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CUSTOMERS.COM® RESEARCH FROM THE PATRICIA SEYBOLD GROUP

Salesforce.com: KM-Based Customer Service in Service Cloud 2
Salesforce.com’s First Release of Capabilities to Support KM-Based Customer Service
By Mitchell I. Kramer, Sr. VP and Sr. Consultant, December 23, 2009

NETTING IT OUT

Support for KM-based customer service in Salesforce.com applications is provided by capabilities in Service Cloud 2, Customer Portal, and Salesforce Knowledge. These are new capabilities that were delivered with the Winter ’10 release of Salesforce.com’s products in November 2009.

Like all Salesforce.com products, Service Cloud, Customer Portal, and Salesforce Knowledge are offered through subscription licenses for hosted multi-tenant deployment on the firm’s cloud computing platform. To date, more than 8,000 customers have licensed Service Cloud, and one million user licenses have been purchased for Customer Portal. Salesforce Knowledge is brand new. We estimate its customer base to be currently fewer than 50.

On the Customers.com Report Card for KM-based Customer Service, Salesforce.com’s KM-based customer service capabilities earned “exceeds requirements” grades for UI content management, environments, and company viability. They need improvement in knowledge management, search, and analytic functionality.

We recommend that you begin to consider Salesforce.com’s KM-based customer service capabilities to address your requirements for knowledge management-based customer service. With expected improvements in upcoming releases, they will have everything you need to help you deliver excellent customer service.


CUSTOMER SERVICE TO ANSWER QUESTIONS AND RESOLVE PROBLEMS

This report presents our evaluation of Salesforce.com’s knowledge management (KM)-based customer service capabilities against our evaluation framework for KM-based customer service. The evaluated capabilities combine the KM features and assisted-service UI of Service Cloud 2 with the UIs of Customer Portal and Sites and the knowledge management capabilities of the very recently introduced Salesforce Knowledge.

KM-based customer service products help customers get answers to their questions about your organization, your policies, and your products and services as well as to diagnose, isolate, and resolve problems with those products and services. These products are considered knowledge management products because they combine content management and search technologies to build customer service applications that create the “knowledge” that answers your customers’ questions.


Creating Custom Fields in Article Types

iUSask iPhone Applications

© 2009 salesforce.com, inc.

Illustration. In this Illustration, we show the workspace for creating custom fields in Article Types.


SERVICE CLOUD 2

Product Overview

The Winter ’10 release of Salesforce.com’s products is the current release of the knowledge management-based customer service capabilities of Service Cloud 2, including Customer Portal and Salesforce Knowledge. It’s also the first release of Salesforce Knowledge. This release was announced on September 9, 2009 and delivered on November 9, 2009. The facilities and tools that support KM-based customer service include:

• Creating and managing knowledgebases

• Authoring, editing, and managing the knowledge items contained in those knowledgebases

• Creating (or reusing) and managing Web UIs to let customers and agents find and access knowledge across a range of customer service channels, including public Web sites

• Enabling customers and partners to create and track cases when they can’t find knowledge items that answer their questions or solve their problems

Search facilities are provided through an included search engine that has been developed and maintained by Salesforce.com. Customers and agents use search to help them find the knowledge that contains the answers and solutions that they seek. Navigation facilities are part of the technology of Salesforce Knowledge.

Acquiring, purchasing, and deploying the KM-based customer service capabilities offered by Salesforce.com requires your licensing of either the Enterprise or Unlimited editions of Service Cloud 2 and licensing the separately packaged and separately priced Salesforce Knowledge. Licensing the separately packaged and priced Customer Portal is also required for the UI that customers login to for self-service.

Salesforce.com offers subscription licenses and hosted multi-tenant deployment for all of its products. (Note that what we’ve been calling hosted-multi-tenant deployment, Salesforce.com calls cloud computing-based multi-tenant. Salesforce.com’s term provides a more accurate description. We’ll use it from now on.) Licenses for the Enterprise Edition or Unlimited Editions of Service Cloud are offered for a flat monthly fee. Licensees for Salesforce Knowledge and Customer Portal are offered on a per-user per-month basis.

Salesforce.com claims that 8,000 of its customers have deployed Service Cloud. Also, the firm claims that more than one million users have Customer Portal licenses. However, because Salesforce Knowledge has been available only since November 9, 2009, customers are just beginning to deploy KM-based customer service applications. We’d estimate that number to be fewer than 50 as we publish this report.


Product Background

The backgrounds of the products that comprise the KM-based customer service capabilities follow these lines.

• Service Cloud has its origins as Supportforce in September 2004. Supportforce was rebranded Salesforce CRM Service in October 2006. Salesforce CRM Service was rebranded Salesforce Service & Support in September 2005. Finally, Salesforce CRM Service was rebranded Service Cloud in January 2009. Service Cloud 2 was announced in September 2009 and delivered in November 2009 with the Winter ’10 release of salesforce.com’s products.

• Customer Portal was introduced in April 2007 as the self-service UI for users with logins.

• Salesforce Knowledge is based on technology developed by InStranet, a Paris, France-based supplier that Salesforce.com acquired in August 2008. This KM technology had been the foundation of InStranet’s Contact Centers OnLine (CCIL) offering.

Service Cloud’s lineage is in case management. Basic KM capabilities were added with the Solutions knowledgebase in 2001. Service Cloud was a rebranding and the announcement of plans for the integration of customer service with the social Web through the support of Twitter, Google, and Facebook as customer service interaction channels and through the support of communities like Facebook as a knowledge source (“crowd-sourced knowledge”). Service Cloud 2 delivers Salesforce for Twitter and support for Salesforce Knowledge. Salesforce for Twitter supports Twitter as a customer service interaction channel. Salesforce Knowledge, as we mentioned just above, provides KM improved capabilities and a superior alternative to Solutions, the basic KM capabilities delivered with the Service Cloud. Support for communities, including Facebook, are planned for inclusion in a future release, likely within the next several months.

The Salesforce Knowledge knowledgebase and its mechanisms for classifying and navigating knowledge items use the InStranet technology. Knowledge authoring, editing, and administrative tools; agent, customer, and end-user UIs; search; and analytic functionality use (existing) Salesforce.com technologies, technologies that support all of Salesforce.com’s products and applications. So Salesforce Knowledge has the look and feel of Salesforce.com, not of InStranet CCIL. For KM-based customer service, this initial release of Salesforce Knowledge is not as functionally rich as the final release of InStranet CCIL. However, we expect significant functional improvements pretty soon in planned future releases.


Company Background

Salesforce.com is a publicly held (NYSE:CRM) supplier founded in 1999 and based in San Francisco, CA. The firm calls itself the “enterprise cloud computing company.” It was a pioneer and has become a leader in cloud computing and in delivering, licensing, and supporting cloud computing-based multi-tenant deployments of its CRM applications and of customer applications built by its customers and partners of its Force.com cloud computing platform. Salesforce automation was the firm’s first application. Case management capabilities came next, and the company’s first branded customer service solution, Salesforce Service & Support, in 2004.

We’re not kidding when we say leader. Salesforce.com claims that it currently has 67,900 customers, ranging from very small businesses to the largest enterprises. Its cloud computing-based multi-tenant deployment environment can support both ends of the spectrum and everything in the middle equally well.

Salesforce.com offers per-user per-month subscription licenses for its applications and its platform. With such a large and continuously growing customer base, the firm has done an excellent job providing highly available, highly scalable computing facilities for customer and partner deployments. The firm operates three data centers, providing real time data mirroring across them and supporting failover between any of them.


FRAMEWORK FOR EVALUATING KNOWLEDGE MANAGEMENT-BASED CUSTOMER SERVICE PRODUCTS

Our framework for evaluating knowledge management-based customer service products and services has these nine top-level evaluation criteria and sets of sub-criteria for each top-level criterion.

• Knowledge management

• UI/Web content management

• Search

• Escalation

• Analytic functionality

• Environments

• Product viability

• Company viability

In the next sections of this report, we’ll briefly describe these criteria and their sub-criteria in a little more detail. Then we’ll present our evaluation of the KM-based customer service capabilities of Salesforce.com Service Cloud against them followed by our analysis. Finally, we’ll summarize our evaluations and analyses in the Customers.com Report Card for knowledge management-based customer service.


Release 1 KM-based Customer Service

Before we get to the details of this report, we would like to qualify our evaluation. The KM-based customer service capabilities of Salesforce Knowledge are very new. They’re a release 1 level of offering initially positioned for the SMB market. In fact, we began our research on a pre-release version. Not surprisingly, then, we found the capabilities to be limited, especially so in knowledge management, search, and analytic functionality. While these limitations influenced our evaluation and should influence your selection decision, we believe that Salesforce.com is already addressing them in future releases as its target market broadens to the enterprise—so much so that we plan to update this evaluation in the timeframe of the Summer ’10 release.


This report continues...

Mitchell Kramer


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