November 26, 2002

News Factor: Report: Small Biz Needs Full Functionality

My spin:If you're a frequent reader of Smallbiztechnology.com this is not news to you....but read it again, and again and again - establishing a channel is important and as this report says - small businesses do not want dumbed down software. Lastly check out Small Business Technology Report for my special report on Best Software

What the enterprise vendors lack, and what firms specializing in the mid-market have, is excellent networks of resellers and partners that give them a local presence with small companies. Small to mid-size businesses (SMBs) need the full range of functionality offered by CRM and other enterprise software suites, according to a recent report from Aberdeen Group. What they do not need, said the authors, is the infrastructure and implementation complexity that come with large enterprise packages.

ERP (enterprise resource planning) and CRM vendors that historically have focused on large enterprises are going to face tough competition in the SMB space, Aberdeen research director Karen Smith told CRMDaily.com, although most are pursuing it aggressively.

"Right now, we haven't seen any enterprise vendors that have successfully sold into the mid-market," she said. (full story)

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