Chad Catacchio is a contributor writing on a variety of topics in tech. He has held management positions at a number of tech companies in th Chad Catacchio is a contributor writing on a variety of topics in tech. He has held management positions at a number of tech companies in the US and China. Check out his personal blog to connect with him or follow him on Twitter (if you dare).
According to a Forrester Consulting study (paid for by Google) switching to Google Apps provides large enterprises (18,000 employees and several offices worldwide) with 391% return on investment (ROI). After adjusting for risk, that ROI is still 307%, so both numbers are impressive.
Forrester also says that Google Apps customers break-even in under 7 months and that the Net Present Value (NPV) of switching to Google Apps is over $10 million for a typical large business, with $7 million in savings from productivity.
More findings from the survey:
- 93% of respondents to Forrester’s survey “saw positive, tangible IT and end user impacts that drove ROI”.
- End user productivity gains were even greater than IT cost savings.
- The switch to Google Apps was usually driven by replacing or augmenting an existing email solution
- Reduced IT admin time spent: between 38-56% annual cost savings
- Cost savings include reduced spend on licenses and infrastructure
- Improved productivity from email search, spam filtering, and improved response time
- More efficient face-to-face meetings and virtual meetings
- 89% of employees using Google Apps felt that the time required to simply sign in to email had decreased, 46% felt email organizing time had decreased.
- 47% of employees using Google’s Docs and Google Sites saw material improvements in their levels of collaboration with customers and partners since moving to those tool
Obviously, this is a Google sponsored report, so take that as you will, but the numbers that Forrester are showing in this report do paint quite a convincing picture for Google Apps adoption, and as we said just yesterday with Google Voice now coming to the enterprise, we might start seeing even more businesses moving to Google’s platform soon. There is a lot more in-depth info in the report, which you can download for free here.
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