Zoom hosted on average 10 million daily meetings in the year 2019, which unsurprisingly peaked at 300 daily users in the current year 2020.
Zoom was initially founded with the concept of offering video conferencing solutions to corporate customers.
As the utility of the platform and ease of use attracted more users, its customer has increased including individual users globally.
Zoom’s Vision Statement
Zoom officially describes its vision statement as:
“Video communications empowering people to accomplish more”
Thus far the company has achieved the success it intended. We can truly analyze the effectiveness of Zoom’s vision accomplishments in the wake of the current surge in its popularity.
Although the video conferencing market is well saturated with industry leaders like Google, Facebook, Microsoft, and Cisco, it made a mark on the global scale.
The education and health sector, in particular, contributed to the rising demand for Zoom video conferencing products.
As more educational institutes were inevitably closed, the users relied more on Zoom products. The company matched the user expectations by lifting the free user account meeting limits for educational purpose usage.
Zoom’s Mission Statement
Let us take a glance at the Zoom Mission Statement first,
“Make video communications frictionless and secure”
If we can divide the Zoom company mission statement into two parts, we’ll be better off elaborating it. In the first part, to make video communication frictionless can be overwhelmingly accepted by most of us. The second part “securely” didn’t live up to the expectations with many controversies.
The company aims to focus on the Video-first base of communication. Zoom’s prime product meetings, webinars, and workspace are all geared towards offering that experience to its customers.
With an extended range of Video communication apps and hundreds of features, its rising popularity is highly justified.
Zoom has recently launched the new end-to-end encryption (E2EE) features for all of its products. The company CEO and Founder Eric S. Yuan promised to enhance communication and data security for all of its customers.
Zoom’s Culture and Values
Zoom defines its culture as “delivering happiness” and its values by “care”. Elaborating the Value statement for Zoom,
“We care for our community, our customers, our customers, our company, our teammates, and ourselves”
If surveys are to indicate anything at all, A Glassdoor survey of employees’ happiness upholds the Zoom company value’s statement.
It ranked number one in 2019 for having the happiest employees. It provides unmatched and valuable free services to customers globally, thus making the community and customers happier. The company currently employs more than 2,500 direct staff members.
With a limited history of operations of just below 9 years, the company’s achievements and growth indicate a successful journey of creating value for its stakeholders.
Zoom’s Business Model 2022
Zoom is now a listed company on the NASDAQ stock exchange. The company offers free product access with limited features to its customers and different paid plans with additional features.
Zoom’s business model is based on subscription-based revenue generation to focus on corporate customers. It mainly derives its revenue from institutional clients of teams with 10 or more members.
According to Zoom’s published financial statements, it has more than 81,900 corporate customers having 10 or more team members. These customers provide the highest portion of company sales and its individual customers’ contribution remained below 5% of the total company revenue.
Zoom provides customized video communication tools to Education, Finance, Government, and Health industries. In recent months it has seen an unprecedented surge in its educational clients’ demand due to pandemic is driven needs for remote learning.
Zoom’s Product Range
Zoom offers a video-first experience to its customers with free and paid subscription-based pricing plans. Its main products include:
- Zoom Meeting and Chat
- Rooms and Workspaces
- Video Webinars
- Phone Systems, and
- App Marketplace
Zoom offers a free pricing plan with limited features of up to 40 minutes of the video call to its entire customer base. Its pricing plans start from $ 149.99 per month with additional features of unlimited user accounts and video call duration.
Zoom Financial Strength
Zoom has only reported a net profit in the last two fiscal years. With a huge surge in its product demand and soaring share prices, the company as of now trades at $ 423.50 per share. The current share prices are volatile and temporarily demand-driven though.
However, the company is well poised at a total market valuation of over $ 142 billion, which even adjusted for the current demand will likely stay around $ 100 billion.