feATURe
you think that it would be possible to break up ISP vendors and you won’t find
anyone in the industry who will agree with that.”
Braun denies that SaaS will remove any other options, insisting that they
can work side by side. “They don’t have to shut down their business model.
They can use SaaS in addition for customers who want to have another
option, especially if they want to go internally.”
“It’s a big advantage to end users. It’s exactly the same as over the road.
They can have links with the partners in other countries using the same
process. We support ISVs completely. If they want to launch we offer
education, marketing, middle ware and hosting technology. It’s individual for
Steven Jay (left) international sales director at HansaWorld
each ISV and we have our own technology,” he says.
Ian Moyse, Channel Director at Webroot, believes that a lot of the Braun claims that there is an important role for the reseller, albeit with an
advantages of SaaS relate to finance and time-saving. adaptation needed: “There is a place for the reseller if he takes over the part
“The customer has realised that protection can be done easier than of selling SaaS. He can be a consultant regarding which of the SaaS would
installing boxes. Large complex projects can be overlong and overspent. The fit into the end customer’s business solutions. A reseller can also have an
beauty of SaaS is that there is nothing to install and you can be protected. advantage by receiving an ongoing percentage of the revenue stream.”
There are no potential risks and you can turn on as quickly with 30,000 users as Pascal Walschots of Microsoft also thinks that ISVs are looking for different
50,000. They know what it will cost them in future years and they can keep to things from their vendors: “One trend we are seeing is that ISVs are looking
a managed and fixed budget. There are no sudden surprises.” at higher-level platforms. Also, emerging ISVs are working on a CRM platform.
Moyse predicts a dramatic “upward curve” in numbers from the 15% of UK’s SMEs see SaaS as a cost-effective way of operating, for example those now
IT businesses that currently use SaaS. Moyse also quotes Datamonitor figures outsourcing their email to hosters.”
from 2005 that show that email filtering services were at $223m (€150m) in Walschots adds: “The biggest issue for ISVs is, ‘How do I go to market? Do I
2004 to a predicted figure of $958m (€644m) in 2008 to reinforce his argument. need a different distribution model? Once the convertion to SaaS is complete,
Kevin Aspindle (below), senior manager partner development at Progress and I’m a website, how do I attract people to it? How do we get customers,
Software, is confident SaaS will influence the IT sector. “It’s going to be a big get our message across?’ There are many things to consider, such as ‘try-
part of the industry. It will be the industry. The top ERP guys are considering before-you-buy’ pricing models.”
it, Microsoft and Sage Moyse at Webroot believes there has been scepticism to SaaS but that
are considering it. There the attitude is changing: “There has been a shift in mindset. It always used to
are those that are scared be about hardware and installing things. It’s like the electric car. It’s not that it
it’ll remove resellers from won’t work, it’s just scepticism. But the big brands are using SaaS and are happy
the channel, but that’s far to endorse it. We offer better protection, and more economical and rapid
from the truth. In the last development.”
mile you need resellers to
OUR ANALYSIS
make it work. There will When any topic encompasses so many businesses, it will always create
be a channel to connect plenty of discussion. It is clear that SaaS has many benefits, including a
service to the customers. saving on time, money and risk. from talking with this group, and others
Kevin Aspindle of Progress Software says Somebody has to do at the event, it seems unlikely that SaaS will completely dominate the
SaaS will be big
that.” industry, but the figures are expected to show no signs of slowing down.
29 feb 2008 13
It0804 - 12-13_ISV event.indd 15 27/02/2008 11:10:31
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