The Bigtincan Holdings Ltd (ASX: BTH) share price is up 15% to 53 cents this morning after the software-as-a-service (SaaS) business announced upgraded revenue guidance and a new sales partnership.
For fiscal 2019 Bigtincan previously guided for revenue growth between 35%-40%, however, it now sees revenue growth above 40% thanks to new customer wins and up-selling to existing customers.
Bigtincan also announced it has partnered with U.S. tech giant Adobe to integrate its software into its platform and Bigtincan is now partnered with both Adobe and Salesforce as the two undisputed kings of the online CRM (customer relationship management) platforms.
Salesforce in particular has delivered knockout growth over the past decade thanks to its adoption of a cloud (online only) sales platform that it offers on a subscription basis to enterprise clients of all sizes.
A CRM platform allows a business to track customer interactions, sales, disputes, etc, and hopefully improve sales and efficiencies.
In other words when you talk to a call centre or order something online from a business the order with all your details on is often recorded on a clever CRM platform like that offered by Salesforce.
Bigtincan also offers a sales enablement (CRM) platform of sorts that is being rapidly adopted.
It also boasts all the attractive economics of SaaS businesses (recurring revenues, growing LTVs, ARPUs, etc) and a decent balance sheet, although for the six months ending December 31 2018 it posted a loss of $1.95 million.
As such it looks worth further investigation as it could be a potential buy for small-cap enthusiasts, while more conservative investors would prefer the market dominance and growth of something like NYSE-listed Salesforce.
