CASE STUDY FACTS:
DIGITECH SYSTEMS RESELLER: Shoreline Records Management
PROBLEM: Needed a comprehensive ECM suite and a strong partnership to help grow their business
SOLUTION:The complete suite of Digitech Systems ECM products
RECOGNIZED BENEFIT:
Vastly improved sales cycles and increased recurring revenue with an emphasis on value for the customer
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In 2000, two imaging hardware and optical storage companies merged to create Shoreline Records Management. For years both Micro Network Systems and Digital Storage Solutions (DSS) had supported their businesses by selling document scanners and relying on complex software sales, but together these two companies needed a new business strategy and more comprehensive document management offerings.
Key Benefits
- 30% of overall revenue now comes from Digitech Systems offerings
- Diversified revenue streams by reducing dependence on hardware sales and increasing recurring revenue by 30%
- Reduced sales cycles by 50% and now close ImageSilo deals in as little as one day
- Secured more customers in the financial and manufacturing industries and expanded into the healthcare market
- Implemented PaperVision® Capture to quickly convert customer paper documents into electronic files
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Since signing on as a Digitech Systems reseller, Shoreline has been able to improve their bottom line by offering superior technology at a competitive price. They now have a trusted partner in Digitech Systems and a clear plan for future success.
Business Goal
Tom Doyle, Founder of DSS, was tired of depending on scanner sales and complex software sales to support his business. "Digital Storage Solutions only concentrated on large scanner sales in niche markets, upgrading scanning hardware and supporting clients," said Doyle. DSS had also been selling ECM software, but with limited success. As a result, 80% of their revenue was generated from hardware sales and 20% from software sales. Doyle was frustrated with their previous ECM reseller relationship and the technology itself. The software manufacturer was sold and acquired twice, which created inconsistencies in their business relationship. Plus, the software technology had limited document search capabilities and didn't provide workflow functionality or integration options. Sales took as long as six months to close, driving Doyle to seek out new ECM products and better reseller opportunities.
When Digital Storage Solutions and Micro Network Systems merged, Doyle knew the time was right to restructure the business and start fresh. With the strength of two combined companies, he needed to diversify offerings and provide more document management solutions that would cater to a wider variety of customer needs. More importantly, Doyle wanted to focus his new business model on outsourced scanning services and a more feature-rich, easy-to-use ECM software solution.
The Digitech Systems Solution
In 2002, Doyle began researching ECM products and reseller partnerships. After seeing a demonstration of PaperVision® Enterprise, Doyle was immediately impressed with the easy-to-use technology and the comprehensive ECM solution. With both software and Software as a Service (SaaS) offerings with ImageSilo®, Doyle's new business could provide more storage options for his customers and have the opportunity to gain more ongoing revenue. Additionally, Digitech Systems showed him seamless integration options as well as workflow technology that could help his customers automatically route documents through standard business procedures.
Doyle also liked the reseller relationship. "The partnership contract didn't dictate how we should run our business, allowing us to retain control," said Doyle. "Our decision to become a reseller was really a relationship and a technology decision. We chose Digitech Systems, because they could help us provide superior, cost competitive products and allow us to improve our profit margins."
Business Value to Shoreline Records Management
As a Digitech Systems reseller, Shoreline found the products and the partnership it needed to execute their new business strategy. Today, Doyle and his team offer much more than scanners and a limited ECM solution. They provide document scanning services and complete SaaS ECM solutions including document management, workflow, records retention and email management. With simple yet sophisticated products at affordable prices, Shoreline has gained a competitive edge in selling situations. In fact, they are winning contracts when up against big-name competitors. "ImageSilo is helping us sustain value at a low price, especially when the customer is focused on affordability and functionality," said Doyle. "The products appeal to the customer, because they understand the value behind the SaaS ECM technology." As a result, Shoreline has been able to diversify revenue streams, increase profit margins, enhance ongoing revenue and change the way money flows into their business.
“PaperVision Enterprise and ImageSilo are central to our success. We are now positioned to have our biggest impact on the healthcare and financial markets. Digitech Systems ECM suite is an integral part of our operations, and we don't feel that way about any other products that we have worked with in the past.”
-Tom Doyle, President |
Profitability is no longer dependent upon scanner and hardware sales. Today, 50% of revenue comes from software sales, and Digitech Systems accounts for 30% of total revenue. The other 50% of revenue comes from scanning services and hardware sales. Additionally, PaperVision Enterprise has reduced sales cycles from six months to just three, and Shoreline has seen sales cycles as short as one day with ImageSilo.
With a new focus, Shoreline has expanded their customer base in the finance and manufacturing industries and branched out into the healthcare market. Financial customers benefit from automated workflow processes, and manufacturing customers gain the ability to unify information systems, enhance collaboration and facilitate faster decision making. Additionally, ImageSilo has enabled them to secure more contracts in the medical field. The integration of ImageSilo with Electronic Medical Records (EMR) systems makes ECM an easy transition and gives doctors and nurses the benefit of securely retrieving patient files via the internet.
"Eight years after signing on with Digitech Systems, Shoreline still enjoys the consistent reseller relationship and great products that always work," said Doyle. Shoreline even standardized their business around Digitech Systems products. They use PaperVision Capture in their service bureau to quickly and accurately convert customer paper records to electronic files. Moreover, Shoreline fosters strong relationships with their customers, because they have a trusted association with Digitech Systems and the exceptional technical and personal support that comes with it.
"There is a high level of involvement and in turn, there is a high level of trust," said Doyle. "Digitech Systems is responsive to us and they involve us in their business. The relationship is not just about our performance numbers. They are interested in knowing what challenges we face, and their sales team helps us be successful."
Conclusion
Digitech Systems continues to help Shoreline Records Management build a strong business with reliable products. Since becoming a Digitech Systems Value-Added Reseller, Shoreline has gained a partner that has not only helped them diversify their offerings, but also to expand their business. According to Doyle, "Digitech Systems' functional solutions helped us grow our business in ways we didn't consider before. We offer a comprehensive solution at a price point the average business can afford. We are still selling these products years later, because they are still solving business needs."
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