Work

Salesforce thinks the future of work is hybrid — and wants it to happen over Slack

Friday, August 27, 2021 by Robinhood Snacks | Disclosures

Slack was added to #Salesforce… and it’s blowing up the channel. Software giant Salesforce raised its yearly earnings forecast on unexpectedly strong sales, and the stock popped 4% yesterday. Contributing to the growth:

  • Slack: Salesforce bought the office chat app, which has 10M+ daily users, for a whopping $27.7B last quarter.
  • #s: Slack is expected to generate just 4% of Salesforce’s revenue this year — but its sales last quarter grew faster than all of Salesforce’s major divisions.

Counting heart reactions… Slack is central to Salesforce's strategy, because the future of work is trending hybrid. Nine in 10 companies plan to combine remote and in-office work, but only a third feel prepared. Salesforce believes all businesses will need more remote capabilities. Salesforce believes its Slack-quisition will power:

  • Digital HQs: Salesforce integrated Slack with its existing service, marketing, and analytics software to help businesses keep track of customers and close deals all in one digital HQ.
  • Hybrid work: NBD if your vendors and clients are fully remote. Slack Connect, launched during the pandemic, allows cross-company collaboration. Usage boomed last quarter, as workers sent crucial docs and emojis to external partners.
THE TAKEAWAY

Making remote feel close is key… Whichever company pulls it off could win the workplace software wars. Salesforce is betting big on Slack, while other biz software companies are launching remote-first tools: Microsoft, whose Teams workplace comms platform has 250M monthly users, launched an employee experience platform to give remote teams an “integrated experience,” and Dropbox revamped its virtual workplace to serve remote clients.