Case Study

Gotransverse Powers Transition from Software Licensing to SaaS Subscription Model for Financial Trading Platform Service Provider

Overview

This company has delivered innovative, secure, compliant technology and connectivity solutions to financial market participants around the globe for more than four decades. Specifically, this company provides essential technology and network services that serve as foundation services for the trading and brokering community, wherever and whenever trading and other time-sensitive financial transactions take place.

When the time came to move to subscription-based pricing with an end-to-end, quote-to-cash solution to meet the changing needs of its global operations, they chose Gotransverse. As their model evolved from on-premise, licensed-based solutions to a cloud-based, Solution-as-a- Service, subscription-based model, the company needed a solution that could handle its complex billing scenarios, integrate with its Salesforce CRM system, and ensure reliable visibility and accuracy in a highly regulated industry. Gotransverse was clearly the best platform capable of spanning the needed 20 multi-currency business units and delivering customized revenue recognition.

“We operate in a highly regulated industry that requires the utmost degree of billing and revenue recognition accuracy. With Gotransverse, we’re able to handle the complexity of selling cross-business-unit hardware and software bundles, subscriptions, custom discounts, billing and revenue recognition all with pinpoint accuracy. The functionality and configurability the Gotransverse solution offers is only surpassed by the outstanding partnership and service of their implementation team, which has been instrumental in guiding us through our transition to a subscription-based model and a unified quote-to-cash solution.”

Transition to a SaaS-based subscription model required sophisticated billing capabilities

The company previously offered on-premise hardware and software solutions with a perpetual license, which presented a high barrier to entry for new customers and created cash flow fluctuations. As the company transitioned to a SaaS-based model and added new products they still faced the challenges of a legacy billing system. The old system couldn’t track and accurately recognize revenue for hardware and software contracts where services are now provided by multiple business units. The company also offers a mixture of hardware and software with revenue schedules not tied to invoicing, and the existing billing system was unable to orchestrate customer subscriptions that included hardware and software from multiple business units.

With the new subscription business model, the company’s quote-to-cash system needed to be able to create cross-unit service bundles, manage custom discounts by business unit, calculate appropriate taxes by bundle component, and orchestrate custom revenue recognition scenarios across 32 countries.

The company also introduced a new, subscription-based product line engineered to deliver innovative communication and collaboration for global financial market participants. Gotransverse was the only way they could implement scalable billing and integrate it with existing products and services.

Gotransverse and CloudSense partnership provides seamless CPQ coordination, visibility, and accuracy

Gotransverse partnered with CloudSense to provide configure-price-quote (CPQ) capabilities for the company’s service bundles and installation. Billing, invoicing, and revenue recognition schedules all are handled by Gotransverse. The result is a seamless system with improved price quote and product selection accuracy, easy bundling of hardware and service subscriptions, the ability to provide custom user discounts across business units, and improved accuracy of invoicing and revenue recognition.

The move to subscription based billing and the visibility that we now have across the entire quote- to-cash system have been a game-changer for us, stabilizing our revenue streams for easier forecasting, and enabling us to more rapidly add new users as our business grows,” said a company executive. “We plan to move to all products to our new, streamlined billing system, so we can eventually offer our customers improved service and satisfaction through usage-based billing.

Conclusion

Gotransverse was chosen for its superior functionality, configurability, revenue recognition capabilities, and its ability to integrate seamlessly with CloudSense and Salesforce. Gotransverse also was selected for the guidance provided by the Gotransverse implementation team during the company’s transition from an on-premise, perpetual license model to a SaaS-based subscription model.