Although announcements regarding new rounds of funding are relatively commonplace in the tech industry, whenever a Software-as-a-Service (SaaS) company is able to boast about their latest vote of confidence among investors it is worth noting in these tough economic times.
But, Xactly’s announcement this morning that it had garnered a new round of $12 million in funding was especially newsworthy because it also included a “strategic new investment” by Salesforce.com.
Speculating about who Salesforce.com is going to acquire next has become a popular parlor game in the SaaS industry over the past few years. The company has done an admirable job acquiring a variety of companies which have helped to extend its service delivery capabilities, as well as expand its application functionalities.
Some of its acquisitions, like Jigsaw, have been announced publicly. Others, like GroupSwim, have been done quietly.
While there has been speculation that Salesforce.com will … Read More »
Since 2009 is coming to a close, I thought it would be a good time to review how I did with my predictions for the year regarding the Software-as-a-Service (SaaS) and cloud computing market.
1. On-Demand Services Move From Why To How
According to a Sandhill.com/McKinsey survey of over 850 enterprise customers at the end of 2008, 74% were already favorably disposed to adopting SaaS platforms. As a result, Gartner estimates the SaaS market will have reached approximately $8 billion at the end of 2009, a 21.9% rise from $6.6 billion in 2008. Looks like folks have moved past “why” SaaS to “how” to get the most out of their SaaS deployments.
2. New Hybrid Models
The idea of hybrid SaaS and cloud computing models has been abhorred by industry purists, but the reality is that nearly every business will rely on a combination of on-premise and on-demand resources. In 2009, the concept of “location independence” became bi-directional. … Read More »
THINKstrategies announced today that Xactly Corporation has been named the latest winner of the new Best of SaaS Showplace (BoSS) Awards program, which was launched in January 2009 to promote the measurable business benefits being delivered by today’s Software-as-a-Service (SaaS) solutions.
Xactly Corporation is a leading provider of on-demand sales performance management solutions. The company’s flagship product, Xactly Incent, enables sales and finance executives to design, implement, manage, audit and optimize sales compensation management programs easily and affordably.
A case example of Xactly’s business benefits is Ingres Corporation, a leading provider of open source database management software and support services
Click here to read about the announcement which details the quantitative business benefits Xactly Incent generated for Ingres
Click here to learn more about the BoSS Awards or to submit a nomination for an award.
When I published my previous post questioning whether recent executive departures at salesforce.com were an indication of a slowdown in the company’s business, I debated whether to also leave the door open to the possibility that some of these individuals might be jumping to other job opportunities.
Sure enough, salesforce.com’s former president and chief strategy officer, Steve Cakebread, has resurfaced already at Xactly Corporation where it was announced this morning he will serve as the company’s new CFO, a role he also held at salesforce.com.
This hire gives Xactly even greater market validation and credibility after its recent acquisition of Centive.
The announcement also suggests my suspicions about potential problems at salesforce.com may have been premature. The company’s latest financial results are scheduled to be announced on February 25.
Meanwhile, NetSuite announced its financial results for 2008 yesterday. The company had a record year with revenues up 40.5% overall, reaching $152.5 million. Even its fourth … Read More »
Xactly’s announcement today that it is acquiring Centive is another indication of the Software-as-a-Service (SaaS) industry shakeout and consolidation I predicted would occur in 2009.
Xactly and Centive have been fierce competitors in the sales performance management (SPM) market with both offering pure SaaS alternatives to traditional on-premise software applications.
While both companies were growing as a result of accelerating customer interest and adoption of SaaS, they also found themselves competing more with each other than the established players. Rather than continue to fight one another, they decided to combine forces to better position themselves and capitalize on growing customer demand.
This decision was especially timely given the challenges of today’s economic climate and intensifying competition.
While both companies offer solid solutions with compelling value-propositions, combining their technical capabilities and eliminating the costs of continued head-to-head competition can strengthen Xactly’s position as ‘legacy’ software players escalate their own SaaS efforts.
You can expect … Read More »