The cloud software market is presently in a fighting mood, with SAP and NetSuite taking pot shots at one another as they host their user conferences across the U.S in the same week.
This has prompted the frequent evaluation of NetSuite’s platform verses the business management solution. In a bid to evaluate the two, it is important to begin the journey by analysis of SAP’s solution messaging.
The first question that will rock your mind is, why three solutions?
• Is it reasonable enough to think that a three-solution approach was representative of the grand vision of somebody? It’s not easy picturing SAP visionary-executive pitching a three-solution strategy to enthusiastic board room.
• Can the mid-market benefit from having the 3 solutions choice from a single vendor? Seems the market will gain from funneling all the three development resources solutions into a single channel.
• Is it probable that the three solutions could be representing acquisitions that were positioned for the mid-market? In fact, history very well proves the trail of acquisitions.
• Will the 3-solutions approach be more likely representing the positive existence of a grand vision or the absence? (It is rhetorical)
NetSuite: Focused on dominating the ERP market as it courts the cloud service.
SAP: dedicated to the technology that they pioneered.
SAP: SAP Business ByDesign, SAP Business One, SAP Business All-In-One
Overall Marketing Messages:
NetSuite: Single cloud-based software, One database drives ERP, E-Commerce, CRM and includes an application development platform.
SAP: Provides midsize companies and small businesses with multiple software solutions which include: SAP Business One, SAP Business All-in-One and SAP Business ByDesign. The software provides the depth of information that you may need for complete visibility into your business processes. This helps you to drive operational efficiency, excellence, growth and smart decision making.
Looking at the NetSuite vs SAP Target Market:
Target Market of NetSuite: was initially branded ‘Net Ledger’ (cloud version of QuickBooks). Thus, small business was NetSuite’s initial target market. Since then, many events have taken place and they have driven NetSuite’s solution up-market. One, cloud business solutions have become more widely adopted as well as universally accepted to be the next phase of any business application evolution.
Two, NetSuite application offering has tremendously increased in both depth and breadth.
Today, NetSuite is undoubtedly moving up-market in order to tackle more complex requirements. This doesn’t mean that NetSuite has ceased to be a solution for small business. NetSuite customers may be small in number today but they are growing rapidly and possibly foreseeing the increasing complexity in business requirements.
SAP juggles some words in its description of the ideal customer. According to its site, their three products: Business One ByDesign and Business All in One, target the very customers who use slightly differing language.
Here is an example:
- ByDesign: Small or midsize companies with high growth, that would like to limit their IT infrastructure
- Business One: Only small businesses that fully want to integrate their business and grow.
- Business All In One: fast growing small companies or midsize companies with the drive to optimize their business performance