Intranets don’t deliver good ROI; applications deliver great ROI. Or so we’re told.
Why do stores like the Gap, Target, Nordstrom’s, etc. locate in malls? Malls exist because they attract a lot of shoppers and therefore retailers like the Gap are willing to pay a lot of rent to realize the sales and ROI that come from those shoppers. If the shopping mall doesn’t exist, a lot of retailers lose out. The stores don’t get the sales, and they don’t get the ROI.
The intranet benefits applications as the mall benefits stores. Intranets drive traffic to applications which reap the big ROI.
One of my favorite application ROI examples is the fantastic SuperSleuth sales lead tool on the SodhexoUSA intranet (see Best practices case study: Sodexho USA). SuperSleuth is an intranet application that encourages employees to submit sales leads and prospective clients via the intranet. Successful leads submitted via the SuperSleuth intranet page generate cash rewards of up to $1000 for the person making the submission. Sodexho says it has contributed to a 100% increase in sales leads in the past year and led to US$90 million dollars in managed volume (net client sales including sales by client).
SuperSleuth is an intranet based tool that would be no means receive that volume of leads nor generate the dollars it does without the intranet to drive those leads. The intranet home page promotes the tool and generates the traffic that reaps the reward.
It’s no longer acceptable for an accountant or techie to tell you that you can’t count the ROI on the employee directory, or online expense form, or sales lead generator as intranet ROI. The intranet begets the tool that delivers the value and as such should be recognized as a successful delivery platform that delivers ROI.
While some tools like online benefits enrollment might still generate a high ROI without the foundation that is the intranet, others like SuperSleuth depend on the intranet. It’s fair to say, based on my anecdotal and measured observations, that many applications owe 50% of their value to the intranet.
Without the mall, many stores would scramble for customers – many enterprises are without a business model. Like the mall, the intranet ensures the success of its application stores and makes possible a business model that wouldn’t exist without a supporting foundation.
To measure and increase the value of your intranet, please dowload the free white paper, Finding ROI.
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