Cloud and Subscription Business booms in Europe
First Six Months of 2018 Were a Success for Matrix42
Matrix42 is striving to become a market leader in Europe. International revenue, as well as cloud and subscription business, showed positive growth in the first six months of 2018. The company excels with integrated solutions in unified endpoint management, service management, software asset management, as well as in the endpoint security sector. What’s more, it is pleased to report an impressive contract renewal rate of more than 99 percent.
Matrix42 successfully continued its growth strategy for the first six months of 2018. The company is delighted with its success in international sales in particular. Oliver Bendig, CEO at Matrix42, states, “Never before in the history of our company have we generated so much revenue outside of the German-speaking countries. International revenue was 160 percent greater than our original target. This goes to show that our internationalization strategy is working. Our goal is to become the market leader for workspace management in Europe. We want to continue to pursue this, which is why we will be expanding our operations to other countries over the next few months.” Matrix42 launched its business operations in Italy and Poland in the first half of the year. Further expansion into eastern Europe is on the cards for the second half of 2018. The company has also been successful on the German-speaking market. The Alps region, made up of Switzerland and Austria, grew by 28 percent compared to the previous year.
Workspace management continues to migrate to the cloud
The cloud and subscription business in particular has shown outstanding development across all markets. Revenue in this sector increased fivefold in comparison to the first six months of 2017. “Providing our customers with these kind of subscription models at an early stage has really paid off. We want to also expand our cloud sales in a targeted way in the future, without losing our roots in on-premise sales in doing so,” says Bendig.
Integrated services becoming increasingly popular
The growing trend towards integrated solutions in the wake of digitalization has also had a noticeably positive impact at Matrix42. 62 percent of revenues in the first six months came from integrated service management and unified endpoint management solutions. Consulting sales are growing at Matrix42 due to a high level of demand for service management solutions. Its consulting revenue increased by 21 percent in the first half of the year.
High level of demand for automated endpoint security
Matrix42 has also been able to report development in the endpoint security sector, which grew by 58 percent compared to the previous year. IT service management and endpoint security are becoming more closely interlinked, because automated digital attacks require a highly automated digital defense system. That’s why integrated solutions are also in demand among companies in the security sector. Matrix42 can offer an expanded solution portfolio that provides all-round security for PCs, laptops, smartphones, tablets, and IoT devices thanks to its new acquisition, EgoSecure, its partner, SyncDoc, and its strategic alliance with enSilo. Bendig adds: “We will continue to focus intensively on further integrating endpoint security solutions in our portfolio and work on our entire sales pipeline.
99 new customers in the first six months and a 99.2 percent contract renewal rate
This top quality software provider acquired 99 new customers in the first six months of 2018, including renowned companies such as Kelvion Holding GmbH and DWK in Germany, the Canton of Basel-Stadt in Switzerland, Fastweb in Italy, and Würth in Austria. The company boasts a contract renewal rate of 99.2 percent, which means that it will be able to rely on satisfied and loyal customers over the next six months. More and more of its customers are coming from the industrial sector, where demand for client automation and service management is very high due to a new wave of digitalization, as well as from the public sector.
Partner revenue is increasing: also by the help of growing cloud and subscription business
The company’s partners acquired a significant proportion of customers, and successfully attended to the needs of existing customers. This channel yielded 61 percent of the total revenue. Matrix42 is coming ever closer to reaching its objective of generating 80 percent of its sales with its partners by 2020. Current partners include Concad AG and ujima in Germany, Trans4mation in Germany, and Fastweb and Dedalus in Italy.
5,000 customers, six million workspaces managed, 350 employees
Matrix42 now attends to the needs of over 5,000 customers in total, and manages over six million workspaces across the world, having acquired the security specialists EgoSecure in June. There are currently approximately 350 employees working at the company.