May 6, 2003
OpenAir Achieves Record Revenues in First Quarter of 2003
Adds 27 new customers and increases net revenue 57%
Boston, MA (May 6, 2003) OpenAir, the leading mid-market professional services automation (PSA) software provider, today reported results for the quarter ending March 31, 2003. OpenAir increased net revenue by 57% over the first quarter of 2002 and by 12% over the prior quarter. These gains come on the heels of more than doubling net revenue in 2002. Q1 growth was driven by the addition of 27 new customers in service firms, embedded service organizations, and internal IT departments, as well as increased penetration into existing customer organizations. OpenAir has now increased revenue for sixteen consecutive quarters.
Among OpenAir’s new Q1 customers was UAL Loyalty Services internal IT group that adopted OpenAir to help them manage and account for the complexities of running one of the world’s most sophisticated customer loyalty programs. Bruce Weiner, Vice President, Strategy, commented, “We were looking for a better way to account for our project activity so we could more accurately measure the costs of our efforts against their expected benefits, and track our estimates to the actual work expended, but we could not justify a large capital outlay that would require years to provide a return on investment. OpenAir provided an outstanding solution for capturing, tracking, and reporting on this information. Because we were able to implement it in under a month with virtually no upfront costs, the payback has been almost immediate.”
“Our progress clearly demonstrates the strength of both our product and our business model,” added OpenAir CEO Morris Panner. “Service organizations are facing tremendous pressure to find fast, cost-effective ways to increase revenues, reduce costs, and improve client service. OpenAir’s award-winning, subscription-based software application enables organizations to achieve all of these goals without having to buy software or hardware, so they realize a return on their investment much faster than with traditional software investments. In today’s environment a rapid, measurable payback is an imperative.
“Offering our software as a subscription service not only benefits our customers financially, but it also aligns our incentives with our customers’,” continued Panner. “We have to earn their business on an ongoing basis, so we provide a level of customer satisfaction which independent surveys have shown to be unparalleled in the industry. No traditional software company would subject itself to that standard, and therein lies one of the keys to our success.”
Customer feedback consistently proves that this revolutionary model is working. Michael Leinweber, Vice President of Eyretel Professional Services for North America, summed up the power of the model as follows, "OpenAir set themselves apart by working with us to understand our needs, translating them into product features, and quickly implementing those changes. As a result we got the exact solution we needed at a fraction of the cost one would expect to pay for a customized system."
Other highlights for Q1’03:
- IBM honored OpenAir with its January Linux Solution Spotlight.
- OpenAir launched new versions of its XML-based integrations with Microsoft Project and Microsoft Outlook.
- OpenAir completed three major upgrades to its professional services automation software to enhance its resource profiling, project planning, calendaring, revenue recognition, and project billing functionality.
- OpenAir completed 32 minor updates to incorporate customer-requested functionality throughout the PSA solution.
OpenAir is the Web-native professional services automation solution that helps independent software vendors, marketing services companies, consulting firms, and internal corporate service organizations increase top-line growth, improve operations and enhance financial controls. OpenAir customers increase profits by capturing additional billable hours, increasing employee utilization, streamlining project management, accelerating revenue, enhancing collaboration, improving revenue recognition and project accounting, and sharing knowledge and best practices throughout the organization. OpenAir has helped over 500 companies across six continents increase profits through the subscription-based OpenAir® Complete solution. For additional information, visit www.openair.com.