Don’t let the numbers fool you – it’s not too late to move your business into the cloud. While studies have shown more than 90 percent of companies use the cloud at some level, the definition of “some level” is often unclear.
A recent report by RightScale found that nearly 70 percent of enterprises “run less than a fifth of their application portfolio in the cloud.” This means there is great opportunity within businesses to expand their cloud adoption.
There’s no better time than now to make the move. Analysts at IDC forecast that spending on public IT cloud services will exceed $107 billion in 2017, amassing a compound annual growth rate (CAGR) of 23.5 percent, five times that of the industry overall. Additionally, Software-as-a-Service (SaaS) is predicted to capture two-thirds of those revenues.
But before announcing that the company is making the move to the cloud, sit down and reevaluate whether the business (in full or in part) is ready for a move. Premature or hasty executions will hurt the business exponentially, hindering the ability to adopt future systems that help increase the bottom line.
When assessing your business’ readiness, ask yourself the following questions:
Successful cloud-based businesses often find the biggest value in combining unique offers with online services. As the world becomes progressively more digital, offering a variety of online choices increase the likelihood of a purchase. What parts of your business can be repackaged or resold to make money in the cloud? Can you take your most popular products or services and make them cloud-friendly to create new revenue opportunities?
Security is the top concern in cloud computing. Cloud adoption requires stringent privacy policies to ensure personal data is stored securely, whether email addresses, billing preferences, or health information. Each industry has security compliances and certifications dedicated to safeguarding private information, from HIPAA to PCI-DSS. Cloud readiness requires that security standards be met. Does your business have the processes in place to ensure the privacy and security of customer information?
Doing business in the cloud allows enterprises to capitalize on recurring revenue by creating new revenue opportunities and streams rather than focusing on one-time sales transactions. It provides your business with customer information and data that allows you to easily analyze and identify the moments where you can reach out and touch a customer with options for subscriptions, up- and cross-sells, bundling, etc. Can your business support a recurring revenue model?
Moving your business to the cloud requires an agile billing system. Rapidly changing consumer buying preferences demand that enterprises either keep up with current trends or lose business to competitors with more agility. Your billing system must be must be able to quickly adapt to the repackaging of products/services, implementation of security measures, and adoption of a recurring revenue model without a complete rebuild each time. Is your billing system ready to live in the cloud?
The benefits of moving your business to the cloud are abundant – increased efficiency, flexibility, lower costs, increased collaboration, and much more. But you wouldn’t move your entire family into an unfinished home would you? Take the time to assess your business’ readiness before making the move to the cloud to ensure your ready to reap all the benefits.