Box is an organization that’s viewed as a storage product by analysts, the media and investors; however, CEO Aaron Levie and his staff have reportedly always seen a much greater reach for their platform.
According to a TechCrunch article, Levie has always had plans to morph the enterprise content management (ECM) category beyond storage. And that seems to be working for him, as revenue is on the rise. Box’s revenue ballooned from $90.2 million in the first quarter of this year to $117.2 million in the most recent quarter, TechCrunch reported, which is being attributed to the vendor’s new products, including their cloud content management offering.
“We delivered year-over-year revenue growth of 30%, grew billings 31% and generated positive free cash flow. These results demonstrate the significant need for cloud content management in all industries and the inherent leverage in our business model,” Levie said during a recent earnings call at the end of May.
He went on to confirm that the growth has allowed the company’s reach to expand.
“We introduced significant new capabilities to drive continued adoption of our Box KeySafe, Zones, Governance and Platform products. Our product innovation and new products are key competitive differentiators and significant growth drivers for Box,” Levie said on the call.
Levie also stated that clients purchased at least one of the company’s new products in 60 percent of the deals valued over $100,000.
Levie also pushed the idea of Box taking the place of traditional enterprise content management tools from providers like IBM, Microsoft and OpenText. He also stressed the importance of partnerships with those organizations, especially IBM.
“Our new products are also opening up opportunities for Box to replace legacy enterprise content management systems. We are seeing increasing momentum from customers looking to move to Box and retire the legacy content management solutions over time,” Levie said.
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