It's been a productive time at Phocas during the 2016/2017 financial year
Right now, the business is continuing to grow with the addition of important processes and systems, in line with our commitment to creating happy customers and happy people at Phocas.
- Strong group revenue and profit growth with net earnings up 80% on prior year
- Impressive performance in key BI analyst reports – 1st place in 16 categories in BARC report
- Continued significant growth in partner relationships
- Launch of Phocas Employee Share Option scheme
The financial year again saw strong organic growth across all trading divisions with the US seeing the strongest growth of 14%. Increased profitability across the group was even more impressive with a rise of 80% on prior year figures. This was achieved by a combination of increased sales, strong customer retention, increased efficiencies in operating costs, and the streamlining of our cloud platform.
People and culture
The 2016/2017 year involved us making great strides in the area of people and culture, reflecting our growth from a small to medium size business. Working in-tune with our strategy to attract, retain and develop high quality staff and following a full people and culture review, we have implemented new systems for HR control, training, development and recruitment and have firmly established the people and culture function as a line of business within the group structure.
Phocas Employee Share Option Scheme
Phocas has always prided itself on being an inclusive organization with a desire for all members of the business to share in the company success. To that end we are very pleased to have been able to launch our Employee Share Option Scheme during this financial year. The scheme is designed to be available to all employees.
The development of the partner channel has been key to the Phocas growth strategy for some time now, and the last year saw great advances being made both with reseller and OEM partners, as well as with implementation and deployment partners. 2016/2017 saw the commencement of our strategic partnership with Epicor to provide BI across their various platforms. This was rolled out on their first three ERPs and work continues apace on the subsequent ERP offerings.
Marketing and Industry analysts
We continue to generate interest and business opportunities through our marketing programs. Written, video, digital, print and presentation content is reflecting a stronger expression of our company values and unique selling points. We increased traffic to our website by 30% and we achieved conversion rates for our content and offers that are well above industry averages.
Our recognition among the key industry analysts was excellent. For example, in the largest worldwide BI survey from BARC, Phocas ranked number one in 16 categories (including product satisfaction, recommendation, customer experience, project success and customer satisfaction) and outperformed all of our key competitors.
Customer development support & forum
Improvements to the organization of our customer success and support teams aim to support customer satisfaction, retention and growth.
Customer experience teams and marketing have run a series of successful user conferences this year, hosting 400+ customers across three continents, representing 230 unique companies. Through these events we have a growing understanding of customers’ needs, and we are building a community of Phocas advocates.
The demand for more interaction between Phocas users will see the launch of the Phocas User Group (PUG) and online forum soon. Customer satisfaction is reflected in our high 97% retention rate and through impressive ratings (4.3/5) in measures such as ‘the likelihood to recommend Phocas to peers’.
Product and Platform
The release of Phocas 2016 was a great success and allowed us to move on at great pace with our development and streamlining of our cloud platform. By the end of the financial year, 40% of our customers are on the cloud platform. The release of the Phocas 2016 also let us progress with the strategy of developing synergistic applications to sit on top of and within the Phocas BI platform. We were very pleased to release Financial Statements towards the end of the year and to continue our development of the Rebates module.
We continued to streamline and add to our key business support systems. Phocas BI is, as you would expect, deployed as our data analysis tool across all elements of the business, but during the year we made great advances with a new CRM platform and commenced the rollout of our e-commerce platform for order taking, billing and payment.
Financial Year 2017/2018
We will drive for organic growth within the business based on the ethos of ‘attract, retain and develop’ across all elements of the business with a target growth year-on-year of approximately 20%. Major accounts and partners will become lines of business in- keeping with the centralized structure.
We will continue to ensure that costs are reduced where relevant, and that we evaluate the most efficient and cost-effective way of providing our cloud-based platform to provision our software that facilitates commercial gains to our customer base through the better use of their data.