LONDON--(BUSINESS WIRE)--Trade Extensions, the leading software provider for the most complex and large scale eSourcing and optimisation projects, is continuing its sustainable and profitable growth and grew revenue by 26% in 2014. The results mean the company has doubled in size in the last three years.
Its business continues to be driven by complex sourcing and optimisation events for large corporations with the most common categories being logistics, MRO, packaging and labour.
Trade Extensions, CEO, Garry Mansell said, "The complexity in large corporations' purchasing and supply chains mean they are well placed to benefit from using our eSourcing and optimisation platform - TESS. And as we retain our customers they are not only using TESS in repeatable mainstream purchasing but are finding new areas of their business in which to deploy the technology."
The revenue generated by software licences is up 25% and contributes 75% of the total income. This is consistent with Trade Extensions strategy to make its platform as intuitive and easy to use as possible so its customers are not solely reliant on Trade Extensions consultants to manage projects for them.
The company experienced strong growth on both sides of the Atlantic and the appointment of Trade Extensions first permanent US Sales Director in 2014 saw US revenue increase by 40%. Growth in the Nordic region was up 14% and the Rest of Europe increased by 27%. The growth now means two thirds of revenue is generated in Europe with one third generated in North America.
Mansell said, "Our growth over the last few years has been driven by a combination of attracting new customers and existing customers increasing their use of the platform. This continues to be the pattern and during 2014 we won significant new business and the average sales revenue per customer increased by 38% as they increased their adoption of TESS."
In addition to the appointment of a permanent US Sales Director during 2014, another significant development was the launch of the TESS Academy. The Academy is Trade Extensions virtual training institution and provides a clear pathway from novice to expert and the opportunity to become TESS Certified.
Mansell said, "The TESS Academy is another part of our strategy to make our users as self sufficient as they want to be - even with complex optimisation challenges."
The company is continuing to recruit in line with customers' requirements. Having already appointed a dedicated market director for the UK, one for Germany and the Eastern European region will join in May 2015. These two key European appointments are expected to significantly drive growth of the business during the year.
The growth already looks to be continuing and Trade Extensions order bank for Q1 2015 is already significantly exceeding the income generated in Q1 2014.
Mansell said, "2015 will be a very exciting time for the sector and we expect greater adoption of this technology across all industries. Whether it's smaller providers providing rudimentary optimisation to smaller companies or the more complex sourcing and optimisation projects that we specialise in, there is a feeling that eSourcing and optimisation has finally come of age."
Trade Extensions (www.tradeextensions.com) is the leading software provider for the most complex and large scale eSourcing and optimisation projects. Over $1 billion worth of spend is allocated through its platform TESS™ each week.
The Trade Extensions logo is registered trademark of Trade Extensions TradeExt AB.
TESS™ and TESS Academy™ are trademarks of Trade Extensions TradeExt AB.