MSPmentor

Sometimes, managed service providers ignore deep, informative, free information about their industry and the overall economy. One of the easiest ways to gather valuable information is to listen to investor conference calls. As a case in point: Salesforce.com is scheduled to announce quarterly results on February 28. The news will surely give Wall Street — and solutions providers — a much-needed software-as-a-service (SaaS) reality check. Read More >

Generally speaking, software as a service (SaaS) is a great business model for tech companies and their customers. But a flood of press coverage has suggested that SaaS specialists are immune to an economic slowdown or recession.

Once again, MSPmentor wants to go on the record stating that this just isn’t true. The latest example: RightNow, a leading SaaS provider, has delivered a disappointing financial forecast. Here’s a quick look at the situation at RightNow, and some big-picture thoughts on SaaS. Read More >

Talk about a short honeymoon on Wall Street. When NetSuite, the software-as-a-service (SaaS) darling, went public a few weeks ago the stock skyrocketed. Now, Citi is telling investors to sell the stock. So what’s behind Citi’s recommendation? Read More >

Software as a service has caught Wall Street’s attention. One prime example: NetSuite has raised the anticipated share price for its initial public offering, according to a document filed with the SEC. Why should managed service providers care? There are two quick answers to that question.

First, NetSuite promotes tools that allow MSPs to focus on “micro verticals.” Instead of writing a hosted accounting program, for instance, you can write a hosted accounting program that only targets dentist offices. If you’re already serving a vertical market niche, NetSuite can help to further exploit that niche with targeted accounting applications.

Second, NetSuite is accelerating the shift from on-site server applications to hosted applications, where recurring monthly fees are the norm.

As Jeff Kaplan from Think IT Services points out, on-demand services have serious momentum heading into 2008. And I firmly believe the line between managed services and SaaS will continue to blur.

Managed service providers should keep a close eye on NetSuite this month. The hosted accounting software provider is launching its initial public offering on our about December 20. NetSuite’s performance on Wall Street could provide some clues about the evolving software-as-a-service landscape. Read More >

For many managed service providers, hosted email represents a first foray into software as a service (SaaS). But email is a commodity these days — a nice, basic offering that pays decent dividends but won’t make you rich. If you’re looking for growing SaaS opportunities, it might be time to embrace hosted CRM (customer relationship management) or business intelligence. Here’s why.

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