CASE STUDY FACTS:

DIGITECH SYSTEMS RESELLER: Rocky Mountain Microfilm & Imaging, Inc.

PROBLEM: Needed a document management partner that would help them establish a solid business model and achieve success for years to come

SOLUTION: The complete Digitech Systems ECM product suite

RECOGNIZED BENEFIT:
Developed a strong company that meets diverse business needs while generating recurring revenue streams

In 1997, Roger and Shirley Gudenkauf purchased a service bureau and were eager to get their scanning business started, but their new reseller partnership with a document management software vendor wasn’t meeting expectations. Lengthy technical support processes frustrated customers and slowed company growth. So, the Gudenkaufs set out to find a new partner that would help them establish a solid business foundation and create long-lasting customer relationships that would build success and a future.

Since becoming a Digitech Systems value-added reseller, Rocky Mountain Microfilm & Imaging (RMMI) has expanded from a small service bureau into a resilient Enterprise Content Management (ECM) business that provides superior customer service and generates ongoing revenue streams in the insurance, education, law enforcement and healthcare industries.

Business Goal

During the first year, RMMI was profitable, but it had potential for more. As the Gudenkaufs examined company strengths and weakness, they knew they needed a stronger ECM business opportunity and a partner that provided more reseller services and quality technical support. Plus, they were looking for someone that would allow RMMI to keep selling to customers over time and ensure RMMI longevity in the marketplace. After speaking to six different ECM vendors about their reseller programs, they still weren’t sure they had found “the one.”

The Digitech Systems Solution

While investigating one last company, Roger drove to Lincoln, NE to personally meet with Digitech Systems’ Founder and CTO, Scott Matthews. “I immediately loved what I heard from Scott,” he said. “His knowledge and background showed me that Digitech Systems could help us become experts in our field and give RMMI the resources and the quality products and services we needed to succeed.”

Maintaining trusted customer relationships under their old ECM partner had been a challenge for RMMI, so the Gudenkaufs were impressed with Digitech Systems’ legendary technical support with real people and no waiting. Plus, the software was easy to work with and simple to demonstrate. Furthermore, Digitech Systems’ non-proprietary technology meant it would be a turnkey conversion. RMMI wouldn’t need to convert or prepare their existing customer’s data before transferring them to the new ECM system.

That year, RMMI signed on with Digitech Systems and immediately began selling the document capture solution and the on-premise ECM system, PaperVision^® Enterprise. Two years later, they started offering ImageSilo, the Software as a Service (SaaS) ECM, because they knew its low barriers to entry and outsourced services would be attractive to customers.

Business Value to RMMI

As a reseller, RMMI created a company with a strong and stable business model that builds customer confidence and develops their customer base even in the most challenging economic times. Backed by exceptional products and services, like ImageSilo, RMMI provides a flexible solution that promises security, simple disaster recovery and easy integration with other software applications. After more than 10 years, Digitech Systems’ products are the only products RMMI sells, and they continue to support the business.

ImageSilo requires no capital outlay or IT expertise from customers; therefore, it helps RMMI prove value, demonstrate Return On Investment (ROI) and get customers started today with little money and virtually no risk.

“ImageSilo is a big part of our business and it’s getting bigger. Most companies have too much information to manage, and they are hurting for solutions like this. It’s so easy to use that, most of the time, we can close an ImageSilo deal in one day or at least get a verbal agreement.”

- Jim Garrison, Business Manager

The Gudenkaufs impress potential buyers when they walk away with a file cabinet full of 30-year-old documents and, within a couple of hours, provide any employee with secure, online access to quality images. Then, Roger seals the deal when he shows schools and hospitals that they can usually pay the small monthly service fees with cash on hand—such as vending machine profits.

RMMI is finding success by simplifying ECM for more businesses. Customer growth in rural areas has increased 80%, and in recent years, 90% of new business sales include ImageSilo. “With more business moving toward SaaS ECM, we’re making a strategic change to lead with ImageSilo, which is a totally different sales focus for us,” said Roger.

The sales pitch switch is paying off. RMMI sees profits increase as customers recognize the value of storing and managing more documents on ImageSilo. Their business grew 60% last year, and their recurring revenue stream tripled over the past three years. If the SaaS ECM trend continues for the next five years, Roger expects their ImageSilo revenue to increase more than seven fold, from 6% to 45%, and grow as large as their scanning service revenue, which has been their primary income source.

His aggressive forecast is partly because RMMI is giving away free email management, which helps customers enhance compliance and avoid legal discovery fees by archiving and managing email messages just as they do other critical documents. Since Digitech Systems announced the free offer, RMMI has had a waiting list of at least 30 customers ready to get started. “We can’t implement PaperVision® Message Manager fast enough,” said Garrison. “Customers get the compliance tools they need along with ImageSilo’s expanding storage space, and we build larger customers with bigger recurring revenue streams. It’s a great business model.”

With SaaS and on-premise ECM offerings including email management, records retention and automated document routing, RMMI is serving diverse customer needs and providing the compliance and productivity solutions businesses need today. These options combined with Digitech Systems’ legendary technical support are RMMI’s biggest keys to success. Customer service has greatly improved and clients can add services as needed.

“We have done nothing but grow in the past two years. We are a recession-proof business, because we offer savings and prove ROI for any company we walk into.”

- Roger Gudenkauf, President

Conclusion

RMMI’s lucrative SaaS business model and continued customer demand has created a competitive edge thick enough to protect the company from recent economic woes. Consequently, customers are confident that RMMI will remain a viable enterprise, and the Gudenkaufs can rest assured that their offerings provide the flexibility they need to thrive even as market conditions rise and fall. “It’s a great time to be in this business,” said Roger. “I wish I were younger, because ImageSilo is a huge business opportunity.”   

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