Business Strategy for Software Executives
March 26, 2007
Reaching the Holy Grail: SMB Markets
Software vendors now have the potential to deliver enterprise-class solutions to small and mid-sized businesses ń but theyíve got to believe in the Web formula for success
By Nilofer Merchant, Rubicon
When I was growing up, a popular TV-series began with the stirring words: "A fiery horse with the speed of light, a cloud of dust, and a hearty 'Hi-yo Silver!' The Lone Ranger!” Along with the announcement was great music that told you adventure was ahead, and there was no doubt of success.
That's the theme music that should be playing when big enterprise tech companies turn their efforts toward the small and medium business (SMB) market.
For years this “new” and largely unpenetrated market has been a “holy grail” for many enterprise technology firms: greatly desired, often sought after but not obtainable.
But today, the Web has placed the ever-elusive SMB market within the grasp of enterprise software companies. The vendors who can deliver the right combination of new products, support, marketing and sales will reach SMBs and profit from their legendary powers.
The 3rd-Party-Maintenance “Cat” is Out of the Bag
Despite Oracle’s lawsuit against TomorrowNow, the value of the third-party maintenance vendors is too compelling for buyers to forget. Vinnie Mirchandani of DealArchitect says these vendors deliver buyers a choice they’ve never had before. Read why Vinnie says the lawsuit is just the latest way to try to scare buyers away from third-party maintenance in this week’s post to the SandHill.com Blog, New Era, New Thinking.
Outsource Your Move to SaaS
Many software companies want to offer a software-as-a-service (SaaS) version of their products but become bogged down in the challenges of creating such an offering. Steve Mezak of Accelerance says outsourcing or offshoring the SaaS transition can help facilitate these one-time changes and increase the chances of success. Read how in this week’s post to the SandHill.com Blog on offshoring.
Why Technology Sales Fail to Close
IT salespeople have to maintain a pipeline of prospects that is three times what they expect to close. Justin Floyd of Smartfundit.com says there’s a good reason for that – budgets. Read why SaaS is making the need to overcome this challenge more important than ever in this week’s post to the SandHill.com Blog on software sales.
Publish Your Perspective!
The SandHill.com Blog wants your opinions. Send your thoughts on the enterprise software industry to firstname.lastname@example.org and we’ll publish them in our blog.
Global Capital Markets: Europe on the Rise
A recent analysis of the world's financial markets shows the U.S. is still on top but that the Eurozone countries are wielding ever more influence. Read the latest analysis from McKinsey & Co. in this article from The McKinsey Quarterly.
News Update: Ellison Wins
A huge quarter and an SAP lawsuit combine for a massive week for Oracle. Salesforce.com moves towards processes, ACS moves to go private and more software news of the week. Read these stories and more software news of the week in the latest SandHill.com Software News Summary.
Poll: Oracle’s Quarter Means…?
Significant increases in revenue and profit are making Oracle’s acquisition-to-domination methods look like a winning strategy. What do you think?
Last week, readers gave their opinions as to how innovative the software industry is when compared to other industries.
More at SandHill.com:
The San Francisco Chronicle interviews TCS CEO S. Ramadorai.
Bulldog Solutions receives $5 million.
HP buys Tabblo.
Don Klaiss named president and CEO of Compiere.
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