Microsoft Cloud Playbook Outlines Sad State Of The Traditional VAR Marketplace

Dynamics_Cloud_Playbook_-_October_2013_pdf

An interesting Cloud Partner Profitability Guide from Microsoft. Pay especially close attention to page 10 as it nicely summarizes the current state of the VAR marketplace and the changes needed to remain profitable. Although technically I don’t believe all these changes are brought on solely by cloud use. In most cases they’re a symptom of a mature ERP market with users who are no longer afraid of technology.

In essence when most of us started as VARS we sold to the first generation technology user. Afraid of technology. Wanting to pay someone to install, train and take care of this strange new ERP technology.

Fast forward to 2014 and we’re now selling to the sons and daughters of the original customers. This new generation doesn’t have the apprehension about technology which was present when most VAR practices were founded. This means change is needed in order to maintain the same (or greater) level of VAR profitability.

cloud_impact

 

Download the Microsoft Dynamics Cloud Partner Profitability Guide – October 2013

Sage Mobile Apps Analysis

Sage Mobile

More Sage Mobile Apps thoughts:

Sat in on the Sage Mobile Partner webcast yesterday.

1. Sage Billing and Payments (essentially click to pay delivery of invoices)
2. Sage Mobile Sales
3. Sage Mobile Service

Here’s where I think the opportunity lies.

[Read more...]

Sage Sales VPs Drew Macbeth and Kevin Rooker Depart

KevinRookerLinkedin

DrewMacbethLinkedin

News is trickling in that the Kevin Rooker and Drew Macbeth – both long time VP of Sales for Sage North America have departed or will depart soon. [Read more...]

What’s Up With Tecura’s Acquisition By UXC Eclipse?

TecturaLogo

According to this press release announcing the acquisition of North American Microsoft Partner Tectura by UXC Eclipse:

 UXC Eclipse, a wholly owned subsidiary, has finalised an agreement for the acquisition of certain North American assets and businesses of
Tectura Corporation for consideration of US$21 million.

Total revenues for Tectura were:

With an additional 180 staff from Tectura in the USA and Canada, this will bring the UXC Eclipse North American footprint to
over 260 people, a customer base over 1,400 and annual revenue will increase by some $48 million per annum

Unless I’ve missed something UXC Eclipse just paid $21 million for $ 48 million of revenue.

tecturasale

via: Accounting Technology

Sage Claims At Least 1,000 Early Customer Registrations for Sage Summit 2014

SageSummitAd

In a posting on the Sage Partner, Employee and Alumni LinkedIn Group Sage Director of Event Marketing Suzanne Spear has announced that total early registration for customers has surpassed 1,000. This year Sage Summit moves to Las Vegas and the Mandalay Bay where it will occur July 28-31, 2014. [Read more...]

It’s All About Recurring Revenue YOU Control

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Think of 2014 as the year the margin died.

Although margin on maintenance and services resold from ERP publishers hasn’t gone completely away – I’ve little doubt that it will. And soon – meaning within 5 years. Popular third party vendors are already signaling their intent to the channel. That’s why I recommend that the only direction a consulting firm should take is one which enables them to develop their own sources of recurring revenues. These can be self-created support plans, enhancements or niche services that are difficult for competitors to duplicate.

Let 2014 be the year you completely disallow hourly billing or any type of per call “break fix” support. You’ll be happy you got an early start when the margin you rely on now dies off in five years as I predict.

ISM Presumably Exits Sage 500 Business With Departure of VP , About 100 Sage 500 Customers and 3 Consultants

Sage_500_ERP

Interesting news this morning regarding Sage 500 and Sage VARS  ISM and rkl eSolutions. According to a press release issued November 19, 2013 - rkl eSolutions hired several consultants and one executive from Portland Oregon based competitor ISM. About 100 customers followed these consultants which reportedly was the entire Sage 500 customer base of ISM.

[Read more...]

Sage Searching For VP Channel Strategy

VP Channel Strategy

Looks as if the Sage playbook which at one point had at least two of Sage’s current executives managing the channel has been rewritten. A job listing has just gone live (as of October 20, 2013 according to LinkedIn) advertising for a channel executive.  [Read more...]

Sage FYE Personnel Changes

changes Last Thursday at about 2pm messages started to arrive from my 90 Minds Consulting Group private intranet regarding staffing changes at Sage North America.

Most of these changes were either Regional Account Manager or Regional Sales Manager positions.  [Read more...]

Ellison Skips OpenWorld Customer Keynote- Crowd Streams Out of Convention Center

Oracle CEO Ellison reacts after Oracle Team USA defeated Emirates Team New Zealand during Race 18 Emirates during Race 18 of 34th America's Cup yacht sailing race in San Francisco

Apparently Oracle CEO Larry Ellison had a choice. Attend his Openworld customer conference and deliver a keynote address or watch his team Oracle USA race New Zealand in the America’s Cup. Both were scheduled at the same time. When you have customers locked into your technology this apparently is a rather easy decision. The crowds streamed out of Moscone Center when Oracle Chairman took the stage and said:

“Larry apologizes. Can’t be in two places at once.”

Ellison skips OpenWorld keynote to watch America’s Cup