Large customer base
In the last fiscal year, Box (BOX) focused on transforming its customer business with cloud content management. Box reported sales of $608 million in fiscal 2019. The company closed 2019 with a customer base of 92,000. Box has created an ecosystem of strategic partners that include tech giants like Microsoft (MSFT), Google (GOOGL), and IBM (IBM).
Box’s major customers include State Street, Intuit (INTU), MGM Studios, and Red Robin. In the last reported quarter, Box closed 94 deals with a value over $100,000—compared to 79 deals in the same quarter the previous year, 12 deals over $500,000, and two deals over $1 million.
Although Box underperformed with respect to the number of seven-figure deals, it gained momentum in the segment with deals over $100,000. Box’s management stated that million-dollar deals are more complex enterprise deals that take longer to close.
Improvements in the sales process
Box wants to focus on unified global execution across its sales segments. The company has been improving its sales training and key processes. In the last six months of fiscal 2019, the company hired or promoted new sales leaders especially in key growth regions across Europe and North America.
Box remains optimistic about opportunities in the cloud content management segment. The company aims to build an industry-defining cloud content management platform that will drive digital business processes for enterprises. Box also wants to accelerate digital transformation for enterprises with cloud content management and go-to-market efforts.
Box stated that the enterprise content management and storage infrastructure markets provide a $40 billion opportunity. During the company’s last earnings call, Box’s CEO, Aaron Levie, said, “Box is the only cloud-native platform built to power the next generation of workloads as they rapidly move from on-prem to the cloud. Entering FY20, we have the most exciting product roadmap in our company’s history focused entirely on enabling our customers to power their digital business processes and to retire legacy content management systems.”