November 20, 2007

I repeat — SaaS is not necessarily an indirect-channels business

From Salesforce.com’s latest 10-K:

We market our service to businesses on a subscription basis, primarily through our direct sales efforts and also indirectly through partners.

Looking back, I should have quoted that in support when I wrote:

By the way, I think the assumption SAP needs to sell ByDemand via indirect channels is an erroneous one. (Dennis Howlett seems to be at least partway to recognizing this. He also reports that SAP realizes that this is truly a sales issue.) Hence my stress on SAP’s internal sales management issues.

For 40+ years, application-oriented services have been sold in large part by direct sales forces. That goes back to the other payroll processors, and to time-sharing in general. Why would it change now?

November 19, 2007

Usability engineering is crucial

From a review of the rather powerful Fair Isaac Blaze Advisor, which will surely be far less successful than its functionality deserves:

But employing a usability expert when designing the tools and observing how users interact with them would go a long way toward improving their usefulness.

My mind utterly boggles each time I discover that a large software vendor still doesn’t seem to have realized this. Or maybe Fair Isaac did do usability engineering, but entrusted it to a blithering incompetent. That frankly would be more reassuring than them not having tried at all.

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