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Publisher / Editor @ CloudAve and Enterprise Irregulars. Industry Observer, Blogger, Startup Advisor, Program Chair @ SVASE (Silicon Valley Association of Startup Entrepreneurs). In his "prior life" spent 15 years immersed in the business of Enterprise Software, at management positions with SAP, IBM, Deloitte, KPMG and the like.

9 responses to “NetSuite Goes After SAP – But Where is Business ByDesign?”

  1. dahowlett

    Zoli – this is pure hubris and you know it. Have you not seen sme.sap.com or the way they are going to market with this?

  2. Zoli Erdos

    Dennis,

    A a policy I am not discussing *hubris*.

  3. tfoydel

    Do you have any idea what the ‘average’cost per seat is for SAP’s 22% annual maintenance fee? Is it $1000, $1500, $2000 or what?

  4. Zoli Erdos

    Tom,

    Let’s be real, we all know the on-site vs. on-demand price dynamics. The real price comparison should be SAP Business Bydesign vs. NetSuite, and I think SAP fares quite well there, not just in absolute $ amount, but a rather flat structure.

    That said, if they are not aggressive enough – well, it’s open game for NetSuite…

  5. Can traditional software companies embrace SaaS without Disruption? | Paul Miller

    [..] at rising maintenance costs for SAP’s existing installed product base, the company must surely regret not having a good news story to tell about a product that requires no hardware or upgrade investment on the part of their customers. Zoli Erdos at CloudAvereportsthat NetSuite has jumped on this opportunity too, claiming a [..]

  6. Zoli Erdos

    I think Dennis answered his “hubris” comment in his own post written a few months later:

    “Question: why is SAP allowing this to happen when it has ByDesign languishing? I wish I knew.”

  7. If it Swims Like a Duck and Quacks Like a Duck, then it Probably is a Duck. The Anti-SAP Duck.

    [..] Are enterprise software fees outrageously high?  Probably… see my old post on how SaaSsubscription can be halfof only the maintenance component of traditional software’s TCO.  Do System Integrators, Consultants overcharge?  Probably … although let’s be real, they charge whatever they can get away with, i.e. whatever the market allows. Hence alternatives are good – SaaS, nimble, less expensive third party providers and even strategic client-side consultants like Vinnie and Ray who can make a decent living on advising customers on how to reduce their ERP TCO.  The market is all about competition and and market players have to take sides, no shame in that. [..]

  8. If it Swims Like a Duck and Quacks Like a Duck, then it Probably is a Duck. The Anti-SAP Duck.

    [..] Are enterprise software fees outrageously high?  Probably… see my old post on how SaaSsubscription can be halfof only the maintenance component of traditional software’s TCO.  Do System Integrators, Consultants overcharge?  Probably … although let’s be real, they charge whatever they can get away with, i.e. whatever the market allows. Hence alternatives are good – SaaS, nimble, less expensive third party providers and even strategic client-side consultants like Vinnie and Ray who can make a decent living on advising customers on how to reduce their ERP TCO.  The market is all about competition and and market players have to take sides, no shame in that. [..]

  9. NetSuite Fights Hairball Epidemic with New Release and Edgy Marketing Campaign

    […] a word on that corporate expansion: the big fanfare is always on the NetSuite vs. SAP challenge, where NetSuite has clearly taken business away from SAP, largely due to their own delays with […]