AEs - are ...

Question

AEs - are deals drying up?  Teams beating enterprise and Slack beating SMB? where is Zoom still finding success?

Current Employee · Accepted Answer

I wouldn't say "drying up" or that Slack is beating SMB at all really. MSFT is certainly posing a threat within every segment from a meetings standpoint (for now) while the market is in a rut. Most customers who have cancelled the Zoom account have certainly kept a couple licenses. To be honest though, most of our deals revolve around telephony, contact center and the platform as a whole. Meetings/Phone are bundled into a cheaper subscription and Zoom is dominating in the telephony space, specifically within the legal, finance and services industries. Our channel sees the value of Zoom Phone and we recently restructured the channel compensation to pay out on professional services implementation. Things look better this year than last year that's for sure.

Former Employee · Answer

yes, deals have been dry for a long time, at least for the large enterprise.   Companies largely made their choice, and the switching costs to moving people to a new platform are high, and there is not as much value in moving, IMHO.   MSFT steamrolled the market with EA renewals and Teams, while inferior to Zoom, is good enough.   Additionally, the Office integrations make it too compelling.

Former Employee · Answer

Zoom is competing well in upmarket but it’s definitely tougher post pandemic.  Teams was a problem in my patch. It’s all about their new products - phone, contact center , ZoomEvents, ZIQ and leading with the platform (ZoomOne). They did change comp plans for worse and increase quotas this year. Crowded like most spaces in tech. Some of the reps that have been there a while have had a great (and easy) run. There’s still growth to be had but the good ole days are over.

Current Employee · Answer

SMB is a cakewalk, depending on your vertical. The comp plan changed this year, but still easy to pull 160-200K in SMB. In SMB, I almost always run into Teams and people are ready to make the switch. Rarely do I see Slack.

Current Employee · Answer

Yes, definitely slowing down. Zoom’s layoffs and restructuring in Feb of this year has slowed down a lot of internal processes making it harder to sell.

Essentially, all larger deals to get to quota are focused on Zoom Phone, Contact Center and Zoom IQ for Sales.

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Anonymous Q&A

AEs - are deals drying up? Teams beating enterprise and Slack beating SMB? where is Zoom still finding success?