MilestoneIt is five years since Zoho first launched Zoho One, the operating system for business that includes 45 of the integrated, and single platform applications within its portfolio. It only had 37 when first launched in 2017. Zoho One is now used across more than 150 countries by 50,000 organisations. Growth is also increasing as firms see the value of a solution that costs only $37 (£30) pupm (there are caveats with this) but contains a vast range of applications including AI, Analytics and solutions for sales, finance, operations, marketing and HR.

The growth is also accelerating with 150% growth in the last two years alone. The solution is also sticky moving up market, as larger organisations look to leverage one of the most cost effective solutions on the market. 37.5% of customers come from the mid-market.

Sridhar Iyengar, Managing Director for Zoho Europe commented, “Zoho One has evolved from an ambitious idea to an all-in-one solution aimed at SMBs to now an extendable platform that can replace or integrate with enterprise systems. Nearly half of Zoho One customers use 20 or more apps across product categories, reporting higher returns with increased usage. It’s a heart warming proof of concept for Zoho One, demonstrating that businesses of all kinds are scaling their operations by increasing adoption, without losing insight into their data, creating silos, or slowing growth. We are continuing to refine and expand the platform, setting a pace for the rest of the industry.”

Customers are growing in size as well not just new users, but existing users that have leveraged the platform to grow their business. Lynn Martin, Head of Finance & IT Systems Process at Blue Beyond Consulting commented,

“Our workforce has grown over 20x and revenue has quadrupled since moving to Zoho One from Microsoft 365. The platform has enabled us to scale rapidly by optimizing and automating routine yet time-consuming tasks such as processing timecards or reviewing invoices, freeing up hours in the day to focus on growth. Those hours have translated into a more efficient and effective sales process, improved by the deep insight gained from Zoho One’s powerful business intelligence tools.”

Complete business solution

Zoho One is a complete business solution and includes solutions for:

Zoho One is also built on a single platform that is extensible and has a whole host of add on applications developed by Zoho and third party organisations, as well as integrations to a host of other popular applications. The company controls its own hosting with ten data centres currently worldwide. While there are data centres in Europe, they are not located in every country, for example, there is none in the UK or Germany yet. It is conscious of data privacy and has some impressive commitments such as its data privacy pledge.

Who is buying it?

Sridhar Iyengar, head of Europe and UK, Zoho (Image Credit: LinkedIn)
Sridhar Iyengar, head of Europe and UK, Zoho

Enterprise Times also asked some questions of Zoho to get better clarity around who is purchasing the business platform. Sridhar Iyengar, Managing Director of Europe responded.

Of the 50K, how many in India, APAC, MEA, US, Europe?

“We don’t break down users by geography for any products. We can say that the US has the biggest market share and UK/Europe the second biggest market share.”

Where is the biggest growth in terms of geography and industry?

“We see the biggest growth in US, Canada, India, UK and Australia. However, Zoho One also sees good traction in Germany, UAE, France, Spain and Mexico.

“We see the biggest growth in the following sectors: IT Services, Professional Services – Non-IT, Real Estate and Construction, Financial services and Retail.”

Iyengar also listed virtually ever other industry sector where they have customers, it was an impressively long list.

What is on the roadmap for ZohoOne?

“Over time, the boundaries between our applications will disappear even more. The layers of the technology stack will condense too. Businesses will see more pertinent modules or spaces and contextual information will be prevalent across the board. Our customers will witness the emergence of a more unified Operating System for Business.”

Enterprise Times: What does this mean

As a private company, Zoho shares little information around revenues and detailed figures around its growth or geographic and industry penetration. However, the number of customers is impressive. One cannot help wondering though whether more investment in marketing would have seen even faster growth.

Keith Dawson, Research Director at Ventana Research, commented, In the last five years we’ve seen some dramatic changes in the way businesses operate, and the technology they rely on. Organizations need applications that work seamlessly together on a common platform, and that are simple to use. Zoho One has been in the forefront of the movement to unify departments and processes, making it easier to create more satisfying and complex customer experiences.”

As economic turmoil such as rising inflation starts to hit businesses, there are two considerations. How long will Zoho be able to keep the price where it is, and how many organisations will realise that the value of Zoho is that it combines many of the solutions that they pay multiple vendors for. How much is your business paying for eSignature, Project Management, Mail, Social Media marketing etc. While each individual solution may not be at the top of every analyst list, when combined, there are clear benefits from adopting the Zoho platform approach. As recession looms, the Zoho One suite may be worth another look.

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