Firms in France Seek to Squeeze More Value From Salesforce

Enterprises in France, seeking better returns on investment, are turning to service providers that can manage their Salesforce platforms more efficiently, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2024 ISG Provider Lens Salesforce Ecosystem Partners report for France finds that the Salesforce market in France has undergone a period of rationalization as companies in France seek to optimize IT costs and maintain software platforms more efficiently. High inflation, increased interest rates and sluggish economic performance have forced customers to reduce costs and reconsider their investments in IT projects.

“Providers can help enterprise clients in France get more out of their Salesforce investments in a variety of ways,” said Lyonel Roüast, president of ISG SEMEA, based in Paris. “They can manage applications, licenses and upgrades, offer user support and develop business applications integrated with other platforms.”

In response to the economic challenges that a large part of Europe faced in 2023, enterprises in France became more selective and conscious about their operating costs and capital expenditures, the ISG report says. They placed additional emphasis on extracting more value from recent projects, measuring ROI and improving processes and automation, the report says.

Many enterprises in France have opted for license and subscription rationalization as part of an overall cost optimization strategy and have focused on revising their large and often complex sets of Salesforce licenses and subscriptions, the ISG report says. Some organizations, particularly the larger ones, typically buy packages of licenses and may have redundant costs due to the overlapping functionalities of some platforms, the report says.

Leading providers recognized this growing need and have enhanced their offerings by providing license management, seeking synergies and economies of scale, and specializing in multicloud architectures with some overlapping functionalities, ISG says.

“Many companies in France have reached the point of rationalization for their Salesforce projects,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “By embracing this period of adjustment, they can position themselves for greater resiliency and adaptability in the continuously evolving market landscape.”