Salesforce, Inc.

Salesforce's mission is to be the world's #1 CRM (Customer Relationship Management) company, focusing on empowering businesses to connect with their customers, partners, and employees in innovative ways. They prioritize customer success, innovation, and social responsibility, guided by core values such as trust, customer obsession, innovation, and equality.

Salesforce operates in cloud-based CRM solutions, providing a wide range of products and services, including sales, marketing, service, analytics, and more. Their key revenue drivers are Salesforce Cloud, Service Cloud, Sales Cloud, Marketing Cloud, and Salesforce Platform.

In the CRM market, Salesforce faces competition from companies like Microsoft, Oracle, and SAP. They also invest in sustainability efforts, pledging to reach net-zero greenhouse gas emissions and investing in renewable energy. Salesforce has a strong leadership team and continues to expand its global footprint through acquisitions and partnerships to maintain its position as a CRM market leader and drive innovation.

The Idea

Salesforce.com was founded by Marc Benioff in 1999. The idea for the company came about when Benioff, a former Oracle executive, recognized the potential of cloud computing and the need for a more customer-centric approach to business software.

In 1999, Benioff left his job at Oracle and started to explore opportunities in cloud-based customer relationship management (CRM) software. He believed that businesses could benefit from a CRM system that was accessible over the internet and didn't require the complex and costly infrastructure of traditional CRM solutions.

Benioff and his co-founders made a list of potential software solutions, and cloud-based CRM was at the top. They saw the opportunity to revolutionize how businesses manage their customer relationships by making CRM more accessible and user-friendly.

After establishing the company, Benioff and his team developed the software for Salesforce.com. The name "Salesforce" was chosen to reflect the focus on sales and customer relationships.

Salesforce.com was officially launched in February 2000 as a cloud-based CRM platform. In the beginning, it primarily offered CRM solutions, but Benioff had a broader vision for Salesforce to become a leading cloud-based business software provider.

Today, Salesforce.com offers a wide range of cloud-based solutions beyond CRM, including sales automation, marketing automation, service management, and more. The company's innovative approach to cloud computing has also expanded into artificial intelligence, analytics, and a platform for developing custom applications, making it a major player in the cloud technology industry.

Mission Statement

Salesforce.com ‘s mission statement is:

We harness technologies that can revolutionize companies, careers, and, hopefully, our world. Salesforce is built on a set of five core values: Trust, Customer Success, Innovation, Sustainability, and Equality.

This statement reflects Salesforce's commitment to leveraging technology to drive positive change in organizations, careers, and the world, guided by their core values.

Segments

Sales

Salesforce's Sales offering empowers sales teams to streamline and automate their entire sales process, from leads to billing. This comprehensive solution enables sales teams to sell more efficiently, leveraging data storage, lead tracking, opportunity forecasting, analytics, and streamlined quoting and invoicing. It supports flexible working arrangements, aligning with digital-first customer expectations.

Service

Salesforce's Service offering facilitates personalized customer service and support at scale. It connects service agents with customers through various channels and includes AI-powered chatbots for issue resolution. Additionally, it offers a field service solution for scheduling and managing jobs in real-time, enhancing customer support efficiency.

Platform and Other

The Platform offering allows businesses of all sizes to build custom apps efficiently, enhancing customer engagement and enabling digital transformation. It provides security, compliance, and automation features, with integrated services like AI and real-time data processing. Salesforce's acquisition of Slack strengthens collaboration and workflow integration within the Customer 360 platform.

Marketing and Commerce

The Marketing offering enables one-to-one customer marketing journeys across multiple channels, promoting real-time personalization and integrated analytics. Commerce unifies the shopping experience across various touchpoints, driving customer engagement and loyalty. Click-to-code tools offer flexibility in adapting to changing customer needs.

Data

Salesforce's Analytics offering, including Tableau, empowers users to gain insights from their data, utilizing AI models, trend spotting, and timely recommendations. The Integration offering, powered by MuleSoft, facilitates data connectivity across systems, increasing agility and enabling connected experiences. The Customer Data Cloud, powered by Genie, offers a hyperscale real-time data platform for highly personalized experiences across sales, service, marketing, and commerce.

Industry Verticals

Salesforce provides industry-specific service offerings, tailored to the needs of sectors like financial services, healthcare, manufacturing, and more. These offerings include out-of-the-box capabilities to accelerate time-to-value and adapt to evolving customer demands.

Salesforce Easy

Designed for small and medium-sized businesses, Salesforce Easy offers a purpose-built Customer 360 solution. It simplifies purchase processes, provides out-of-the-box features, and enhances productivity for smaller organizations.

Revenue breakdown by segment

Salesforce, a global leader in Customer Relationship Management (CRM) solutions, has witnessed significant revenue growth across various segments from 2018 to 2022. The company's diversified revenue streams are a result of strategic initiatives and acquisitions aimed at expanding its product and service offerings. This analysis breaks down Salesforce's segmented revenue and explores the strategies employed to develop these segments.

Segmented Revenue Breakdown:

• Sales: Salesforce's sales segment consistently grew from $4.04 billion in 2018 to $6.83 billion in 2022. This segment primarily represents revenue generated from its core CRM sales solutions.
• Service: The service segment also demonstrated robust growth, increasing from $3.62 billion in 2018 to $7.37 billion in 2022. This revenue category encompasses Salesforce's customer service and support offerings, indicating strong demand for enhancing customer experiences.
• Platform and Other: Salesforce's platform and other services revenue grew from $2.85 billion in 2018 to $5.97 billion in 2022. This segment includes platform-related services and other miscellaneous offerings.
• Marketing and Commerce: The marketing and commerce segment expanded from $1.89 billion in 2018 to $4.52 billion in 2022. This growth reflects Salesforce's efforts to provide comprehensive marketing and e-commerce solutions to businesses.
• Data: Although not reported in 2018 and 2019, Salesforce's data segment contributed $4.34 billion in revenue in 2022. This category includes data-related services and solutions, showcasing the increasing importance of data analytics in CRM.
• Professional Services and Other: Salesforce's professional services and other category grew steadily from $869 million in 2018 to $2.33 billion in 2022. This segment encompasses consulting, implementation, and other services that complement Salesforce's product offerings.

Key Strategies:

• Salesforce has implemented several strategies to develop and bolster its segmented revenue:
• Acquisitions: Salesforce strategically acquired companies that complement its existing portfolio. Notable acquisitions include Tableau (2019) and Slack (2020), which expanded its data and collaboration capabilities.
• Product Diversification: The company continuously diversified its product offerings to cater to various business needs. For instance, its marketing and e-commerce solutions evolved to meet the growing demand for digital marketing and online sales platforms.
• Customer-Centric Approach: Salesforce prioritizes enhancing customer experiences, evident in the significant growth of its service segment. This customer-centric focus includes improving customer support and engagement.
• Data Analytics: The introduction of the data segment highlights Salesforce's emphasis on leveraging data analytics for business insights and decision-making, a crucial component in today's CRM landscape.
• Professional Services: Salesforce expanded its professional services offerings, providing customers with consulting and implementation support, thus enhancing the overall value proposition.

Salesforce's impressive revenue growth across segmented categories from 2018 to 2022 underscores its commitment to innovation and diversification. Through strategic acquisitions, product diversification, a customer-centric approach, data analytics, and professional services, Salesforce has solidified its position as a leading CRM provider and continually adapts to meet evolving market demands. This multi-faceted approach has enabled Salesforce to thrive and maintain its leadership in the CRM industry.

Leadership

Marc Benioff is the Chair, CEO, and Co-Founder of Salesforce, a global leader in CRM software. Under his leadership, Salesforce has become a Fortune 150 company with 75,000 employees and is recognized for innovation and equality. Benioff has received numerous accolades for his leadership, including being named "Innovator of the Decade" by Forbes and one of the "World’s 25 Greatest Leaders" by Fortune. He is also known for his philanthropy, creating the 1-1-1 model of philanthropy on day one of Salesforce to improve communities worldwide. Benioff and his wife have donated extensively to healthcare, education, and environmental causes. He is the owner of TIME and author of "Trailblazer: The Power of Business as the Greatest Platform for Change."

Parker Harris, Co-Founder and CTO of Salesforce, oversees the company's technology vision and has been instrumental in driving its technology strategy, including initiatives like Hyperforce and Lightning Experience. He's passionate about cloud computing's role in digital transformation. Before Salesforce, he co-founded Left Coast Software and worked in sales force automation. Harris holds a B.A. in English literature from Middlebury College.

Amy Weaver serves as President and CFO at Salesforce, leading the global finance organization. Before this, she was Chief Legal Officer, overseeing legal and corporate affairs at Salesforce. Her background includes legal roles at Expedia Group Inc., Cravath, Swaine & Moore, and Perkins Coie, along with work in legislative aid and clerking. She serves on several boards and holds a JD from Harvard Law School.

Ariel Kelman is the President and Chief Marketing Officer at Salesforce, responsible for global marketing efforts. He has a background in economics with a Bachelor of Arts from the University of California, Berkeley. Ariel has previously worked at Salesforce and served as CMO at Oracle and AWS before rejoining Salesforce in 2023.

Brian Millham serves as President and COO at Salesforce, overseeing various key functions including sales, customer success, marketing, and more. He has been with Salesforce for over 23 years and has played a significant role in the company's growth and development. Brian's background includes experience at Oracle and Remedy Corporation, and he holds a Bachelor of Arts from the University of California, Berkeley. He also serves on the board of Newsela, an education technology company.

David Schmaier serves as the President and Chief Product Officer at Salesforce, leading the company's global product strategy and vision. He brings over three decades of experience in enterprise software and CRM. David was previously the CEO of Salesforce Industries, and before that, he co-founded and led Vlocity. He holds a B.A. in mechanical engineering from Rensselaer Polytechnic Institute and an MBA from Harvard Business School.

Juan Perez is EVP and CIO at Salesforce, responsible for the global IT team and advising customers on digital transformations. Previously CIO at UPS, he's been recognized for his leadership in technology adoption and received awards like the Forbes CIO Innovation Award. Juan holds degrees in industrial and systems engineering.

Kendall Collins is the Chief Business Officer and Chief of Staff to Marc Benioff at Salesforce. He oversees strategic initiatives and customer relationships for the Office of the Chair and CEO, as well as the global communications team. Kendall has held various executive roles at Salesforce and other companies, driving innovation and marketing strategies. He holds a B.S. in commerce and has extensive experience in the tech industry.

Miguel Milano is the President and Chief Revenue Officer at Salesforce, responsible for global sales and distribution. He has a successful track record in international sales, previously led sales organizations at Salesforce, and held leadership positions at companies like Oracle, McKinsey, and Telefonica. Miguel has engineering degrees and an MBA from MIT's Sloan School of Management.

Nathalie Scardino is Salesforce's interim Chief People Officer, responsible for the global people strategy, employee engagement, and business value. She has over a decade of experience at Salesforce, including roles in recruiting, onboarding, and employee learning. Nathalie has a background in sales and executive search, focusing on technology and digital transformation. She serves on the board of San Francisco Youth Theatre and holds a B.A. from Goldsmiths, University of London. She resides in San Francisco with her family.

Sabastian Niles serves as Salesforce's President and Chief Legal Officer, responsible for global legal and government affairs. With a background as a partner at Wachtell, Lipton, Rosen & Katz, he has extensive experience in corporate transformations, governance, mergers, and sustainability. Sabastian is affiliated with various organizations, including the Aspen Institute, and holds a law degree from Harvard Law School, as well as degrees in finance, economics, and decision and information sciences from the University of Maryland.

Sarah Franklin, President & Chair of the Advisory Board at Salesforce, has over 15 years of experience within the company. She previously served as Chief Marketing Officer and has been dedicated to empowering individuals in technology careers. She played a significant role in launching Trailhead, Salesforce's online learning platform. Sarah has received recognition on Forbes' Most Influential CMO list and holds degrees in chemical engineering and biochemistry from Virginia Polytechnic Institute and State University.

Srini Tallapragada, President and Chief Engineering Officer of Salesforce, oversees a global engineering team responsible for developing and securing the Salesforce Customer 360 and Hyperforce. With over a decade at Salesforce, Srini has driven product and platform innovations. Prior to joining Salesforce in 2012, he held roles at Oracle and SAP. Srini holds a PGDM from XLRI and a BTech in Computer Science from NIT, India. He also serves as an independent director on the board of Avalara.

Suzanne DiBianca, EVP & Chief Impact Officer at Salesforce, has been with the company for over 20 years. She co-founded the Salesforce Foundation and leads Salesforce’s stakeholder capitalism strategy, focusing on ESG efforts, climate action, and the Salesforce Ventures Impact Fund. Suzanne pioneered the 1-1-1 model of corporate philanthropy and is involved in various UN and World Economic Forum councils, as well as serving on multiple advisory boards. She is a graduate of the University of Colorado at Boulder.

Ownership structure

The provided data offers a glimpse into the ownership structure of Salesforce, a prominent company in the Customer Relationship Management (CRM) market. The ownership structure of Salesforce reflects a substantial presence of institutional investors and mutual funds, which is typical for a large, publicly traded company in the technology sector. Salesforce's appeal to institutional investors may be attributed to its position as a leading CRM software provider and its role in the broader technology industry.

Notably, Vanguard and Blackrock, both giants in the investment management industry, hold significant stakes in Salesforce. This suggests a high level of confidence in the company's growth potential and long-term prospects.

The presence of various mutual funds, particularly those tracking major stock indices like the S&P 500, indicates that Salesforce is a component of many diversified investment portfolios. This inclusion underscores Salesforce's prominence within the technology sector and its influence on broader market performance.

Overall, Salesforce's ownership structure reflects a diverse mix of institutional and retail investors, showcasing the company's appeal to a broad range of stakeholders. It's worth noting that while institutions dominate the ownership landscape, individual investors and mutual funds also play pivotal roles in shaping the company's shareholder base.

Top Institutional Holders
Holder	Shares	% Out	Value
Vanguard Group Inc	83,198,887	9%	17,041,628,176
Blackrock Inc.	70,630,954	7%	14,467,338,437
State Street Corporation	45,653,307	5%	9,351,166,956
FMR, LLC	37,874,759	4%	7,757,886,955
Morgan Stanley	19,558,959	2%	4,006,261,607
Capital World Investors	19,242,436	2%	3,941,428,201
Geode Capital Management, LLC	17,786,511	2%	3,643,211,080
Price (T.Rowe) Associates Inc	15,170,292	2%	3,107,330,938
Fisher Asset Management, LLC	13,891,780	1%	2,845,453,322
JP Morgan Chase & Company	13,554,204	1%	2,776,307,630
Top Mutual Fund Holders
Holder	Shares	% Out	Value
Vanguard Total Stock Market Index Fund	28,880,013	3%	5,915,493,115
Vanguard 500 Index Fund	23,117,205	2%	4,735,097,142
Fidelity 500 Index Fund	10,962,558	1%	2,245,460,775
SPDR S&P 500 ETF Trust	10,826,623	1%	2,217,617,208
iShares Core S&P 500 ETF	8,925,138	1%	1,828,136,032
Vanguard Growth Index Fund	8,018,533	1%	1,642,436,129
Vanguard Institutional Index Fund-Institutional Index Fund	7,007,631	1%	1,435,373,070
Growth Fund Of America Inc	6,435,673	1%	1,318,218,912
SPDR Dow Jones Industrial Average ETF	5,596,404	1%	1,146,311,441
Fundamental Investors Inc	5,275,163	1%	1,080,511,646