Salesforce.com (NYSE:CRM) announced recently that it has been positioned by Gartner in the leaders quadrant of the Magic Quadrant for sales force automation in 2012. Salesforce has been pushing its social media strategy by acquiring companies such as Buddy Media and this has enabled its customers to interact and engage with clients in meaningful ways. The Sales Cloud, companies can gain deeper insights into customer behavior which can translate into more sales. Sales Cloud is a leading sales app, built for the social era. With strong analytics provided by Radian6, Salesforce has managed to integrate customers views and feedback into the sales process.
The Gartner report states that the leaders in the magic quadrant demonstrate a market-defining vision of how sales executives can use technology to achieve business objectives. They have the ability to execute based on that vision leading to business results in the form of revenue and earnings.
Sales In a Social Era
Salesforce.com, through its cloud offerings such as Sales Cloud and Radian6, helps businesses use social enterprise to their marketing and sales advantage. It does this by delivering social and mobile cloud technologies that lets companies engage with its customers and colleagues by leveraging social intelligence. This intelligence is gathered from popular sites such as Facebook, LinkedIn, Twitter, and YouTube to sell more effectively. Salesforce, in a recently conducted customer survey found that its customers experienced a 32 percent average increase in sales productivity, a 30 percent average increase in social leads and a 27 percent average increase in revenue from using the Sales Cloud. 
We expect the social media strategy of Salesforce to integrate social media analytics into the sales automation process will help it retain its top position as a provider for cloud based ERP and sales automation solutions.
We currently have a $130 Trefis Price Estimate for Salesforce.com, which is slightly lower than the current market price.Notes: