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Core Business Metrics 2019

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Professional Services in SaaS

[et_pb_section admin_label=”section”][et_pb_row admin_label=”row”][et_pb_column type=”4_4″][et_pb_post_title admin_label=”Post Title” title=”on” meta=”on” author=”on” date=”on” categories=”on” comments=”on” featured_image=”on” featured_placement=”below” parallax_effect=”on” parallax_method=”on” text_orientation=”left” text_color=”dark” text_background=”off” text_bg_color=”rgba(255,255,255,0.9)” use_border_color=”off” border_color=”#ffffff” border_style=”solid”] [/et_pb_post_title][et_pb_text admin_label=”Professional Services in SaaS” background_layout=”light” text_orientation=”left” use_border_color=”off” border_color=”#ffffff” border_style=”solid”] Software companies that sell to enterprise and governmental markets have historically had a constructive and lucrative relationship with professional services. This has been particularly true in enterprise and government sales. Several years ago, Softletter published an article about the purchase by Rhode Island of a new client/server system to replace an antiquated Wang system that helped run the state’s judiciary scheduling and processes. It was roughly a

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Collecting VAT on SaaS: What Rules Apply?

by Michael Whitener, VistaLaw For most of us, the tax man has already come and done his damage for the tax year, taking his allotted pound of flesh from our personal and/or corporate accounts. So with memory of that pain still fresh, it may be worthwhile to look at how a specific type of tax—the value-added tax (VAT)—applies to sales of Software as a Service. In an earlier article,  we looked at the impact of U.S. sales taxes on software transactions, including delivery of SaaS. We saw that this area is very murky, but that an increasing number of states

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As the Named Subscriber Model Falls from First Place, What SaaS Providers Can Learn from Telecom Billing

by Ben Bradley When old becomes new again, ISVslook to telecom for pricing inspiration. For decades, the telecom industry has been honing what other industries are only now getting into–business models that start with simple subscriptions, then add complex pieces such as sign-up/activity/event fees + bundles + add-ons + incentives + promotional products. This reality is driven home by the results from Softletter’s recent SaaS survey. I was lucky enough to obtain an early look at some of the key findings and was struck by the fact that “transaction” or, as I tend to think of it, activity-based billing had

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Business After Windows: Why the Microsoft Desktop OS Model is Irretrievably Broken and What the Future Holds, Part II of II

by Merrill R. (Rick) Chapman, Softletter Managing Editor In Part One of this article, we took a look at the impending demise of the desktop monolith as epitomized by Microsoft and the problems it’s had with the industry’s most successful product of all time, Windows. In the interval, it’s easy to see that Microsoft itself understands that the current Windows model is in trouble. A couple of weeks ago, Microsoft announced “Universal Windows,” a write once, run on all device strategy. Windows for smartphones is now free to developers. Office is now available on the iPad. A few days ago,

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The (Usual) Folly of Marketing Multi-Tenancy in SaaS

Of all technical issues debated in SaaS, multi-tenancy is the best opportunity for geeks to relive the halcyon RDMBS (relational database management system) wars of the ‘80s, where magnificent technical crusades were periodically launched on behalf of dozens of various products and companies all proclaiming that only they practiced the True Relational Faith. Ah, the good old days, when you could show off your geek credentials by discussing tuples and domains instead of rows and columns. Oh, the joy of pointing out that product X adhered to only three normal relational forms, while product Y adhered to four. Sheer heaven

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Silly Agility: The Myth of the Saas Agile Product Manager, Part I of II

by Merrill R. (Rick) Chapman We’ve been seeing a great deal of industry press these days discussing “the Agile Product Manager.” There are a plethora of new books, new training courses, and new “tools” that are supposed to transform yesterday’s slow and sluggish product manager into a new sort of sleek, streamlined being, something akin to Tony Stark in an Iron Man suit streaking through the sky on a mission to save the software industry from the Sloth Monster and pull trapped revenues and profits from the Slough of Despondency. Unfortunately for all involved, these articles, training courses, and tools

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Business After Windows: Why the Microsoft Desktop OS Model is Irretrievably Broken and What the Future Holds, Part I of II

In 2006, when writing the second edition of In Search of Stupidity, Over 20 Years of Marketing Disasters, I made some observations about the future of Microsoft looked at through the lens of IBM’s fall from the pinnacle of high-tech power through the 90s and early into the millennium. “…IBM had become too large for anyone to coordinate its various components into a strategic “whole”; the company was simply too big to coordinate the differing agendas of its myriad numbers of divisions, business units, initiatives, alliances, channel, and so on, and so on, into anything resembling a coherent plan. At the

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Silly Agility: The Myth of the Saas Agile Product Manager, Part II of II

by Merrill R. (Rick) Chapman, Softletter Managing Editor This has changed with SaaS. Take a look at the results from our 2012 SaaS survey below: How often do you release a “major update” of your SaaS product to your customers? (A “major update” is defined as including significant new features and functionality, not just incremental improvements and bug fixes)? Less than once a year 7% Once a year 15% Twice a year 16% Three or more times a year 21% We do not have a “timed” or set release schedule; we release new features as they are ready 27% Other,

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Customization in SaaS: Drawing a Line in the Sand

One piece of criticism constantly aimed at SaaS is that it’s not as “customizable” as on-premise software. Before examining this claim, we need first to define “customization” from the perspective of licensed software to provide the proper context. Traditionally, “customization” meant a change to the application source code or the creation of a module for a specific client, often with the result that the vendor ended up maintaining a branch of source code to support each client. With custom modules, the vendor would maintain only the modules’ source code but had to ensure that subsequent releases of the core product

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The Worst Company Name Ever

by Merrill R. (Rick) Chapman In addition to being the editor of Softletter, I’m ALSO the author of In Search of Stupidity: Over Twenty Years of High-Tech Marketing Disasters, a book that’s about just what it says. And when I see something I regard as truly dumb, I take notice. A couple of weeks ago I received an E-mail from an Indian outsourcing company called “Panzer Technologies” offering their SaaS development services to moi. Here’s an excerpt from the E-mail: “Dear Manager, Hope you are doing good today. My name is Ranveer Singh, Sales Support Specialist with Panzer Technologies. We

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Rick Chapman

Find out more about Rick’s latest book, the latest edition of In Search of Stupidity: Over 40 Years of High-Tech Marketing Disasters.

John Miller

John has been working in the IT industry since the 1980’s firstly as a Sales and Marketing Director including Techex a global distribution company, Olivetti, Norsk Data and Intergraph

He was a founder member of Delta Channel Services  back in 1995 and has since visited over 40 countries consulting, speaking at channel conferences and delivering training workshops

John has launched several SaaS based business, a Non Executive Director to several start ups and is based in the UK