer channels.

My take

Message received and understood.

Disclosure - at time of writing, FinancialForce, Oracle and Salesforce are premier partners of diginomica.