Digitech Systems Reseller
Wanted to shorten Sales Cycles
Shorten sales cycles, expanded their customer base and increased recurring revenue
When founded in 1994, Imagetek, Inc. operated as a regional document management solutions provider primarily for county government organizations. To grow their business, Imagetek needed to make a strategic change that would keep their business moving toward the future of document management and attract more small- and medium-sized businesses in targeted industries.
Since becoming a Digitech Systems reseller they have shortened sales cycles to three months, increased their customer base by 300% and doubled their profit margins.
In fact, they have been so successful selling the ECMNOW! suite of products they now only sell Digitech Systems products. “We were always fundamentally and philosophically against selling one product because we couldn’t be subjective, but the ECMNOW! suite has lent us that ability, so we could feel good about proposing that system across our customer base,” Imagetek President and Founder Ted Kruzan explained. “We love the software, the interface, the ease of use, and we like the people.”
- Cut implementation times by 75% and shortened sales cycles to three months
- Expanded customer base 300% by moving into new markets
- 70% of all revenue is recurring
- New sales structure grew revenue 230% in one year
The Business Goal
Imagetek is a full-service provider and national leader in Enterprise Content Management (ECM). Today, Imagetek markets nationwide and offers customized software solutions for companies in multiple industries. Although selling other document management products proved profitable in the government sector, Imagetek had longer sales cycles with government agencies. They knew if they wanted to grow the business it was important to be able to expand their reach into any industry. Imagetek’s goals were to find a product that could serve a variety of needs and industries at an attractive price. At the same time, Imagetek needed software that would complement existing systems so they could maintain current customers and build the business from established relationships. In 2016, they decided to change their sales structure to focus more on customer service and they knew the ECMNOW! suite would allow them to adopt this change quickly and easily as the product is easy for their customer service team to sell without having years of experience or extended IT knowledge.
The Digitech Systems Solution
Imagetek became a Digitech Systems reseller in 2004 and sells only the ECMNOW! suite of products. Imagetek uses PaperVision® Capture to convert customers’ paper documents into electronic images and offers PaperVision® Enterprise to customers who prefer to store information on-premise. As an alternative, Imagtek offers ImageSilo® a cloud-based ECM that provides their customers with access to any information, anywhere, anytime, via the internet. With more than 300 active customers and almost 100 ImageSilo clients, Imagetek manages nearly 90 million documents on ImageSilo. With a business plan that focuses on becoming document management experts in targeted industries, Imagetek chose ImageSilo, because they can personalize their client’s application and experience.
“Thanks to the Digitech Systems reseller program, we have increased our customer base by 300%, doubled our profit margins and expanded into new markets. No other software vendor gave us the breadth of offerings, or such improvements in efficiency, control and money.”
– Ted Kruzan, Founder and President, ImageTek
With the ECMNOW! suite in tow, Imagetek has shortened sales cycles from 18 months to approximately three months, because there are no servers or databases for customers to maintain, no software licenses to purchase and no limit on users and usage. In 2016, they made the switch from having a sales department to only having their customer service team manage customer accounts. According to Kyle Foster, Vice President, “We are closing deals even faster than we were before. Just improving the customer service we offered increased our revenue 230% in one year.”
Because Digitech Systems manages and maintains the ImageSilo system, Imagetek has more time to serve customers and build personalized solutions more efficiently. With an outsourced system, Imagetek cuts implementation time by 75% and describes the installation process as “in and out in no time.” ImageSilo also gives Imagetek better control of its business. Adding a cloud option to the mix helps Imagetek to build a profitable business and deliver increased value to customers. Digitech Systems has provided Imagetek with products and services that are marketable to any size business in their targeted industries.
Imagetek also enjoys a positive relationship with its customers. “There’s not a client we call on that we can’t give ten other references specific to that industry,” Kruzan explained. “In fact, 92% of the referrals we get are from existing customers. It makes the sales process a lot easier when we have a reference base like that.”
As a result, Imagetek has expanded into the banking, finance, and education markets and increased their customer base. “Since becoming a Digitech Systems reseller, we have increased our customer base by 300%,” Kruzan said, “We have structured the pricing and product offering to reach the audience we want.” Selling ImageSilo under its own branded name, RADIX, builds credibility and value for Imagetek because of the perception that it is an Imagetek product, giving them even further control of their image.
As a service bureau using PaperVision Capture, Imagetek generates scanning revenue. As a solutions provider, Imagetek makes its money from PaperVision Enterprise sales and collects ongoing revenue from ImageSilo, creating a predictable revenue cycle. In fact, 70% of the company’s total income is from ImageSilo sales last year. “Thanks to the change we have made to our sales structure, we are enjoying even more revenue—faster than we ever have before,” Foster noted. “We love to make money while we’re sleeping.”
Overall, becoming a Digitech Systems reseller improved Imagetek’s business significantly. ImageSilo specifically is building Imagtek’s credibility, growing their customer base, and making them money.