Netsuite Stuck at 40% Of Sales Through Channel

zach nelson netsuite

I spotted this post – NetSuite CEO: We have the best channel programme for SaaS partners  –  on CRN touting the success of the Netsuite’s channel program.

NetSuite chief executive Zach Nelson has hailed his firm’s channel programme as being “the best” for SaaS partners as he talks up the company’s channel credentials.

NetSuite has more than 500 partners worldwide, with around 75 partners in the UK, and 40 per cent of its business is done through the channel.

Compare this to January 2014 when Nelson said:

I don’t think there’s any [software-as-a-service] company, quite frankly, that’s doing 40 percent of their new business through the channel,” the CEO said. He added that the breakdown of NetSuite’s direct and indirect sales is “getting pretty darn close to 50-50.

Looks as if Netsuite’s percentage of sales through channel has leveled off.

Wayne Schulz is a consultant who writes about the ERP industry and technology related news.

Slush Puppie Trades Sage, Epicor for Netsuite OneWorld



Slush Puppie UK has manufactured and distributed frozen treats to the US since the 1970’s. Recently Computerworld reports that the company underwent a change in accounting systems – trading in Sage 500 and Epicor Express ERP for Netsuite OneWorld.

The trade appears to have happened in response to recent acquisitions by the company signing a new deal with Coca Cola to distribute their products in Europe.

Of particular note in the article is the repeated use of the term “legacy” and description that:

The organisation struggled to determine its stock, costings, profit margins and asset management with the legacy Sage product, which required several developers to build applications to firefight. Reporting took up the time of more than one full-time employees time, simply to pull data into spreadsheets.

Slush Puppie has had 40 employees using Netsuite OneWorld since January 2015.

benefits to hosted solutions far outweighed any security concerns, and automatic upgrades and improved availability from Netsuite were the main drivers. “For us, hardware doesn’t make sense,”

via: ComputerWorld UK

Wayne Schulz is a consultant who writes about the ERP industry and technology related news.

Sage Partners Oasis Solutions and Accordant Join Netsuite Partner Program

According to a post on Bob Scott’s Insights – Sage partners Accordant and Oasis Solutions have both signed on with SaaS ERP provider Netsuite to resell and consult with their online product.

Bob’s site describes the two firms as:

Accordant, which was a Top Five Sage reseller for 2010 and 2011, has become the latest major Sage VAR to enlist to carry NetSuite. NetSuite also signed Louisville, Ky.-based Oasis Computer Solutions. Oasis has a more wide-ranging product line and handles Dynamics GP and QuickBooks Enterprise Solutions, along with Sage 100.

Bob Scotts Insights

Strangely I Can’t Find This Session On The Agenda

Looks like most of the Sage channel just received a personal invitation from Netsuite VP Channel Sales Craig West inviting them to meet for a briefing during Sage’s upcoming partner and customer conference August 14-17, 2012 in Nashville, TN.

Note: Just to be clear – though hopefully it’s very obvious –  Netsuite is NOT meeting potential partners at a Sage Summit booth or official conference session.  The mailing refers to a “session”  offered outside the conference and is not sanctioned by Sage ( Think for a minute – would Sage be inviting competitors to not only exhibit but to recruit their partners and customers…?).

No word on whether CPE might be available (just in case – that’s a joke too – you’re not going to get CPE for meeting with Craig West).

This isn’t the first time that Netsuite have aggressively recruited at Sage events. Last year they were actively meeting partners in area restaurants. The year before they rented a van and roamed the streets of Denver with a sign inviting partners to join their channel.

Continue reading “Strangely I Can’t Find This Session On The Agenda”

Netsuite 2012 Q2 2012 Earnings Call: 329 New Customers and Average Selling Price Up 29% to $50,000

Our average selling price on new deals increased 29% over that for Q2 last year to over $50,000. The ASP for OneWorld was up 13%, while across all other products, it increased by 15% and an increase in the OneWorld portion of the mix drove the rest of the increase.

Interesting progression up-stream in terms of average deal size. I don’t know if average deals size provided by the company includes the Netsuite component only or if they also count  professional services they (or a partner) provide.

And we finished the second quarter with great customer momentum. During the quarter, we added 329 new customers. Average business selling price jumped almost 30% year-over-year to well over $50,000 in first year contract value.

The number of customer wins, 329, was essentially flat with the prior year, began at a much healthier average selling price.

Read the Netsuite earnings call transcript.

Hightower Inc Winding Down?

Lots of speculation over what has happened — and is happening — at ERP VAR Hightower Inc of Skokie IL.

It’s been almost a week since reports surfaced that employees were sent home with their belongings in a box and told to await further word. Everyone involved in the company – and what I presume are negotiations over what to do with customers and intellectual property – have been silent.

Unlike seasonal businesses such as landscapers and house painters – consulting is not usually one where you can lay off crews of employees for large gaps of time.

In the consulting world appearing to disband your business prior to having a deal for someone to take over servicing the customers doesn’t exactly put you in a power position for negotiating any potential sale or transfer.

I don’t expect the sounds of silence to continue much longer. Either Hightower is going to need to announce something or Sage likely will do it for them.

This report from Bob Scott last night indicates New York based Net@Work may have a deal for the customer base although nothing officially has been announced as of yet,

UPDATE: March 23, 2012  9:00AM ET – Hightower’s Blog Site has been updated to indicate that “Effective today, Friday March 23, 2012, SWK will be handling all HighTower client support, as well as supporting resellers of HighTower enhancements“.


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Hightower End Looming?

ERP VAR Hightower Inc Reportedly Closes For Undetermined Period of Time

A consultant who claims that one of his employee’s received a phone call from Hightower Inc reached out to me to say he had been told the support case they have pending with Skokie IL ERP consultants Hightower Inc. may take a little while to be resolved.

According to one of my 90 Minds members who spoke to their Hightower representative:

We had an open support case with them and got a call from our rep that they were shutting down 

I have a message into Hightower executives. Calls  today (3/20/12) to their phone line listed on the web site have gone unanswered. Update: As of 2:28 pm ET 3/20/12 the phone message is indicating that Hightower is experiencing a serious data interruption to voice and email.

Continue reading “ERP VAR Hightower Inc Reportedly Closes For Undetermined Period of Time”

Netsuite Continues to Gain – Touts Integration and ECommerce Wins

In a press release today Netsuite trumpets several key customer wins showcased during CEO Zach Nelson’s February 29, 2012 keynote address at ETail West 2012 Conference in Palm Desert CA.

The key wins listed:

  • Serena & Lily
  • GoPro
  • InkJetSuperStore
  • Ultimate Office
  • GameWear
  • Niner Bikes

This announcement is the first time I’ve awoken to a realization that SaaS products are providing an end-to-end solution (Accounting, Disribution, ECommerce, EDI) in a way that many in the on-premises world have concluded would be years away. I’ve seen the slide decks that claim to offer turnkey solutions but the full package seemed to be elusive.

Continue reading “Netsuite Continues to Gain – Touts Integration and ECommerce Wins”