8×8 CMO Enzo Signore Foresees 2015 Growth Driven by Health Care, Acquisitions

New CMO Brings Avaya, JDSU Experience

When 20-year enterprise communications veteran Enzo Signore joined San Jose-based 8×8 Inc. (EGHT) earlier in November as the firm’s senior vice president and chief marketing officer, the former Cisco and Avaya executive was bidding adieu to old technologies and embracing the new.

Pointing out the critical difference between his previous companies where telecom services are inherently equipment intensive for customers and the digital solution offered by 8×8, Signore says making the move was the logical step.

“The cloud is definitely where the action is,” Signore says of 8×8’s solutions.

Nearing the tipping point of a predominance of adoption, the unified communications (UC) industry is gearing up for a strong growth year in 2015. With the addition of Signore, a pro with experience in marketing, product management, sales and business development in the enterprise communications industry, 8×8 is aiming to nab more than its fair share of the market.

One driver of 8×8’s growth is compliance. The stringent regulations of the federal Health Insurance Portability and Accountability Act (HIPAA), for example, requires very specific solutions and sets high hurdles around security standards. As the only UC solution that meets HIPAA standards, 8×8 officials claim the company is well-positioned to serve this critical industry.

HIPAA compliance capabilities mean 8×8 service solutions are in a natural position not only to serve health care companies, but also the large number of ancillary companies that work in support roles to health care businesses. Other industries likewise responsible for shepherding sensitive information—like banking, finance and insurance— will also put a premium on the security aspect of any UC solutions.

As Signore sees it, the real advantage 8×8 offers is its mastery of integrating complex needs—capability, distribution and security– with ease of use.

One strategy for growth 8×8 will likely pursue in 2015 is mergers and acquisitions. M&A, a trend analysts expect to pick up in the next year, is something 8×8 embraces. As in its acquisition of UK-based Voicenet Solutions in late 2013, the strategy can be effective in delivering rapid international growth. Voicenet, which had already worked as a reseller of 8×8 solutions, was an easy, natural fit for the company.

Other companies around the world, Signore says, could likewise make potentially solid acquisition targets. While Signore isn’t tipping his hand in terms of possible deals in the works, attractive expansion locations include the European continent and Asia. When other companies offer complementary or supplementary service or technology to 8×8’s suite, the basic ingredients are there for a possible winning combination.

Mid-Market Sweet Spot

Focused mostly on the midmarket—enterprises with up to 5,000 employees— Signore says 8×8’s “sweet spot” are those falling in the range of 1,000 to 2,000 employees. While industry behemoths like Cisco and Avaya are inclined toward very large enterprises, 8×8, he says, has positioned itself to offer top-of-line services to those with smaller head counts.

With 8×8’s breadth of service in terms of capabilities, distribution and security and the technological caliber of its solutions Signore says the company is in a unique position to capitalize on the rising adoption rates of unified communication services.

While growing internationally is clearly an objective with 8×8, Signore is keeping his eyes on the ball in the U.S. UC adoption rates have grown at a consistent rate of around 20 percent year over year for the last couple of years. As CMO, Signore says part of his job is to identify and assess those companies well-positioned to make 8×8 grow. 8×8 execs are constantly surveying the industry landscape. “We’ve always got our eyes open for new technologies and assets,” Signore says. At the same time, “we’re not just looking at the go-to-market,” Signore says. “It’s a very close, functional review.”

The data centers for 8×8—six in all– include locations in the United States, Canada, the United Kingdom, Hong Kong and Australia. According to a research note from the firm William Blair, 8×8 plans to open a data center in Latin America in 2015.