If you’re looking for a cloud electronic signature solution, DocuSign is one company you might want to consider. This company has a large customer base and a great future, but it’s lacking some crucial features to truly stand out. Integration with Salesforce would be crucial to its continued growth, and Salesforce has been a huge customer of DocuSign. So, why did investors sign out today?
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DocuSign is A Cloud Based Electronic Signature Solution
DocuSign, a cloud-based electronic signature service for investors, has grown quickly over the last five years and is now the fastest-growing company in the industry. As the number of investors grows, so does the need for more secure contracts. The company reports 24% annual growth across all customers, with commercial and enterprise customers up 33% annually. According to its S-1 filing, DocuSign has an addressable market of $25 billion.
eSignature Software Processes
The company’s eSignature software processes signatures and provides a lawful, audit-trading trail. Its storage environment is secure and meets compliance requirements. DocuSign’s software supports multiple roles and is flexible enough to handle complex routing rules. It can even coordinate in-person document checks, which reduces the need for a third party. DocuSign is an important tool for investors and tier-three companies.
DocuSign’s eSignature is the most popular way to sign and send documents. Whether you’re looking to sign a contract or execute a business deal, eSignature makes the process easier and more secure. DocuSign eSignature combines advanced AI and contract lifecycle management to enable quicker and easier business processes. It’s easy to manage, sign, and store documents, and 80% of transactions are completed in 24 hours or less.
The software has a robust API that allows developers to integrate their products with DocuSign’s services. DocuSign eSignatures are legally binding in more than 180 countries and are compatible with industry-specific regulations. It provides a full audit trail and is available in 43 languages. And the company says it hasn’t even reached its peak yet. That’s a big deal.
DocuSign offers three levels of self-service pricing. Basic pricing is free, but the service limits the number of users. For more users, DocuSign requires the help of a sales team. Advanced solutions have more advanced features and capabilities. You can embed the DocuSign applications into other applications and workspaces. This also lets developers embed and extend DocuSign functionality into other applications and websites.
Related: Interview with CEO of DocuSign
It Has A Large Customer Base
With 1.2 million paying subscribers, DocuSign has grown to be a trusted name in a number of industries. However, the company is still in its infancy in international markets. Last quarter, the company reported less than one-fourth of its revenue came from outside the U.S., and its international revenue growth was only 55%. While the company is already well-known in North America, much of Europe, Asia, and South America has yet to use its services.
This growth is likely to continue as more businesses adopt the service. According to recent estimates, e-signature will be commonplace in the future. The company reports that 88% of its revenues come from corporate customers. And this number continues to grow year after year, implying a super powering growth opportunity for the company today and for the years to come. DocuSign is a great stock to buy because of its large customer base.
Pricing for Corporate Plans Varies
With a free account, an enterprise will only be able to use a single user account, but with a higher plan, phone, and email support become available. Additionally, more expensive packages offer authentication features and custom pricing. A single user’s Personal account costs $10 a month, while a Business Premium subscription costs $125 per user. There are a number of other plans for smaller businesses as well, ranging from $20 to $125 per month. For larger enterprises, DocuSign offers enterprise subscriptions that can be customized to meet their needs.
Today, agreements span across many phases of business. They range from facilities, procurement, legal, and IT operations to service partners. In fact, more companies are focusing on their core businesses and outsourcing the non-core parts of their operations. The number of agreements between these companies and service providers is enormous. DocuSign is well-positioned to dominate the market with its eSignature solution. Currently, it has a 70% market share and is poised for further growth.
As A Result of DocuSign’s Large Customer Base
The company is able to make decisions more quickly than many companies. The company’s technology is a foundation for numerous aspects of the business. The company estimates a total addressable market of $50 billion and accounts for 70 percent of the eSignature trade in this market. Many companies have learned to operate without a human workforce and do so with the use of software solutions.
It Has A Bright Future
DocuSign shares rose to a record $314 per share today, a level that escaped the notice of investors last summer when COVID was widely expected to hamper business. Disingenuous media hype claimed that COVID would prevent people from interacting and signing documents. Yet this narrative had a grain of truth. Regardless of COVID’s impact on the business, DocuSign’s convenient remote document execution and its ability to be adopted by more businesses are just a few of the reasons the company has a bright future.
This recent sell-off should serve as a warning to shareholders. But investors should not panic just yet. Many other stocks, including a tumbling Peloton (NASDAQ: PLOT), have been losing ground recently. Zoom Video Communications Inc (NASDAQ: ZM), meanwhile, had already reached 52-week lows before its latest quarter. The company’s recent share price plunge could be a symptom of the ongoing economic slowdown.
The company’s stock rose by over 40% in just one year. The recent stock price is still 70 percent above its pre-pandemic high, and its revenue growth guidance has been downgraded to reflect that. This is a healthy two-year return in the current environment, and many growth investors may double down on DocuSign after the 40% pullback.
If DocuSign can successfully leverage its dominant position in the eSignature market, it could be a valuable buy. Its huge market opportunity, its high customer retention rate, and improving cash position are all reasons to buy DocuSign today. But despite these factors, investors should remain cautious. If investors are able to invest in DocuSign stock, it will continue to have a bright future.
Although DocuSign shares are down nearly 40% from Thursday’s close, Nasdaq has yet to reach its pre-earnings high. Despite the disappointing guidance, DocuSign is still one of the best companies in its industry and has a strong future. DocuSign has more than a million clients and is now used by 13 Fortune 500 tech companies.
It Needs To Integrate With Salesforce
First, you need to grant users access to DocuSign to use it on Salesforce. DocuSign recommends granting this access to all users. However, you can configure it later, after the installation is completed. To configure DocuSign for Salesforce, follow the steps below:
Create a template from DocuSign. Name your template and specify the document to be signed. In the Add Recipients field, mention who the document is intended for. Next, drag and drop the Signature standard field anywhere on the form. You can add various fields and map them to Salesforce objects. Once these fields are mapped, click Save and Close. You can now send the signed documents to the recipients in Salesforce.
Using DocuSign for Salesforce reduces document and approval processes. Its templates automatically pull data from Salesforce, allowing users to customize agreements and map fields to Salesforce objects. DocuSign also allows users to send agreements to their Salesforce contacts via email. Using the DocuSign Connect API, users can trigger downstream activities such as sending invoices, collecting payments, and tracking documents. In addition to that, DocuSign can even create and store documents.
DocuSign and Salesforce integration reduces the time required to process customer agreements and helps create a greener business environment. DocuSign is a cloud-based service that can be used on virtually any device. It also meets strict security standards and stores customer data in the cloud. It is the number one Salesforce app in the AppExchange with more than 3,000 5-star reviews. If you are looking for a partner to integrate DocuSign with Salesforce, 4C is the perfect partner.