Mobility Perspectives from Intel’s 2014 Solutions Summit

I recently had the opportunity to moderate a panel discussion at the 2014 Intel Solutions Summit with panelists Bob Moore, Founder, RJM Strategies LLC; Jeffrey R Zavaleta, MD, Chief Medical Officer, Graphium Health, an integrated, mobile electronic medical records (EMR) platform; and Dave Bucholz, Director of Enterprise Client Strategy, Business Client Platform Division at Intel. We chatted about how companies are adopting and using mobile solutions in their businesses, and some of the challenges they face.

Our conversation was very interesting, as mobile is one the fastest growing technology trends in small and medium business (SMB). Because mobile devices and apps are so user-friendly, SMBs can deploy them quickly. As a result, mobile solutions are quickly revolutionizing how SMBs get work done. In fact, 91% of SMBs already use mobile solutions in their businesses, according to 2013 SMB Mobile Solutions Study, and 67% of SMBs indicate that “mobile solutions are now critical for our business,” as shown on Figure 1.

2013 SMB Attitudes re Mobile (1)Figure 1: SMB Attitudes About Mobile Solutions

As we discussed during the panel, SMBs understand that mobile solutions not only help improve employee productivity, but also enable them to improve customer experiences and fuel business growth. In fact, 70% see mobile apps as a “complement to current business applications”, and 55% think that mobile will replace some of their existing business applications.

So it’s not surprising that mobile solutions are gobbling up a growing share of SMB technology budgets. SMBs currently spend about 11% to 20% of their technology budgets in the mobile space, and 68% expect they will need to spend more on mobile solutions next year.

However, panelists also agreed the rapid and explosive growth of and reliance on mobile solutions has caught many SMBs off-guard, resulting in some key challenges, as we also found in our study (Figure 2).

2013 top mobile challengesFigure 2:  Top Challenges to Using Mobile Solutions

SMBs often find it difficult to manage the growing plethora of mobile apps for employees, especially as SMB adoption of “bring your own device” (BYOD) policies for employees doubling over the past year to 62%. SMBs also have more customer-facing mobile apps and mobile-friendly websites to manage as well.

With adoption of and reliance on mobile solutions rising, SMBs are looking for management solutions to help them to:

  • Remotely install, update and remove managed apps from devices.
  • Track and view installed/approved/blacklisted apps at the user/device level.
  • Authenticate, manage and deploy apps based on user groups/roles and restrict content access.

Security concerns are behind many of these requirements. SMBs want solutions that enable them to:

  • Lock devices when devices are lost or stolen, or the employee leaves the company
  • Provide data encryption on devices
  • Partition/separate business-related data apps from personal data and apps

In addition, rising adoption of mobile payments and other apps that collect personal information is spiking SMB security concerns on the external app side as well.

Perspective

SMBs look at mobile solutions and like the value that see from them. Consequently, they plan to increase investments both for employee apps, and for external-facing mobile websites and mobile apps.

At the same time, BYOD shows no signs of abating. Employees want to use the devices that they’re most comfortable with, and some SMBs view BYOD a way to trim voice and data service costs. But at the same time, BYOD ushers in additional security and management challenges that can result in added costs can change this equation.

As our panelists discussed, this means that SMBs need to be more strategic upfront about using mobile in their businesses. Think not only about the devices and apps you want to use, but who will use them. Consider both the business outcomes you need from mobile solutions–and the management capabilities you’ll need to have to safeguard corporate and customer information.

Mobile management, security, and consulting services spending categories will see significant spending increases as SMBs endeavor to reap more value from and do a better job managing an increasingly complex assortment mobile devices, services and solutions. Given that many SMBs lack adequate IT resources and mobile expertise, we expect that they will increasingly turn to external solutions providers to get the management job done.

For more commentary on this, see the follow-up video interview.

Discussing SMB Tech Trends: Part 2, Mobile Applications and Management

Recently, I was a guest on Act Local Marketing for Small Business with host Kalynn Amadio. Each week, Kalynn shares information and actionable tips to help inspire and motivate small and medium businesses (SMBs) reach their business goals.  On this episode, Kalynn and I discussed SMB Group’s 2014 Top Ten SMB Technology Trends and what they mean to the marketing and running of your business. The second of a four-part series, this post summarizes our discussion of “Mobile Management Becomes a Priority as SMB Mobile App Use Soars.”

free multiple mobile devicesKalynn:Welcome back to Act Local Marketing for Small Business, Laurie. The next trend I’d like to discuss is mobile and mobile management and mobile app usage in the SMB market.

Laurie:Well, what we’ve seen with mobile is really fascinating.  I’ve never seen adoption in a technology area occur at such a fast and furious pace. It’s been just unbelievable since the iPhone was launched.

The iPhone changed everything because it personalized the devices, and spawned this whole app ecosystem, and it just made these phones that we all now carry around become critical in our personal lives and in our businesses. 

As a matter of fact, 67% of SMBs now view mobile solutions and services as critical to their businesses. That’s kind of unbelievable considering just a few years ago you probably had a dumb phone and you might have relied on it but nothing like we rely on our phones now. 

Kalynn: So what kind of mobile apps are SMBs using?

Laurie: Basic collaboration appscalendars, emails, messaging and contactsare already mainstream. About 83% of SMBs use them. 

Slide1SMBs are also adopting mobile apps for very business-specific functions. So, for things like order entry or inventory lookup, or to log time and attendance or enter payroll. Mobile is becoming part and parcel of how we conduct business.

Almost half of SMBs also either have or are planning to build a mobile-friendly website to engage customers using mobile devices. Sometimes you don’t even have to build it. If you have a WordPress site it’s automatically mobile friendly. 

Kalynn: Right, many themes now are mobile-enabled, and adjust depending on the size of the screen. 

Laurie: If you’re not doing this, you need to. It’s so frustrating to go to a site and have to keep adjusting the screen to read the text because it’s not mobile-friendly.

Some SMBs are also starting to deploy specific mobile apps to engage with their customers and prospects for appointment scheduling and payments, and things like that.

Kalynn: Do they develop their own proprietary mobile apps?

Laurie:Not necessarily. For instance, restaurants may use something like OpenTable. My hair salon uses a mobile app that lets me book and confirm and all that kind of stuff on my mobile device.

Some SMBs are also developing their own mobile apps or paying third parties to develop tailored apps for them.  Most of the backend applications that SMBs use have mobile app extensions, which are often available on Apple and Android app stores. If the right mobile app is available and can snap into your existing app, that can do the trick.

Kalynn: There’s absolutely no need to do customized right off the bat because so many apps are already out there that you can be a part of.

Don’t forget that in terms of making sure you’re getting found online, because  I’m always thinking in terms of SEO or Search Engine Optimization, a lot of these review sites like Yelp have mobile apps. People will go on them to check reviews about your business, more often than not from a mobile device. I’m not sure I remember the exact statistic but it was something 68% of people have their mobile phone within arm’s reach at all times. 

Laurie:It may be even higher. Also I think we’ve already passed the point where more searches are done on a mobile device than on a laptop or traditional PC or MAC.

Slide1So this makes mobile management critical because it’s a given that our reliance and use of mobile apps will continue to rise. SMBs must keep pace with the mobile explosion. You need to be able to manage not only the mobile devices in your company but also internal applications that your employees are using. 

With any mobile applications, security, management and provisioning are very important. If you’re not yet doing anything, in this area, the time has certainly come.

Kalynn: Right, you have to because employees are using so many devices and apps. Bring Your Own Device (BYOD)  means that companies are less apt to supply people with devices. Everyone has a favorite and they have to all work together.  You really have to think about mobile policies and procedures  for mobile devices and various apps.

Laurie:Yes, fortunately there are a lot of vendors that have mobile management solutions now geared towards SMBs from vendors like AirWatch or MobileIron. And from vendors that you might already be doing business with like Dell or HP or IBM. A lot of them are cloud-based, so that makes them easier to deploy and use.  

Kalynn: Right, and I’m sure there are tons of consultants that work with these solutions and can help you figure it out too.

In the third of this four-part series, I’ll recap Kalynn’s and my conversation about “SMBs View Payment Systems in a New Light.” You can listen to the complete podcast here.

 

 

                       

Six Surprises That May Change Your View of Dell

Dellworld 2013Dell’s journey to transform itself from a hardware company to a solutions vendor has been ongoing for a couple of years. To achieve that, the company has been acquiring, building and blending hardware, software, services, cloud and open standards to broaden its technology footprint. But, much of Dell’s progress has been buried in the drama of the fight to take the company private.

As the first major event since the company’s tumultuous–but ultimately successful–struggle to go private, Dell World 2013 promised to be somewhat of a bellwether. Would Dell, newly freed from Wall Street’s constraints, reframe itself as innovative, end-to-end solutions provider?

Of course, one event won’t change things overnight. But Dell is off to a good start. At Dell World, the company unleashed, unveiled and underscored a comprehensive, innovative vision for its future. If you still view Dell as a stodgy hardware provider, here are six things it is doing that may surprise you–and prompt you to look at the company in a new light.  Consider that Dell is:

  1. Becoming an über-cloud provider: Except for its role as an arms supplier, the cloud has been a murky space for Dell. But at Dell World, it announced that Microsoft, CenturyLink, Dropbox and Google are on board with its expanded Dell Cloud Partner Program which is designed to give customers more choice and flexibility in the cloud, and to provide end-to-end support for offerings from multiple cloud vendors. For instance, customers gain the ability to manage single or multiple public, private and hybrid clouds through one pane of glass via Dell Cloud Manager (formerly Enstratius).
  2. Enabling customers to build open, private-cloud solutions based on Red Hat Enterprise Linux OpenStack PlatformDell is the first OEM vendor to collaborate with Red Hat to provide businesses with co-engineered solutions and dedicated support and services for OpenStack. The goal is give businesses more confidence in using OpenStack as an alternative to proprietary IaaS and PaaS (infrastructure and platform as-a-service) alternatives.
  3. Consolidating channel and direct sales teams into one organization: To support its transition from hardware maker to solutions provider, Dell announced that it is combining direct sales and partner sales into a single organization–and providing a 20% “compensation accelerator” to motivate direct sales to work with channel partners on seven solution areas. Dell also announced expanded profit and coverage opportunities for partners, including turning over 200,000 named accounts to the channel.
  4. Innovating in industries: I knew that Dell is a top technology provider in the healthcare industry, much of this a result of its acquisition of Perot Systems. But didn’t know that it is the top IT provider in healthcare, and is helping pioneer change in this quickly evolving industry. For instance, Dell Services helped launched a state exchange for the Massachusetts Health Connector, and manages and secures Dell Cloud Clinical Archive, one of the largest (with nearly 7 billion images) cloud-based, vendor-neutral medical image archives in the world. At Dell World, te company announced a new cloud-based hospital administration system (HIS), which will launch first in India. Dell is also increasing its focus on other industries, including finance, where it has launched digital transformation frameworks and payment transformation services to help banks reduce costs, retain customers and improve compliance. In the insurance area, Dell has won more than 10 multi-million dollar contracts in the last eighteen months with its Third Party Administration platform.
  5. Going mobile. Sure, you know that Dell has mobile devices–from the new convertible (laptop to tablet) XPS 11 and Venue 11 Pro tablet to the newly released Dell Chromebook 11 (designed for the education market). But, building on prior solutions , Dell announced Enterprise Mobility Management, a unified mobile management solution to managed devices, apps, and content, and Secure Remote Access Gateway to protect endpoints, which will be available through the channel in 2014. I also learned that Dell Services offers custom mobile app development.
  6. Extending its investments in innovation: In his keynote, Michael Dell unveiled two new programs designed to foster innovation. First, Dell has created a research division to pursue organic innovation with a five to ten-year focus. Second, Dell has upped its investment in Dell Ventures with a $300 million dollar Strategic Innovation Venture Fund, a five-fold increase over its initial $60M investment. The Venture Fund invests in early to growth stage companies in the technology areas that Dell is focusing on–storage, cloud computing, big data, data center, security and mobility. Dell’s model is to co-invest with venture capitalists, serve as a board advisor, and provide product and go-to-market resources to the companies it invests in. Dell also reaffirmed its pledge to provide a broad range of entrepreneurs with technology, financing, networking and knowledge via the Dell Center for Entrepreneurs. It highlighted this focus with Dell Pitch Slam which attracted 6-8 late stage startups from several regional events to Dell World, where they pitched their ideas to Michael Dell and other judges. Check out the winners–Guavus, Neverware, and Fantoo.

Summary and Perspective

M DellMaybe as important as the collective weight of all the announcements offered at Dell World 2013, Michael Dell deserves high praise for not only retaining so many employees, but for inspiring staff to stay the course through the trials and tribulations of the privatization process.

As Dell stated in his keynote, “I feel I’m part of the world’s biggest start-up.” His attitude seemed to be contagious among employees, creating a sense of excitement that I hadn’t seen at the past two Dell World events. This renewed commitment and energy from within is the essential first step to a successful transformation, and getting customers and the broader market to view Dell in a new light as well.

Disclaimer: I attended Dell World as an invited media guest.

SMB Group Top 10 SMB Technology Trends For 2014

Here are SMB Group’s Top 10 SMB Technology Trends for 2014! A more detailed description of each follows below.

1.     Progressive SMBs Use Technology as a Game Changer
2.     Cloud Adoption Accelerates, But SMBs Steer Clear of Dark Clouds
3.     Mobile Management Becomes a Priority as SMB Mobile App Use Soars
4.     Social Media Marketing Stalls as SMBs Re-focus Marketing Practices
5.     SMBs View Payment Systems in a New Light
6.     SMBs Prepare for the Insight Economy
7.     SMBs Integrate to Gain Higher Solution Value
8.     The Affordable Care Act Puts Workforce Management in the SMB Spotlight
9.     It’s Easy for SMBs to Go Green and Save Green
10.  Make Way for an SMB Influencer Shake-Up

2014 Top 10 SMB Technology Trends in Detail

  1. Progressive SMBs Use Technology as a Game Changer. Technology continues to fuel changes in what, where, and how SMB (small and medium businesses, with 1 to 999 employees) work gets done. Back in 2011, SMB Group identified the “Progressive” SMB segment. Progressive SMBs invest more in technology-based solutions, view technology as a business enabler, and are much more likely to expect revenue growth than other SMBs. This gap continues to widen as we enter 2014, and is further fueled by generational shifts–including the rise of millennials in the workforce and older exiles from the corporate world. Progressive SMBs are blending technology and business savvy to reshape business models, carve out new market niches and invent entirely new businesses. Their adoption of cloud, mobile, social and analytics will soar as they strive for both growth and agility. They will also increasingly turn to technology-fueled services—from Elance and oDesk for staffing, to shared office space and IT infrastructure services—in pursuit of these goals. As they forge ahead, they will not only continue to outpace peers, but reshape what it means to be an SMB.
  2. Cloud Adoption Accelerates, But SMBs Steer Clear of Dark Clouds. SMBs have bought into the cloud promise: a faster, easier, cheaper and less risky route to get the IT solutions they need to create and run their businesses. SMB Group research shows SMB use of cloud business and infrastructure applications poised to grow to from 33% to 44% over the coming year. However, some cloud vendors—threatened by Wall Street and high churn rates—have backtracked on their original faster, easier, cheaper cloud pledge. They have replaced monthly subscription pricing with annual contracts, tacked on added fees for all but the most basic support, and created pricing models that are almost as confusing as those of the traditional software behemoths they once berated. As SMBs push further into the cloud, they will favor vendors that stay true to the original cloud promise, and steer clear of dark clouds.
  3. Mobile Management Becomes a Priority as SMB Mobile App Use Soars. SMBs have been adopting mobile solutions at a fast and furious pace. SMB Group research indicates 67% of SMBs now view mobile solutions and services as “critical” to their businesses. 83% have already deployed mobile apps to help improve employee productivity; 55% are using mobile apps for specific business functions, such as CRM or order entry. 49% of SMBs are building mobile-friendly websites, and/or deploying mobile apps to engage and transact with customers. However, mobile management has failed to keep pace with this explosion, and with SMBs’ increasing business reliance on mobile solutions. Concerns about security, manageability, provisioning and cost will make mobile management a top priority for more SMBs. They will be looking for easy-to-deploy, cost-effective mobile device and application management platforms and solutions to reduce management headaches and get more value from their mobile investments.
  4.  Social Media Marketing Stalls as SMBs Re-focus Marketing Practices.  Many SMBs now “get” that they need a social media presence. SMB Group research reveals that more than half of small businesses and more than two-thirds of medium businesses use social media for marketing purposes. Some have invested tremendous amounts of energy to create content to feed the voracious social media beast. But the ever-increasing pressure to create fresh content, keep up with changes in users’ social network preferences, and uncertainty about the return on social investments is taking its toll. In 2014, SMBs will focus more on what networks and content really click for their target audiences, and put more time into figuring out how to convert social connections into customers. Some will integrate social more tightly with sales, marketing and content management applications, and use analytics to develop more actionable social metrics. Marketing innovators will explore new opportunities, such as online mobile advertising powered by geolocation. Others will redirect some of their efforts back to marketing basics–including surveys, competitive analysis, email marketing and attending more conferences and events.
  5. SMBs View Payment Systems in a New Light. SMB Group research shows that although checks and credit cards are still the top forms of payment SMBs accept, there’s no question that new payment methods are growing in use and importance. 27% of small businesses and 43% of medium businesses already equip employees with mobile payment processing solutions, and about one-quarter of SMBs intend to add this capability over the coming year. Meanwhile, mobile wallets and gift cards, PayPal and even Dwolla—a payment network that allows any business or person to send, request and accept money for very low fees—will continue to provide additional payment options for consumers. More SMBs will recognize that having the capability to accept and process a broader range of payment methods can help them attract more customers, gain new business, and even enter new markets. SMBs will also seek ways to cut time and errors out of payment processing with payment solutions that integrate with accounting and ERP, such as those offered by Intuit and Sage.
  6. SMBs Prepare for the Insight Economy.  It’s been hard for many SMBs to relate to the “big data” story that most vendors have been pitching. SMB Group research reveals that only about 18% of small, and about 57% of medium businesses utilize business intelligence and analytics solutions. However, SMBs understand the value of getting the information they need, when they need it—especially as they try to compete with new, nimble born-on-the-Web startups that view data as the new business capital. In 2014, SMB-focused vendors will retool the big data story for the little guy, focusing less on zettabytes, speeds and feeds, and more on how their solutions enable and empower better insights and decision-making. Business solutions vendors will embed better and more accessible analytics and reporting tools within their solutions. Cloud-based, visualization and scenario-driven business intelligence and analytics solutions will also help SMBs take a more data-driven approach to running their businesses.
  7. SMBs Integrate to Gain Higher Solution Value. While the cloud has made it easy for businesses to add a lot of new applications, integration has often been an afterthought. As a result, many SMBs are struggling to make sense of disconnected information silos, and IT is under pressure to integrate cloud-to-on-premises solutions, as well as cloud-to-cloud solutions. In 2013, integration moved up from the #4 to the #1 technology challenge for medium businesses. In 2014, we expect that integration will be a higher priority even among small businesses. After all, it doesn’t take too many disconnected applications to feel the pain of productivity drains, errors, and a lack of solid data to support decision-making. Fortunately, technology vendors of all stripes are emphasizing the importance of a unified, reliable data store as the foundation for solid analytics and reporting. Business solution vendors are increasingly offering SMBs pre-integrated suites, opening up their application programming interfaces (APIs), and creating marketplaces to make it easy to find integrated partner apps. This makes it easier for SMBs to start small, with just one or two applications, and then snap in added functionality as needed. Finally, vendors that specialize in integration solutions, such as Informatica, Scribe and Dell Boomi (just to name a few), are making their solutions more accessible to SMBs. Integration still isn’t sexy, but the improved productivity, time savings, error reduction and decision-making benefits that it enables are.
  8. The Affordable Care Act Puts Workforce Management in the SMB Spotlight. Revenue growth, attracting new customers and increasing profitability are perennial goals for SMBs.  To help achieve these goals, they have been steadily moving ahead to automate and integrate sales, marketing and other customer-facing solutions. Although improving employee productivity has also been a top goal, SMB adoption of automated, integrated workforce management solutions has lagged behind other areas. Many SMBs continue to limp along with a patchwork of disconnected solutions and manual tracking to manage components such as time and attendance, payroll, scheduling, HR and benefits.  But with the Affordable Care Act set to take effect on January 1, 2015 for organizations with more than 50 full-time equivalent (FTE) employees, that situation is about to change. Worried about uncertainty, costs and regulatory risks, SMBs will look for better solutions to calculate employee eligibility and benefits, and to develop proactive strategies to manage ACA compliance and costs. This will drive a significant uptick of interest in, and adoption of automated, integrated workforce management solutions.
  9. It’s Easy for SMBs to Go Green and Save Green. The push for greener IT solutions isn’t new, but in 2014, we’re moving into a perfect green storm. Due to a rash of hurricanes, tornadoes and extreme weather, the sustainability of Mother Earth is taking center stage. According to a recent Harris Poll, over 74% of American adults believe in the global warming theory, and over 73% of U.S. citizens approve of the Kyoto agreement requiring countries to limit carbon monoxide and greenhouse gas emissions. IT vendors are prepared to capitalize on this opportunity with new, energy-saving products. From Dell’s Dell PowerEdge VRTX applications and storage server, which runs on standard 100V-240V AC power and doesn’t require any specialized cooling, to IBM’s patent for a “green” button that helps cloud providers “greenify” their businesses and lets customers choose whether or not to tap clean energy to run offsite servers, it’s easier than ever for SMBs to be green and save green.
  10. Make Way for an SMB Influencer Shake-Up. SMB Group research shows that in-house IT still plays a key role in all phases of the technology solution decision-making process. But now, enabled by the cloud and the swipe of a credit card, business decision-makers are much more involved: in small businesses, 69% of owners/presidents help evaluate potential solutions, and 81% help make the final decision. In medium businesses, departmental and line-of-business executives are the most likely personnel to identify the need for new solutions. This is changing the influencer landscape. Business decision-makers aren’t as likely to turn to traditional technology guidance sources as IT decision-makers. And many of us—especially millennials—are growing skeptical of traditional media sources that increasingly push paid “native content” in the guise of news. So who will the new influencers be? Accountants and other professional advisors (for line-of-business or industry) that the SMBs have an established relationship with will become more powerful influencers. Digital word-of-mouth, references, trade associations and non-technical groups and organizations will play an increasingly important role in shaping technology purchase decisions among both business and IT professionals. Finally, technology vendors that provide unbiased education—and can clearly demonstrate how business benefits from their solutions—will have a decided advantage over those that don’t.

About SMB GROUP

SMB Group focuses exclusively on researching and analyzing the highly fragmented “SMB market”—which is comprised of many smaller, more discrete markets. Within the SMB market, SMB Group areas of focus include: Emerging Technologies, Cloud Computing, Managed Services, Business and Marketing Applications, Collaboration and Social Media Solutions, IT Infrastructure Management and Services and Green IT.

AVG: Taking the Fear Factor Out of Digital Security

MH900363330Whether in our personal or professional lives, most of us love the ease of connecting, collaborating, and shopping online, whether in our personal or professional lives–anywhere, anytime and on any device. At the same time, we worry about the increasing privacy and security risks that we expose ourselves to in the digital world. But taking steps to safeguard our activities across myriad social, search, and shopping sites can seem overwhelming and futile. As a result, we simply keep our fingers crossed that our credit card info won’t get stolen or that we’ll unwittingly share things we meant to keep private.

It’s no a lack of security and privacy solutions that keep people from taking action, as there are hundreds of them. But most security and privacy vendors have taken an approach that is hard for many people to warm up to. For the most part, vendors have taken the FUD (fear, uncertainty and doubt) approach ratchet up anxiety about potential threats so we’ll buy their solutions to mitigate them. How many times have we read headlines from security vendors such as, “Vendor X Warns of New Android Vulnerabilities ” or “Security Vendor Y Identifies New Facebook Privacy Risks.”

In addition, while many security and privacy solutions get the job done, they’re often designed more for IT managers than users. As a result, end-users don’t use or keep them updated. Much worse, of course, are the black hat vendors that give “freemium” a bad rap by luring people in with free trials of purported security solutions that turn out to be malware that is designed to create security breaches and mess up your devices.

AVG logoFrom FUD to Enabling

Enter AVG with a fresh twist: to make it “safer, easier and more enjoyable to live life online.” At its 2014 launch event in New York last week, AVG unveiled its new branding campaign, updates to its antivirus and Internet security offerings, and some new solutions.

AVG’s new campaign speaks directly to users–whether individuals, families or small business users. Instead of using FUD (fear, uncertainty and doubt) as a motivator, the company is positioning its security and protection solutions as a means for users to take charge of their digital life. AVG gets that most of us like using the Internet to stay connected and conduct business, but that we would like greater peace of mind when we use it.

AVG also reiterated its long-standing commitment to provide robust free versions for its solutions so everyone can gain this peace of mind. For example, AVG AntiVirus FREE 2014 detects blocks and removes viruses, lets you control who tracks you, clean up your computer–and is sufficient for many users. Meanwhile, the paid version, AVG AntiVirus 2014 does all of the above, plus adds protection against spyware and new encryption capabilities to protect files.

AVG has also added a new File Shredder to all of its solutions (free and paid), which allows you to permanently and completely remove all traces of selected files from your computer. AVG also updated its comprehensive AVG Premium Security 2014, which provides antivirus, privacy and performance for PCs and Android devices. (AVG Linkscanner is a 2013 product that is available for Macs and IOS devices).

The company unveiled new device specific solutions, such as AVG Safe Browser for iOS devices. This  blocks unsafe sites and helps you identify which sites are collecting your data so you can decide if you want to allow block them or not. For Android users, AVG introduced AVG Cleaner to speed performance , and AVG Image Shrinker, to shrink and share photos more quickly. AVG also updated its mobile antivirus app , which now supports camera tracking by snapping a photo if it looks like someone has stolen your phone.

AVG also announced AVG CloudCare service module, which will be integrated within AVG’s Managed WorkPlace to provide AVG’s 1500 managed service provider (MSP) partners the ability to remotely monitor their customers’ device security measures from within a single dashboard.

PrivacyFix to Manage Privacy Across Social Networks

PF1While at the launch event, I installed AVG’s new PrivacyFix tool (a result of AVG’s acquisition of PrivacyChoice in May), which is free and now works on Android and iOS apps as well as all major web browsers. Ironically, at first I couldn’t get this to work because of a program I’d (unfortunately) downloaded a while back called Little Snitch, which is supposed to do x but which I found intrusive and ineffective. Turns out I had never really deleted all of it when I thought I had, and it was interfering with my PrivacyFix install.

With the gracious help of Jim Brock, AVG Vice President, Privacy Products, however, I rid my Mac of Little Snitch and powered up PrivacyFix, which is a very user-friendly tool to analyze your account privacy settings across Facebook, Twitter, Google and LinkedIn. With PrivacyFix, you can:

  • View and manage privacy settings for all of these apps from one place. The app identifies where privacy settings are weak, tells you the tradeoffs of increasing or decreasing privacy settings. When you click to change a setting, PrivacyFix, opens up the selected settings page in your account, points you to the area you need to fix and tells you how to do it.
  • Automatically cull out your “real” friends from casual acquaintances on Facebook–think Google Circles, but automated–with a “crowd control” capability.
  • Analyze tracking and privacy policies for thousands of websites to inform you of things such as whether they share your data with third-parties, or if they’ve had known data breaches.

It also has an interesting feature that shows you how much you are “worth” to Facebook and Google.

Perspective

AVG’s approach seems simple, but it has definitely been the road less traveled by security vendors. Instead of starting with all the things you should be scared of and likely don’t want to think about, the campaign focuses on helping you have a better experience doing the things you like to do online.

Of course, positioning alone is not enough. AVG’s willingness to back it up with a broad range of free yet capable offerings provides a solid foundation of trust–as well as a gateway to its paid solutions. And while other vendors struggle to make a freemium formula profitable, AVG formula has been very successful.  The vendors’ Q2 2013 was $100.4 million, up 22% from $82.5 million in Q2 2012, while net income was $21.7 million, up 95% from $11.0 million for the same period.

AVG’s strategy aligns with market trends and user behavior. As the variety of devices, sites and things we do online continue to expand and evolve, this course should continue provide positive differentiation for AVG in both consumer and SMB markets.

Sage Summit 2013: That Was Then, This Is Now

logoI’m a bit behind in getting my wrap up and thoughts on Sage Summit–Sage’s annual event for business partners and customers–together. But better late than never! As you can see in the related links at the end of this post, I’ve attended these events for many years. During this time, Sage North America has gone through many significant changes to bring sharper focus to its mission and more value to its customers. At this year’s event, I saw promising signs that these efforts are beginning to pay off.

That Was Then

Sage North America has been on a transformational journey since 2009, when Sue Swenson took over as CEO, made some tough choices, and began setting the wheels in motion to change the company’s downward trajectory. In the four years since, the company hired another new CEO, Pascal Houillon, in 2011. Under his leadership, Sage made some controversial (at the time) moves to unify the Sage brand and product names and divest Sage of seven non-core businesses, including ACT! and SalesLogix, which had large installed bases. To help streamline the company’s focus on its core business and on improving customers’ experience with Sage, Houillon also brought some fresh talent into the executive ranks.

This Is Now

The result of all this is a more focused, purposeful Sage. Gone are the days of trying (unsuccessfully) to rationalize an unfathomable number of overlapping products. On Houillon’s watch, it is unacceptable for Sage executives to position the Sage portfolio in different ways. At Sage Summit 2013, the executive team was singing from the same hymnal regarding Sage’s core positioning and messages:

  • Continue to focus on its core businesses (accounting, payroll, payment processing, ERP, etc) for very small businesses, SMBs and the midmarketSlide1. Key to executing on this is the company’s move to centralize R&D Centers of Excellence for cloud, mobility, customer experience. In the past, each individual product brand would undertake separate development efforts for new functionality. Now, Sage R&D develops new features, extensions and add-ons once (for mobility or analytics, for instance) that individual product groups can replicate across their solutions. Sage is also in the process (though not yet there) of standardizing service and support offerings. It launched Sage City, a new centralized online community for customers, business partners and employees, last month. And, Sage will make new acquisitions when needed to supplement its core solution focus.
  • Expand its connected services strategy and offerings. Sage is building more cloud services, such as SageExchange.com, Sage Mobile Sales, and Sage CRM, that connect to core financials and ERP solutions, as well as for partners to build and sell add-on connected services. The company’s big picture vision is to “liberate” data and services that had been locked into ERP so that customers can use them in the cloud, anywhere, anytime, and from any device. Sage is building a data cloud on Microsoft’s Azure platform with common connectors, bi-directional synch, multi-tenant storage and disaster recovery. This means that Sage connected services will work the same way regardless of the backend ERP/financials Sage customers use. This will all come together in the Sage Marketplace, slated to launch in FY14.
  • Going all-in on the subscription pricing and the cloud. Sage now offers subscription-based pricing for all of its solutions, and comps partners on a percentage of subscription sales over the life of a contract. It has also committed to developing cloud versions for its solutions, including a cloud version of Sage ERP X3, which will feature a user pure web experience when available in 2014.

Taking the Marketing Road Less Travelled

sage lisltensThe Sage commitment to putting customer experience first underpins these initiatives. Sage has several initiatives underway to up its listening game, such as the Sage Listens RV Relay, which is allowing Sage to also kick off a “Shop Local” campaign to encourage people to shop with local businesses.

In contrast to the “build it and they will come” tack that most tech companies take, Sage is taking its cue from the Proctors and Gambles of the world. It is getting customer input upfront before developing new products and functionality. Sage is hearing that customers want easy to use, flexible solutions, mobile capabilities and a low-cost of entry, and is concentrating resources on these areas. In fact, in one of the breakouts, when an analyst asked a Sage executive about social and big data plans, the exec said that customers are not calling these out as priorities. He added that while Sage isn’t ignoring these areas, it is prioritizing development and marketing based on customer input.

For instance, Sage recently launched Sage Healthcare Advisory Services , which includes a new “My Workforce Analyzer” tool to help SMBs understand plan for the Affordable Care Act. Analytics are under the covers, of course, to help SMBs develop what-if scenarios and optimize planning. But Sage isn’t calling it a big data solution.

Sage has often been knocked about for not keeping pace with the generational shift in the North American workforce. But it is now facing the facts–specifically that people born before 1968 will comprise less than 20% of the workforce by 2015. Sage is recalibrating its strategy to align more closely with different generational expectations. As Brad Smith, EVP of Customer Experience stated in his keynote, “We have to over-service the pre-PC guys but we also have to find ways to reach the ‘digital natives.’”

To that end, Sage demoed a voice-to-text initiative in which users can use voice-activated mobile technology to interface with ERP systems on mobile devices. It’s sort of like Siri, but within the context of the business and business workflows, so it appears to do a better job of handling user queries and requests. While the voice command initiative is in its infancy, it could be a key differentiator in the future.

Finally, Sage is putting its money where its mouth is, by tying Sage metrics and compensation for all Sage execs to Sage Net Promoter scores (NPS). The company’s previously shrinking North America business has grown 4% year-over-year.

Channeling The Channel

6a00d8345177fc69e20192ac233035970dSMB Group research shows that accountants/CPAs and technology business partners represent 2 of the top 3 influencer channels for SMBs selecting financials and related business solutions, with peers in other businesses rounding out the list. Sage has a large channel in both areas–with over 25,000 accountants in North America and more than 26,000 technology reseller partners worldwide. But over the past few years, cloud competitors have been trying to poach these very valuable resources.

Accordingly, Sage has several new initiatives underway to re-focus partners back on Sage. In addition to committing to provide cloud-based offerings across the portfolio to give partners a Sage cloud offering, Sage is:

  • Partnering with the Business Learning Institute to develop a curriculum for accountants to help them provide more competitive services to their SMB clients.
  • Planning to launch a new certification program for accountants focused on startup market, with a collaborative version of Sage One, Sage’s solution for very small businesses, to make it easier for them to automate tasks and take care of clients.
  • Introducing the Sage Advisor Partner Dashboard, which uses current customer data to help Sage reseller and accountant partners more readily identify new opportunities in the installed base, and provide a more personalized, consultative sales experience.

Sage is also recruiting new partners for midmarket Sage ERP X3, and new accountant partners to help it build traction among very small businesses for the Sage One solution.

Summary and Perspective

Minus ACT! and SalesLogix customers and partners, this year’s Sage Summit was smaller than in 2012. But, the energy level was much higher. Sage executives were more confident and relaxed, and the messages they delivered were consistent and crisp. Sage demos were more engaging, and even at times, entertaining.

Key metrics, including rising NPS scores, modest growth in its North America business, and a stock price that recently reached its highest point in 13 years are also good signs for Sage. As important, conversations with customers at the event led me to conclude that “Sage Listens” has moved beyond a slogan to put the programs in place to proactively engage customers.

However, there are a few areas in which I believe Sage needs to double down:

  • Sage One marketing. Worldwide, Sage has about 10,000 customers using this very small business management solution today. But most of the millions of very small businesses have never heard of it. Sage needs to significantly enhance awareness and demand gen campaigns to become more than a blip on the radar.
  • Third-party connected services . Sage has a big installed base, which should make it an attractive partner for third-party developers–especially now that developers can write just one connector and reuse it for all of Sage’s core products. But Sage has only about 20 endorsed connected partner services today. Again, many developers don’t know about this opportunity. Sage must raise its overall visibility in the developer community and launch a targeted recruitment program to get developers to build the apps that its customers need.
  • Clarity around CRM. After divesting ACT! and SalesLogix, the company’s sole solution here is Sage CRM. But other than discussing integration and a cloud version of Sage CRM that is in the works, CRM was very low profile at the event. Given Sage’s focus on core financials/ERP it leads me to wonder how committed is Sage to Sage CRM, and if will make the investments required to provide a truly first-rate CRM solution.
  • Innovation. Sage made a good case for its direction in the cloud, mobile and integration areas. However, analysts and press did and will continue to hound it on social and big data/analytics. While Sage customers may not have put these areas at the top of their priority lists yet, it’s only a matter of time before they do. Sage needs to get out in front in these areas.

That said, it’s challenging to do everything at once. The Sage leadership team has made the decision to move forward instead of standing still. All in all, I get the impression that Sage as a company has a better sense of who it is, where it’s going and how it will serve SMBs.

Related posts:

Sage Streamlining Takes a Major Turn With the Sale of ACT! and SalesLogix

Sage Turns a New Leaf: Top Takeaways from Sage Summit 2012

Sage’s Rebranding: More than a Name Change

Sage Summit 2011: Tackling the Sage NA Branding Challenge

Impressions from Sage Insights 2009

Collaboration and the Progressive SMB

Almost all businesses aspire to success–but not all achieve it. SMB Group has identified and written quite a bit about what we term “Progressive SMBs.” Progressive SMBs are more growth driven and invest more in technology than their counterparts. They also view IT as a tool to help the business grow, create market advantage, and level the playing field against bigger companies.

Most important, being a Progressive SMB pays off. In our 2012 SMB Routes to Market Study, 85% of SMBs that plan to invest more in technology anticipated revenue increases. In comparison, only 42% of SMBs that plan to decrease IT spending expected revenues to rise.

Personifying the Progressive SMB: Apex Supply Chain

apex logoI recently had the chance to speak with Karolyn Schalk, VP of IT Infrastructure at Apex Supply Chain. Apex designs and manufactures what it terms “Point-Of-Work Solutions”— vending machines, cabinets, and other devices, as well as software to manage use, inventory, and replenishment. Apex solutions can manage any supplies, tools or equipment that need to be tracked and controlled.

Apex illustrates the kind of attitudes and behaviors that make the fast-growth, Progressive SMB tick. Founded just seven years ago, Apex has grown to become the global leader in automated vending, supplying over 6,500 companies with vending machine solutions. Apex has fueled this growth with new employees, innovative solutions, new locations and acquisitions.

As the company grew, it invested in sales, marketing and service solutions to help increase sales and provide responsive service. But Schalk realized that Apex also needed a better way to collaborate. Sticking with “email collaboration” would eventually slow down innovation, time to market and customer responsiveness–and along with it, growth and expansion.

Cleaning Out the Collaboration Junk Drawer

junk drawer Apex had opened more locations, hired more employees, created new offerings, and made a couple of acquisitions. It’s network of external suppliers, partners, contractors and installers expanded.

But Apex was still using Microsoft Small Business Server and an assortment of email, file sharing and SharePoint for collaboration. Over seven years, Schalk explained, “this had turned into the equivalent of a big junk drawer. Whatever organization was initially in there had been lost.”

As a result, people had problems finding the information they needed, locating the right contacts to get a job done, and tracking tasks. With “end-users living in email, time was wasted and the risk of things falling through the cracks grew,” notes Schalk. “We needed something more manageable and useable to share information and track work.”

Crossing the Collaboration Chasm

Everyone wanted something better. But, despite its faults, end-users were used to the devil they knew–the junk drawer of email and shared files–and skeptical about if and how a different collaboration solution would work.

Schalk realized that successful adoption of any new solution would hinge on users understanding why improving collaboration was critical for the company, and how better collaboration tools would help to facilitate it. She recruited different end-user groups in the company to evaluate collaboration solutions. In the process, Apex evaluated or reviewed cloud-based collaboration solutions from three major vendors, which helped to get people thinking about, seeing and talking about better ways to collaborate and get work done.

Schalk also designated a technology advocate to help end-users understand how a new collaboration solution would help streamline tasks and make their lives easier. As she observed, “My biggest ‘aha’ was understanding we needed a technology advocate. We’re all creatures of habit. People need hand-holding and encouragement to believe that there is a better solution, and show them how it can make it easier for them to share and keep track of work.”

Selecting a Solution

????????????????????????????????????????????????????????????????????Apex had decided upfront that it wanted to deploy a cloud-based collaboration solution because, as Schalk noted, “We have a lean IT staff. So the cloud gives us a way to get more value, more quickly and easily than an on-premise solution.”

“Functionality was important, but so was simplicity,” explained Schalk. “We wanted all of the collaboration tools–instant messaging, meetings, community, wikis, blogs, email, etc.–but it needed to be integrated and easy to use.” Other key factors included flexibility, support, security and backup, an easy and secure way to bring external contractors and partners into projects, and mobile capabilities.

After evaluating different solutions, Apex selected IBM’s Smart Cloud for Social Business and deployed in March 2012. According to Schalk, “The initial solution was simple to use and the pieces were well-integrated. In addition, IBM gave us great access to the product team. We felt we’d have input into product development so we’d get changes as our needs evolve.” Since the initial deployment IBM has made several enhancements; in particular, Schalk liked the direction IBM was taking with its Mobile First design point, which gave her confidence that Apex would get the capabilities it needed for a more mobile workforce and world.

She also liked that support came bundled into standard Smart Cloud for Social Business subscription pricing, and that IBM provided “corporate-grade security and backup for highly confidential new product ideas and designs.” The Smart Cloud for Social Business guest model, which lets companies set up free guest accounts for external users, was another point in its favor. “The guest model would make it easier for Apex to collaborate with contractors, suppliers and partners in a secure way,” she added.

Keeping Up With the Speed of What Customers Want

Schalk reports that with the help of the technology advocate, end-users began to explore the tool set and found benefits specific to their work groups. Since then, they have quickly begun using more of the functionality in Smart Cloud for Social Business, because “they don’t have to install anything new, its easy to use, and its all integrated.”

Apex is now better able to “keep up with the speed of what customers want.” For example, the solution is easing the roll out of Apex’s new ERP solution. According to Schalk, “People are updating the task list every 20 minutes because it’s easy. They can do work from anywhere, from home, on a tablet. Almost every other day, someone says, wow, it’s so easy to get things done with a pop-up meeting or iPad app.”

On boarding new employees in this fast-growing business has become much simpler as well. Before, people had to “hunt around to find the right info for each new hire. Now we can just point new hires to the places where we’ve published information about projects, policies and procedures,” explains Schalk.

Schalk says that employees are also using Smart Cloud for Social Business as a complement to their Salesforce.com sales and service applications. Although she would like to see the IBM and Salesforce products more fully integrated, customer support and sales teams view them as complementary, and are sharing relevant conversations and tasks between the solutions.

Perspective

Social Business People Network  inside Speech BubbleProgressive SMBs that create and sustain rapid growth are defined not only by larger IT investments, but their attitudes about applying technology to help achieve business goals.

Many SMBs recognize that effective collaboration is critical to building and growing a successful business. Taking steps to develop a more collaborative culture, such as Apex did, pave the way to getting the results you want from a collaboration solution. As the Apex story illustrates, it pays off to:

  • Focus on collaboration as a means to desired business outcomes–such as faster time to market, or faster decision-making.
  • Get people engaged in the process early on to elevate awareness and conversations about better ways to get things done.
  • Lend a helping hand–such as a technology advocate–to help users who are reluctant to change see how a different approach will make their lives easier.

This sets the stage not only for selecting the solution that will best meet your business needs, but also ensures faster user adoption and, ultimately, the outcomes you’re looking for from that solution.

This blog was sponsored by IBM Smart Cloud for Social Business to help educate small and medium businesses (SMBs) about how collaboration tools and social technologies can help their businesses.

VSBs Use Mobile Payments Solutions to Get Ahead

SMBs are taking to mobile solutions like ducks take to water, as revealed in SMB Group’s 2013 SMB Mobile Solutions Study, and as I discussed in 2013 SMB Mobile Attitudes and Challenges. In fact, I’m hard-pressed to think of any other technology area that has enjoyed such a meteoric rise.

In reviewing the results, one of the things that really popped out is that even very small businesses (VSBs, with 1 to 19 employees) are adopting mobile solutions at a fast and furious clip. Consider that overall, 91% of all SMBs use mobile devices and services in their businesses, compared to 89% of all VSBs. Meanwhile, 67% of all SMBs agree or strongly agree that “mobile solutions are now critical for our business,” compared with 50% of all VSBs.

As shown on Figure 1, VSB adoption of employee, or internal, mobile apps has grown significantly since 2012.

Figure 1: Number of Mobile Apps Very Small Business (VSB) Employees Use Regularly Slide1

One of the areas that we’ve seen the biggest jump is in mobile payments, which is up from 18.5% in 2012 to 23% in 2013, as shown on Figure 2. More VSBs are outfitting their employees to accept mobile payments with solutions including Intuit GoPayment, Square, PayPal Here and Sage Mobile Payments.

Figure 2: Very Small Business (VSB) Use and Plans for Mobile Payments Solutions

Slide2

These VSBs see mobile payments as a key means to helping them meet their top business goals–growing revenues, attracting new customers, and improving cash flow. For instance, customers that are short on cash can buy–or buy more–from vendors at farmers or fleas markets who are armed with mobile payments devices. Plus, they’re so simple even kids can use them. Case in point is that 32 Girl Scout Councils are using Sage Mobile Payments as an option for cookie sales.  Mobile payments can also help cash flow, helping to avoid bounced checks. And, with PayPal Here, vendors get paid instantaneously.

We also found that many VSBs are not only using mobile payments devices while they’re out of the office or store, but also when they’re in it. The For instance, I spoke with one woman who runs a yoga studio who processes all of her customer payments through Intuit GoPayment on her iPhone. She doesn’t need to invest in a point-of-sale system, and payments are automatically integrated back to her QuickBooks system, saving time and helping her reduce the errors that come with entering data twice.

Of course, the bottom line is revenues, and mobile payments solutions have proved out. Our research shows that VSBs that accept mobile payments are a whopping 87% more likely to expect their revenues to grow over the next year.

So, if you’re among the 52% of VSBs with no plans to use mobile payments solutions–think again! Mobile payments solutions can be a great and easy way to help you move your business forward.

2013 SMB Mobile Attitudes and Challenges

The rapid rise of mobile in the consumer space is accelerating the explosive growth of mobile solutions in the business world. Businesses recognize that mobile solutions can empower employees to be more productive and responsive to customers. Likewise, they realize that providing mobile solutions to customers, partners and suppliers is vital to improving customer experiences and fueling business growth.

So it comes as no surprise that 91% of SMBs already use mobile solutions in their businesses, according to 2013 SMB Mobile Solutions Studyand 67% of SMBs indicate that “mobile solutions are now critical for our business,” as shown on Figure 1. In addition, 70% see mobile apps as a “complement to current business applications”, and 55% think that mobile will replace some of their existing business applications.

As SMBs turn to mobile solutions to help grow business, improve productivity and streamline workflow, they are beefing up mobile capabilities both for employees, and for external customers, partners and suppliers.

Figure 1: SMB Attitudes About Mobile Solutions

Slide1

But the rapid and explosive growth of and reliance on mobile solutions has caught many SMBs off-guard, resulting in some key challenges, as revealed on Figure 2.

Figure 2:  Top Challenges to Using Mobile Solutions

Slide1

Cost Concerns

As shown in Figure 3, SMBs currently spend the bulk of their mobile budgets on voice and data services and devices. But SMBs are also opening their wallets wider for mobile consulting, management, security and apps.

Figure 3: SMBs Mobile Budget Allocation

Slide2

As a result, mobile solutions are gobbling up a growing share of SMBs technology budgets. Our study reveals that SMBs currently spend about 11% to 20% of their technology budgets in the mobile space, and 68% expect they will need to spend more on mobile solutions next year.

Management Headaches

SMB use of mobile apps for employees, both for collaboration apps, such as email and calendars, as well as for business apps, such as CRM, order processing, expense management, etc. have risen overall by approximately 20% since 2012.

Concurrently, SMB adoption of “bring your own device” (BYOD) policies for employees has doubled over the past year to 62%. SMBs are also ramping up use of customer-facing mobile apps and mobile-friendly websites to enable customers to do things such as schedule appointments, make payments, and access customer service.

As the number of mobile apps and the diversity of mobile devices continues to grow, SMBs want more control and management requirements increase. This is driving increasing adoption of mobile management solutions. Overall adoption in this area is up 15% when compared to our 2012 study. SMBs top 3 management requirements include being able to:

  1. Remotely install, update and remove managed apps from devices
  2. Track and view installed/approved/blacklisted apps at the user/device level
  3. Authenticate, manage and deploy apps based on user groups/roles and restrict content access

Security Worries

Much of the mobile management challenge revolves around security.  Security concerns rise to the top both for the internal apps that employees use, as well as for the mobile websites and external apps that SMBs provide out to customers, partners and suppliers.

On the employee side, the top security management capabilities that SMBs are looking for are to:

  • Lock devices when devices are lost or stolen, or the employee leaves the company
  • Provide data encryption on devices
  • Partition/separate business-related data apps from personal data and apps
  • More Information About the Study

Meanwhile, SMBs rising adoption of mobile payments and other apps that collect personal information is spiking security concerns on the external app side as well.

Looking Ahead

SMBs look at mobile solutions and like the value that see from them. Consequently, they plan to increase investments both for employee apps, and for external-facing mobile websites and mobile apps for customers, suppliers and partners.

In addition, the BYOD trend shows no signs of abating. Employees want to use the devices that they’re most comfortable with. In addition, some SMBs view BYOD a way to trim voice and data service costs, which as explained, are viewed as a top obstacle to using mobile solutions more broadly in their companies. However, BYOD adoption ushers in additional security and management challenges that may result in added costs that cause some SMBs to rethink the BYOD equation.

Mobile management, security, and consulting services spending categories will see significant spending increases as SMBs endeavor to reap more value from and do a better job managing an increasingly complex assortment mobile devices, services and solutions. Today, most SMBs are performing mobile management tasks themselves, with internal resources. However, given that many lack adequate IT resources and mobile expertise, we expect that SMBs will increasingly turn to external solutions providers to get the management job done–particularly as they increase their business reliance on mobile, and requirements for security, integration with traditional business applications grow.

More Information About the Study

The recently completed SMB Group 2013 SMB Mobile Solutions Study provides a detailed examination of mobile devices, services and solutions that SMBs use. Based on over 700 SMB (small business is 1-99 employees; medium business is 100-999 employees) decision-maker respondents, the study provides a comprehensive analysis of SMB:

  • Mobile attitudes, adoption and use
  • Mobile drivers and inhibitors
  • Information sources and decision-making for mobile solutions
  • Penetration of mobile devices and services
  • Types of mobile devices used and who uses them
  • Policies and governance for mobile solutions (including BYOD)
  • Mobile applications for internal users (employees)
  • Mobile applications for external users (customers, partners, suppliers, etc.)
  • Budgets for mobile solutions
  • Mobile management

Two focused reports are also available to use for education and thought leadership. More information can be found on the links below.

Considerations for SMB Mobile Management

The Yin and Yang of Mobile Applications

Sage Streamlining Takes a Major Turn With the Sale of ACT! and SalesLogix

sage imagesLast week, The Sage Group announced that it is selling its Sage Act! contact manager and SalesLogix CRM to Swiftpage. Swiftpage is a U.S. based digital marketing software vendor and has been a Sage partner supplying Sage E-Marketing as a connected service for three-plus years. The move is part of Sage’s strategy to streamline its business software portfolio and focus on its core application areas, accounting, ERP and payroll. Sage is also selling Sage Nonprofit Solutions to Accel-KKR, a private equity firm.

In addition, Sage is unloading four solutions sold in Europe. Combined, these sales amount to about $145 million, and result in a loss to Sage. Accel-KKR and Sage provided Swiftpage with significant capital to help finance Swiftpage’s SalesLogix and ACT! purchases. Sage will retain 16.1% ownership in this deal.

The sale affects about 1,000 of Sage’s 13,000 employees, with about 250 people from Sage ACT! and SalesLogix moving to Swiftpage. In my conversation with Himanshu Palsule, Sage’s North American support group is working with Swiftpage to put an escalation process in place for customers.

Sage isn’t exiting the CRM market, however. It is retaining Sage CRM (which it acquired as part of its purchase of ACCPAC several years ago) as its core CRM product.

Following Through On a Strategy to Streamline

Sage’s announcement doesn’t come as a big surprise. At Sage Summit 2012 last August, Sage North America management revealed its strategy to concentrate development on what Sage termed core solutions areas–namely financials, ERP, and payroll, as discussed in my post, Sage Turns a New Leaf: Top Takeaways from Sage Summit 2012.

At the event, Sage North America CEO Pascal Houillon set forth Sage’s strategy to move from a heavily decentralized product management and marketing approach to one that is more centralized and focused—and to put the company on a stronger growth trajectory. By streamlining its offerings, Sage intends to provide customers and partners with a more integrated experience and more flexibility to take advantage of new cloud-based connected services.

Shedding CRM Solutions That Weren’t Keeping Pace with Market Trends

Over the years, Sage has been very acquisitive. But many of its acquisitions haven’t really paid off. This has been particularly true for Sage ACT! and SalesLogix, both of which Sage acquired in 2001 when it bought Interact Commerce. Sage bought these products when desktop and client-server computing were at their peak–but about to wane. Since then, of course, the likes of Salesforce.com, Zoho CRM, Nimble and many other CRM cloud offerings have come to the forefront. Meanwhile, Sage has struggled to make the cloud transition with its CRM products. In addition, Sage hasn’t been able to keep pace with developing the new social capabilities that customers want in CRM solutions. These limitations have made it difficult to sell these products to new customers.

While Sage did develop integrations for ACT! and SalesLogix with its financials solutions, its attempts to cross-sell CRM to its installed base of financials and ERP customers met with limited success. The partner channel and end-user decision-makers for CRM and financials solutions are very different, and Sage was unable to develop an effective method to bridge the gap. As a result, there is very little customer overlap between the two.

With ACT! and SalesLogix off the plate, Sage intends to increase its focus on its core financials and ERP products, including Sage 50 (formerly Peachtree), Sage 1oo ERP (formerly Sage ERP MAS 90 & 200), Sage 300 ERP (formerly ACCPAC), and Sage ERP X3, and provide a richer set of connected services for these solutions.

Moving Forward

For a very long time, Sage has looked to acquisitions as a way to fuel growth, acquiring scores of business software products over the years. Sage has had a hard time rationalizing its strategy, sparking much criticism for having a cluttered portfolio, too many products and not enough focus.

Now, Sage is taking a 180-degree turn to sell off surplus solutions, freeing up development and marketing resources to create cleaner, more integrated solutions and messaging. While it’s too early to tell if this new strategy will result in the growth Sage is looking for, the move does give the company more bandwidth to concentrate on its core financial solutions, and give its remaining Sage CRM product the types of cloud, social  and mobile capabilities that it needs to be competitive. In addition, Sage no longer has to contend with the politics of competing product lines and partner channels.

While the move may be a bit emotionally jarring for current ACT!  and SalesLogix customers, they shouldn’t experience too much change in the short term. Over time, they may in fact see an upside, if Swiftpage, which has a strong focus in the digital marketing space,  can infuse the former Sage solutions with the updated cloud, social and mobile capabilities that they will need to attract new customers.

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