M-Files Corporation, the intelligent information management company, announced significant progress with the transition of its global partner network to a subscription and cloud-based business model. A new global partner program, innovative licensing options and new software features streamlined and accelerated the transition to M-Files software-as-a-service (SaaS) solutions for both customers and partners.
In the first quarter of 2019, 83 percent of business that came through M-Files partners in the U.S. was subscription-based. The adoption of subscription-based services was reflected worldwide as well, with an average of 54 percent in Europe and 72 percent in Australia / New Zealand, respectively. As the industry moves rapidly toward subscription and cloud-based models, M-Files is poised for significant growth, and the company’s extensive experience delivering cloud solutions based on the Microsoft Azure infrastructure is paving the way for its partner community to follow suit.
With a subscription-based business, M-Files partners can close business faster, thanks to the ability to flexibly scale a deployment up or down with simple pricing and licensing and a shift from capital to operational expenses, which collectively reduce risk for customers. Since M-Files customers spend less upfront for licensing, they can invest more in professional services delivered by partners, resulting in a solution more tailored to their needs. They also benefit from continuous-improvement of the M-Files solution with automatic, regular updates included with the subscription. Finally, an increasing recurring revenue stream creates more commercial stability for M-Files partners as they work and invest to grow their business.
M-Files broadened its subscription business model with the launch of M-Files Online in August 2018. M-Files Online is the first information management solution to offer “all-in-one” licensing for on-premises, hybrid and cloud use. With its unique approach, M-Files decouples the transition to subscription-based licensing from the transition to the cloud. This means that an M-Files Online customer can use the same license on-premises, in the cloud, or a hybrid mixture of both. This makes all M-Files Online customers instantly “cloud ready,” even if they are not yet ready, or simply don’t want to move to the cloud. They can then begin leveraging the cloud in a phased and targeted manner as they choose.
“Our partners are seeing the same recurring and compounding benefits we are from the subscription-based business model,” said Scott Erickson, senior vice president of worldwide channel sales at M-Files. “Our partners are strategic to us and we’re deeply committed to their success, so it’s exciting to see the high and increasing percentage of subscription-based revenue they’re generating. It shows that our solutions, business model and global partner program are working well for them and for M-Files.”
To learn more about the global partner program, visit: https://www.m-files.com/en/partners.