Plays In the Enterprise - Again Plays In the Enterprise - Again

Summary: Back in 1999, I was a user and at that time, it was a rather kludgy sales force automation application that didn't do much right - for example if I tried to export a .


Back in 1999, I was a user and at that time, it was a rather kludgy sales force automation application that didn't do much right - for example if I tried to export a .CSV file it gave me an .XLS file and vice versa.  I read something by Marc Benioff then that said, "we are going to be the leading enterprise application provider" (or to that effect) which spurred me on to criticize them for their statement - which at the time I saw as ridiculous.

That led to Marc Benioff, who got wind of it because Salesnet had taken my criticism of and put it up on their website, to send me a note that said pretty much literally:

"I love to convince skeptics. Can I take a crack at you?"

My email back to him was:

"Take your best shot."

Which he did and, to his credit, with a few great-story-to-tell glitches, he convinced me.

That's why I saw the recent announcement about their their joint venture, alliance, minority investment, in Unit4 Agresso to create as something both fascinating and even a little ironically amusing given that decade ago comment by Marc.

What It Is seems to be's/Unit4 Aggresso's joint effort to enter the financial/accounting market in the cloud.  Coda 2Go, the original product, now rebranded is already built on the platform so this isn't a technological stretch at all.  Given my at least rudimentary knowledge of accounting software and its market place (though I'd trust Dennis Howlett's excellent September 30 take on this before I'd trust mine), this move has advantages for both salesforce.coma and Unit4 Aggresso.  For, they get a created, functionally solid accounting package - they don't have to build their own.  From  the Coda 2Go perspective, despite CEO's Jeremy Roche's comments in Destination.crm's Jessica Tsai's very good article on this joint venture about their "distinct branding strategy" from (yeah, right, that's gonna be really easy to distinguish), this gives them a mighty sword to go to market with.

Here's what their home page looks like for those of you who think that this cloud offering is merely vapor. Home Page Home Page

My Take on It

I'm not clear on what market they are going after yet.  If its the same market as  NetSuite goes after - the midmarket to upper midmarket, with some bleeding into the larger enterprises, that means that Financialforce is going to put itself squarely in the wheelhouse of SAP also - and Oracle for that matter though SAP probably has more to worry about. But it doesn't stop there.  On the lower end, Financialforce might be competing with financial software juggernaut Sage - which as you may know is much larger in the backend systems market then they are in CRM - not that they're slouches in CRM either. But the bulk of their nearly 6 million customers is ACT! and their varying financial packages.  Plus we got Intuit in the mix here too - who are arguably the small business leader - period. Then there's Microsoft.... In other words, this is not going to be easy for this new venture, though I don't doubt some measure of success since they seem to be able (from what I've seen) to be competitive at least in their functionality.  But its a really tough market to be in because it's very mature when it comes to the quality and range of offerings.

I never count out a venture - especially in a market one they set their sites on 10 years ago.  Back then Marc B. convinced a skeptic. Now he has to convince a believer that he can play in the back office. The cloud makes this promising and something of a differentiator. I think it is great that they've made the plunge. They seem to be successful in the areas that they get into more often than not - see the recent Customer Interaction Center announcement combining  their Service Cloud 2 offering with the Cisco Unified Communications Platform for example.  But this is a different kettle of fish - a busy market  that doesn't look for an innovator, though any newcomers (which they are despite Coda 2Go) still need to be an original to succeed.

Topics: Software, Enterprise Software

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  • Thoughts from a Sage ERP/CRM business partner

    If Salesforce did it once with CRM, then who is to say that they
    can't do it again with accounting. I'm not counting them out.

    At this point FinaincalForce is strictly a financial accounting
    package. Sage, Microsoft, and Intuit all have established
    modules that are tried and true (for the most part). It will be
    interesting to see is how Salesforce's applications for order management, Inventory, manufacturing etc... integrate to
    FinancialForce. Will FinaincalForce develop their own
    applications that integrate?

    On the other hand what Salesforce has is the cloud Platform. So it will
    be interesting to see if the other ERP providers rush to develop
    one of their own, rent one, or do nothing at all..

    Only time will tell.. Your guess is as good as mine, but as Sage Select
    partner I might have to start weighing my options.. it's never
    good to have all your eggs in one basket (especially when that
    basket doesn't market!!)
  • RE: Plays In the Enterprise - Again

    My big question is the internationalization of the product. One great strength of the cloud is its relative ease at reaching foreign markets. This has worked really well for SFDC's CRM push. With accounting, every country has a different set of financial rules. Will they be able to manage this beast or will they simply limit their market reach to the USA?
    Leon Tribe