Terrasoft: Our strategy — creation of intellectual processes for marketing, sales and service

Katerina Kostereva: No help — neither venture investments, nor the credits, nor councils of skilled entrepreneurs — existed. We developed only at the expense of the resources — organic growth. For all years we reinvested profit in R&D and marketing.

TAdviser: There is an opinion that piracy has negative effect on business of producers of finished software products. Did you face such problem at the initial stages of business?

Katerina Kostereva: So far as concerns system implementation on which basic processes of business depend, that piracy — very dangerous step. If the piracy version glitches, then also business will stop — risks are too high. Besides, a considerable part of our sales happens according to the SaaS model now, through a cloud where piracy is impossible in principle.

TAdviser: do you use data centers for providing access to the products through a cloud?

Katerina Kostereva: Most of our clients in Russia works in the cloud located in data center Rostelecom. Clients in other countries work with a cloud on Amazon.com. Both DPCs ensure complete data security of our clients and access to applications on the bpm'online platform 24х7 of any place in the world.

TAdviser: May you sound what now a ratio of the customers selecting the version of on-site and the cloud version?

Katerina Kostereva: It depends on the client's type. Banks prefer to place a system on own equipment though even in this industry there are exceptions. Small business, on the contrary, honor all in a cloud. In general statistics is as follows: small business – 90% in a cloud, medium business — 50/50, large — up to 20% of customers work through a cloud, all others — so far on-site. In the CIS also more and more clients pass into a cloud that cannot but please.

TAdviser: As far as did sales volume last year owing to crisis and what share is occupied by the domestic market in a total turnover decrease? Where your key markets are located?

Katerina Kostereva: Terrasoft annually showed high growth rates in all markets during the whole years of the existence, even in the conditions of economic instability. More than a half of sales is still the share of the CIS countries. Thanks to the fact that our business is geographically diversified we can successfully work as at the market of the CIS, and abroad. Among our clients there are small firms, representatives of medium business and also the company of the enterprise level. For example, last year in the USA we signed the contract with the largest producer of the electrotechnical equipment Schneider Electric. Our product is used for process automation of sales of this company through a partner network in 28 countries of the world.

Besides we already have a successful experience at the time of recession of economic activity. In 2008-2009 sales to our company did not decrease, and we did not dismiss any person. We are going to adhere to the same strategy and this time.

TAdviser: Who performs implementation of your products: partners or command of Terrasoft?

'Katerina Kostereva: Generally partners are engaged in product introduction and we implement only the largest projects independently. But recently even on implementations in the large companies we try to attract certified partners, providing vendor insurance from our party.

TAdviser: What cut of sales at you on products?

Katerina Kostereva: The product bpm'online sales — still the leader. Automation of sales is priority No. 1 for most the companies so far. The second place is taken by bpm'online service — products for contact centers and professional customer services. Bpm'online marketing gives smaller sales volumes so far because the market of automation of marketing is at a maturing stage. Today our task – first of all, to train clients, to tell about what results such product allows to achieve. I think that in a couple of years bpm’online marketing will approach the same sales volumes which the product sales gives today.

TAdviser: In what uniqueness of your products, than do they differ from competitors?

Katerina Kostereva: We give to clients the unique value which is noted by the international analysts and clients — reference business processes for sales, marketing, service in the different industries and models of business. Ready processes contain the best world experience in bpm’online and give the chance of fast start of work with a system. For example, process of corporate sales in bpm’online CRM automates all stages of a funnel of sales, beginning from the analysis of potential of sale and needs of the client, and finishing with negotiations and contract signature.

TAdviser: Share what advanced developments you are going to release in the nearest future?

Katerina Kostereva: Everything, as for Business Intelligence is perspective. Now processes are automated, but the human factor all the same has considerable influence: for example, now the head himself defines on what process sales managers work. Our strategy for the next year – creation of intellectual processes when a system itself, being based on data retrieveds, defines the correct branches of processes and step by step conducts users on stages to a specific purpose.

TAdviser: What turnover cycle of your products?

Katerina Kostereva: Quarterly we release updates for all product line. At the same time in a cloud products are updated automatically. And those who use the solution in on-site receive a service pack and decide when to them to update a system.