Appirio

Training is critical for adoption and renewal, yet most traditional application training approaches are too slow, too expensive and not aligned with a subscription model.

VMG has ‘cracked the code’ in designing and delivering customer learning solutions perfectly aligned with the business models of SaaS and cloud computing companies and the unique training needs of their customers.

Mike Epner, Head of Delivery, Appirio

Extending the Cloud Model to Provide Nimble, Scalable, and Profitable Customer Training and Adoption Enablement

The Challenge: Offer highly effective and scalable training aligned with the SaaS paradigm

Appirio offers both products and professional services that help enterprises accelerate their adoption of cloud applications and platforms. With more than 5000 customers, Appirio has a proven track record of implementing, building and managing mission-critical solutions using salesforce.com, Google and Amazon, and developing innovative products that connect and extend cloud platforms. As a rapidly growing company, Appirio knew they needed to offer highly-effective and highly scalable education services that met the same high standards as their other professional service offerings. Yet they realized traditional software training models didn’t mesh with their existing business model nor did they address the needs of the quick-moving SaaS market and implementation cycle.

The two key challenges they faced were:

1. How to design, deliver, and maintain effective training aligned with continuously evolving SaaS applications
2. How to structure the business and operational model to ensure that training could scale to keep pace with their growth, while still performing as a line of business rather than a cost of business

The Solution: Partner with a knowledgeable training provider to maximize reach, agility, and profitability

VMG partnered with Appirio to scale their training offerings without building out a large training services division that would be tangential to Appirio’s core business focus. VMG started by building out an initial proof point around a key Appirio product offering, and expanded from there to provide enterprise learning services for three key areas of their business: enterprise education services for CRM clients, customer and user training for Google Apps implementations, and administrator and end-user training for Appirio’s PS Enterprise application.

VMG was first engaged to solve an immediate need for rapid content development and training in support of Appirio’s new PS Enterprise application, a next generation Professional Services Automation (PSA) solution designed for the needs of the world’s most sophisticated professional services firms. With approximately six weeks to launch, VMG conducted an initial discovery and strategy session that resulted in two parallel paths to set PS Enterprise training up for success.

Developing customer training to support the rapidly changing world of SaaS applications by:

• Quickly identifying critical audiences in need of training
• Determining what each audience needed to be effective
• Designing the training for ease of maintenance and minimal rework with each new release
• Developing a blended offering consisting of pre-work, discovery-based and scenario-driven instructor-led training, and a set of short, discrete, task-focused “how to” demos that could be accessed and used both during class and on the job

Defining a training business model aligned with SaaS by:

• Designing a subscription-based sales model providing training at an incremental cost to product subscriptions and resulting in a ratable, annuity based revenue stream
• Defining a tiered subscription offering to meet differing client needs
• Structuring a partnership agreement based on shared risk and rewards

Pleased with VMG’s expertise, responsiveness, and execution in solving the PS Enterprise training challenges, Appirio engaged VMG to provide training services for Appirio’s other lines of business.

The Results: Comprehensive training services that drive customer satisfaction, adoption and subscription renewals

By partnering with VMG to provide training, Appirio can offer nimble, world-class training to customers that is successful, cost effective and completely aligned with the SaaS ethos and business model:

• Only pay for what you use: working with a trusted third-party to provide training services converts sunk costs to variable costs
• Capitalize on economies of scale: access deep and specialized training expertise beyond what could be supported through an internal bench
• Ensure elasticity: quickly scale training services capacity up or down as needed
• Provide flexible and loosely coupled products and services: pick and choose the components you need; in the case of training this can include program and course development, customization, delivery, hosting, administration, and operations
• Divest of undifferentiated “heavy lifting”: eliminate effort and distractions for tangential operations and redirect that time and effort to your core focus

Most importantly, Appirio is able to provide their customers with highly effective, professional, and up to date training when they need it.