Marc Benioff and the strategy for AppExchange

Marc Benioff and the strategy for AppExchange

Summary: Find out from Marc Benioff about the do's and don'ts of the on-demand model and where is headed with its AppExchange platform.


Late Friday, I posted the final segment of my Jan 23rd interview with Marc Benioff, founder and CEO Marc Benioff (pictured). Follow the links below to read the interview in full. In it, you'll learn why developed AppExchange and what Benioff believes the platform could achieve. You'll also learn some of the do's and don'ts of the on-demand model, as well as why every company should invest in corporate philanthropy.

  • Customers want integration, customization
    Right from the start, customers demanded integration, so gave them an API. Then they demanded customization, which meant a complete reworking of the architecture. Now they want 'enterprise mashups'.
  • The duality of AppExchange
    AppExchange lets users save their custom applications and mashups to directories where they can share them with others. Although that may pull the company in new directions, the initial motivation is to make the core CRM application better.
  • AppExchange is our second killer app
    AppExchange could reach every employee in a company, whereas CRM will only ever reach a percentage.
  • Making AppExchange work for developers
    AppExchange will evolve in response to how people are using it. There will be OEM versions. Salesforce will add a system for collecting subscription payments.
  • Where ASPs (and Larry Ellison) got it wrong
    Nothing beats listening to customers and making sure they're successful. Getting the software right is crucial, too — it takes a lot of dedicated coding to do on-demand well.
  • Why philanthropy is good for us
    About's corporate philanthropy program, which donates 1% each of equity, profits and staff time to community service projects — and why Benioff flew to Davos to promote it to world business leaders.


Phil Wainewright

About Phil Wainewright

Since 1998, Phil Wainewright has been a thought leader in cloud computing as a blogger, analyst and consultant.

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  • Flash, Crash and turn to Ash....

    Their office may be cool, stock hot and have a real talker for a CEO, but that does not mean the company is a long-term player.

    IMHO, they will flash, crash and turn to ash within the next 3 years. They are in flash mode right now.

    Most people are blind to what SalesForce is really doing (and not doing) because they have their hands up to the eyes shielding the blinding light. But there are few of us that do not see as sustained growth model on their current path. They left the best path when they allowed large companies to dictate when they could install updates and when they believed that they could build a generic ecosystem that can meet all needs at once with no respect for the history of software development (stand-alone or hosted).

    So you better duck, because "crash" is coming....
    Paul C.
    • Crash is here

      Service outtages are NOT something that customers want - but Benioff has conveniently left that out of his statement!
      Roger Ramjet