Adobe’s CFO on product personalization, pricing and what’s driving growth
Good morning. The next development of customers is the AISERIC AI – independent digital agents are able to perform tasks independently. For Adobe Marketing Giant, this means that the maximum priority is to build a group of its brand of creative agents.
During the Adobe summit last week in Las Vegas, I had a conversation with Dan Durn, CFO and EVP Financial Services, Technology and Operations in Adobe. The company places a great bet on Agency AI and announced 10 agents and an agent coinciding on its Adobe Experience platform. It is also designed to work with third -party agents and customers.
“The agents are a way to bring technological capabilities to the creative work progress to empty these slow and repeated tasks and require people to grind their path only,” Dorn told me. For example, one of these agents monitors the state of continuous projects, is at the approvals, and focuses on cooperation between departments or employees to accelerate the workflow.
“Treating content productivity and using data in an actual time, such as the Adobe customer data system, is” the two pillars on the critical path to success with customization. “
Boston Consulting Group predicts that over the next five years, revenues will turn into $ 2 trillion to companies that understand how to create customized experiences and communication. Providing new artificial intelligence capabilities more customization, according to the company.
Regarding the sales of institutions, Adobe (No. 210 in Fortune 500) said that in the fiscal year 2024, creative and marketing deals in the fiscal year 2024 have grown by more than 100 % on an annual basis. Dorn said: “It is a point of evidence of the dynamic that we see, which are creative and marketing groups approaching together in the institution,” Dorn said.
“The prevailing growth driver is still a new subscriber on the Adobe platform,” he said. “Pricing is a crane for us. Often, we will want to harmonize the price to which our customers are paid to reflect the great value in our products.” He added, “We will use prices to make sure that we are paid for the value we offer,” he added.
In the first quarter of I am 25, in the three months that ended on February 28, Adobe achieved record revenues of $ 5.71 billion, which represents 10 % growth year on an annual basis. For independent and additional ADOBE products, repeated annual revenues amounted to more than $ 125 million per quarter, and over the next nine months, the company expects this number to double. Although there were better results than expected, Wall Street had concerns about the growth of artificial intelligence growth. However, some analysts see momentum towards the strategy of artificial intelligence in the long run.
Bank of America analysts wrote in a memorandum on March 19 after the ADOBE investor meeting on March 18: “No financial goals were provided to support momentum with the highest efforts of repression, enthusiasm and artificial intelligence shows. However, some disclosure and product introductions indicate that momentum is constructive.” Analysts maintained a purchase classification of $ 528.
“This technology allows us to take content, produce and invest content in a more dependent customer value or more on the results,” Dorn told me.
Innovation sees as part of Adobe DNA. He said about the company: “We were in the essence and the highest important digital trends that make up the digital economy.”
Sherrill Istra
Sheryl.strada@fortune.com
This story was originally shown on Fortune.com
2025-03-24 11:34:00
