💳 Zuora is a leading business that comes to mind when you think about Subscriptions Business Model. They offer cloud-based SaaS to enable companies in various industries to launch, manage, and transform into a subscription business, set payment terms, manage billing, invoicing, etc.
Zuora had $396M in revenue in FY ‘23, serving clients like Guardian, Ford, Fidelity, etc.
🛠️ One of their key ways how Zuora scales revenue is with Systems Integrators (SI) partners.
These Systems Integrators help the company to:
Source new opportunities & accelerate deals
Develop joint product solutions
Provide robust product delivery
Bring deep industry expertise
Support transformation of professional services organization
📈 Zuora started scaling partnerships with System Integrators in ~ 2020, with the goal to accelerate growth
By the end of 2021:
Partners supported 80% of their deals
More partner primed deals in the last quarter of ‘21 than in the entire previous year combined.
They grew from 0 (zero) Certified Partner Consultants in 2020 to 100+ in 2021
💡 Note on the graph how over time partners can help to drive revenue, without Zuora needing to scale its own Global Services (GS) team.
Check how they differentiate between partner-sources and partner-influenced revenue. Notably both grew in tandem.
Launching partnerships takes time and effort, but they become very powerful when they scale.
Source: company IR. N.B. Example from ‘21.