Turnover for 2010 reached 7.1 million EUR compared to 5.6 million EUR the year before.
e-conomic, which provides online accounting solutions for small and medium businesses, has increased turnover by 25%. The rapid customer growth continues with the Danish market as the driving force, but CEO Torben Frigaard Rasmussen expects the foreign markets to pick up even more speed, leading to a projected 100,000 customers by 2013.
Great interest in cloud-based systems
According to Torben Frigaard Rasmussen, approx. 25-30% of newly-started companies in Denmark start out with e-conomic. The huge interest in cloud-based accounting systems is helping drive growth for e-conomic which is now Denmark's fastest growing accounting system. e-conomic will reach 34,000 customers by March of this year.
- Our growth is continuing, and we get approx. 60-70 new customers every day. Our strategy in foreign markets is starting to pay off, which is why we're expecting even more growth during the next years. Our close relations with major, international accountancy firms here in Denmark, which are at the forefront of cloud-based accounting systems in Europe, are very important to the growing international recognition of e-conomic, says Torben Frigaard Rasmussen.
Further growth in 2011
To reach the goal of 100,000 customers by 2013, an efficient expansion abroad is required. e-conomic is now present in a number of foreign markets, including Sweden, Norway, Spain, France, Germany and Poland.
- At the moment, it looks like Sweden and Norway will be the countries with the largest growth in the next year besides Denmark. We're also expecting great breakthroughs in Germany, Spain and the UK, says Torben Frigaard Rasmussen.
Digital from the outset
Besides providing an easy and well-functioning product, e-conomic benefits from having been digital from the outset.
- Our products and services are 100% digital and have been so from the beginning. This means that our methods for communicating with our customers and providing support and service include social media. This is much more efficient since social media are easily scalable – also to other countries – and it allows our customers to get help in their own language without waiting in a long phone queue. So our business model is built around an online strategy that makes us very competitive in the market, says Torben Frigaard Rasmussen.
Subscription-based business model
- We use a subsciption-based business model where a company pays 20 EUR per user per month for access to all basic functionality. This is also why the financial downturn has been beneficial to us. People understand that they don’t have to spend 500-3,000 EUR on buying and customizing an ERP system when they can rent it at a low monthly rate instead, says Torben Frigaard Rasmussen.
The e-conomic solution has been translated and adapted for use in nine countries, but is used in more than 50 countries throughout the world. e-conomic is headquartered in Copenhagen and has 60 employees in total.
Further information
Torben Frigaard Rasmussen, e-conomic CEO, +45 26 16 33 90