cloud computing and saas : threat or opportunity for vars and msps?

8/7/2019 Cloud Computing and SaaS : Threat or opportunity for VARs and MSPs?

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WHITE PAPER

Cloud Computing Threat orOpportunity for VARs & MSPs?

HyperOffice , Feb 2011
http://www.hyperoffice.com/http://www.hyperoffice.com/http://www.hyperoffice.com/


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WHITE PAPER | Cloud Computing & the Channel

www.HyperOffice.com - 1.800.434.5136

Executive Summary

To have a complete understanding of the opportunities and challenges the cloud era poses for resellers,MSPs and the Channel in general, it makes sense to study multiple concurrent forces at play in the IT

landscape which are driving change. Moreover, this whitepaper highlights the Channel opportunities in thespecific area of cloud based messaging and collaboration. It seeks to answer the key questions of What isthe role of the Channel in the cloud era? Why cloud messaging and collaboration? Why now?

The model of software delivery is in the midst of transition from traditional on premise server basedsoftware to software deployed over the internet. This is in interplay with the emergence of new mobiletechnologies; a business environment where companies have to work in a distributed network of teams,partners and clients; and changed end user needs and expectations.

All these forces are coming together, and impacting traditional relationships between vendors, businessusers and the Channel. But one thing is for sure the Channel remains as relevant as ever. The reason quite

simply is, end users still want to be served through the Channel , and continue playing their roles of trusted advisors.

The whitepaper studies these multiple forces of change, before going on to the specific question of howdoes this all impact you the VAR or MSP? Then it goes on to the unique Channel opportunities and newrevenue streams in cloud messaging and collaboration. Finally, you learn about the vendor landscape incloud messaging and collaboration, and how partnering with HyperOffice offers you some exclusiveadvantages.


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INDEX

1. IT Market Trends 1

Software will never be the same 3

SMBs dig SaaS: The reason 4

Growth and convergence of cloud communication and collaboration software 5

Universal SMB pain points 7

2. What does it all mean for you the VARs and MSPs 9

3. Business benefits of SaaS for VARs and MSPs 10

4. Your options. Why HyperOffice? 12

Comparison Matrix 12

Why HyperOffice? 13

5. Talking hard numbers. How do you make money? 18

6. Conclusion 20

7. About HyperOffice 20


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What are CloudComputing and SaaS?

Cloud Computing is a modelin which applications, storageand computing power areprovided over the Internet asa service. It includessoftware-as-a-service,infrastructure-as-a-serviceand platform-as-a-service.

Software as a service (SaaS)is a delivery model forsoftware applications whereby

web-native applications areprovided over the internet,which customers pay forusing rather than owning.

Normally, SaaS and cloudare used interchangeably,as also for the purposes of the current white paper.

IT Market Trends

Multiple forces of change are at play in the IT Market, profoundlyimpacting all players, including customers, vendors and the Channel.

Software will never be the same

The closing years of the first decade of the 21 st century have seen asea change in how companies approach, procure and managebusiness software. Traditional on-premise and server based software,known to be complex and expensive, has started to lose favor in theface of recessionary pressures. Accessing IT infrastructure, software,and data remotely over the web is now a requirement in the modernbusiness environment, which increasingly demands flexibility andworking in a wider network of customers, suppliers, vendors,partners and regulators. Disruptive, Techtonic shift, fundamentalstructural shift are some of the phrases being used to describe thisphenomena.

After gathering momentum over the last 5 years, the cloud andsoftware -as-a- service are now more than mere buzzwords,witnessing massive adoption from all sectors of the economy,particularly the small and medium business segment. In a recentreport, IDC predicts that over 2010-2014, SaaS will grow six timesfaster than traditional packaged software, reaching over $40 billion inrevenues by 2014.
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Global SMB cloud-related spending isexpected to go upto $94 billion by2014.

AMI Partners

In contrast, perpetual license software fell $7 billion in 2009. GoldmanSachs Feb10 study strongly titled Techtonics: Unstoppable shift toSaaS continues found that 58% of respondents always consider aSaaS option when making an application purchase decision. A total of 39% prefer a SaaS option, if available.

This is causing fundamental structural shift, as evidenced by the factthat IT departments and software giants like Microsoft, IBM, SAP andOracle are scrambling to incorporate the cloud into their strategy.

If the actions of the biggest global software vendor are anything togo by, Microsoft recently put its entire weight behind the launch of cloud-based Office 365, even at the cost of potentially cannibalizingits on-premise software revenue streams. CEO Steve Ballmer further

underlined this by revealing that 70% of Microsoft's 40,000employees are working on cloud related efforts a number that mayincrease to 90% over 2011.

SMBs Dig SaaS

Of all segments, SMBs have been impacted the most profoundly bysoftware -as-a- service. SaaS fundamentally changes the rules of thegame where SMBs now have access to the same expensivetechnologies as enterprises, without owning them, but simply paying

for them according to use. This is similar to leasing a home, asopposed to being the owner. It is for these benefits of cost savings,flexibility and minimal lock in that SMBs have been most attracted toSaaS. And it is in no small measure due to the adoption and rigoroustesting by small and medium sized businesses that SaaS has gonemainstream today across all sectors.

The multi-tenancy model offers U.S. SMBs comparableperformance on a lower-cost basis and the flexibility to scale

usage in line with shifting needs of their businesses. This is avalue proposition that U.S. SMBs find highly attractive.

Helen Rosen,Vice President AMI Partners
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A recent study by AMI Partners found that 12% of small businessesand 24% of medium businesses are already using SaaS. Goingforward over half of US SMBs are looking at SaaS as a potentialsolution. AMI expects the global SMB cloud-related spending to climbto a whopping $94 billion by 2014. Another study by Sandhill foundthat SMBs are twice as likely as large enterprises to move their corebusiness-critical services to the cloud. SaaS has been called a no-brainer for SMBs not least for the substantial cost savings. Thereasons are: -

1. Cost. Arguably on the wane now, the recession has exertedtremendous pressure on SMBs to cut corners. This, along with theoverall promise of cost savings, both in the short and long term, hasbeen the main driver of SaaS adoption amongst SMBs. SaaSeliminates the ownership costs of hardware, software licenses andimplementation, instead renting out sof tware as a service over the

internet. Sandhill found that over a 5-7 year time horizon, SaaS oftenturns out to be cheaper by 25-50% than on premise software.

Another major disincentive for SMBs is the fact that 60-90% of thetotal costs of on premise software on hardware, licenses andconsultants are to be borne up-front in the first three years. Not toforget the cost of upgrading every few years and the associated costsof integration and implementation. SaaS, in contrast, offers a flat costcurve - its costs evenly spread out over the applications life.

Over a 5-7 year timehorizon, SaaS oftenturns out to becheaper by 25-50%

than on premisesoftware.

Sandhill
http://www.crn.com/news/cloud/226700149/smb-cloud-spending-to-approach-100-billion-by-2014.htm?itc=refreshhttp://www.crn.com/news/cloud/226700149/smb-cloud-spending-to-approach-100-billion-by-2014.htm?itc=refreshhttp://www.crn.com/news/cloud/226700149/smb-cloud-spending-to-approach-100-billion-by-2014.htm?itc=refreshhttp://www.sandhill.com/opinion/daily_blog.php?id=71&post=704http://www.sandhill.com/opinion/daily_blog.php?id=71&post=704http://www.sandhill.com/opinion/daily_blog.php?id=71&post=704http://www.ebizq.net/blogs/cloudsoa/2010/08/for-smbs-cloud-computing-is-a-no-brainer.phphttp://www.ebizq.net/blogs/cloudsoa/2010/08/for-smbs-cloud-computing-is-a-no-brainer.phphttp://www.ebizq.net/blogs/cloudsoa/2010/08/for-smbs-cloud-computing-is-a-no-brainer.phphttp://www.ebizq.net/blogs/cloudsoa/2010/08/for-smbs-cloud-computing-is-a-no-brainer.phphttp://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.ebizq.net/blogs/cloudsoa/2010/08/for-smbs-cloud-computing-is-a-no-brainer.phphttp://www.ebizq.net/blogs/cloudsoa/2010/08/for-smbs-cloud-computing-is-a-no-brainer.phphttp://www.sandhill.com/opinion/daily_blog.php?id=71&post=704http://www.crn.com/news/cloud/226700149/smb-cloud-spending-to-approach-100-billion-by-2014.htm?itc=refresh


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2. Time to Value . Typically, a SaaS solution up and running in amatter of days or weeks, rather than months, as with traditional on-

premise software. As a consequence, SMBs can begin to realize thebusiness benefits of the software solution earlier, which means theROI is significantly better than on-premise software.

3. Levelling the Playing Field . SaaS allows SMBs access to powerfuland expensive software technology previously available only to largeenterprises. This robs enterprises of their traditional competitiveadvantage and allows SMBs to compete in new and innovative ways.

4. Simpler . The SaaS revolution has run parallel with the web 2.0revolution, and many of the best characteristics of consumer oriented

web 2.0 technologies have found their way into business SaaSsolutions. The rich and intuitive web interfaces of SaaS solutions areend user focused, often requiring little or no IT intermediation toimplement and use. This is ideal for SMBs which have small or no ITdepartments, and increases productivity as end users and subjectmatter experts have more control over technology.

5. Lower Risk. SaaS solutions pose a lower risk for SMBs, becausethere is no lock in of initial capital expenditure like on premisesoftware. Companies are freer to move to alternate solutions if thecurrent one is found not to be the best fit.

6. Flexibility. SaaS solutions are accessible over the Internet,allowing employees to access company systems and data outside theconfines of the company network, when they may be travelling orworking from home. Moreover, SaaS has also straddled the mobilityrevolution, which gained ground at the same time as SaaS. Most SaaSapplications are compatible with and accessible from powerful newmobile devices.


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7. Continuous Innovation . Upgrades are continuous in SaaS, andusers have ongoing access to new functionality in tune with thechanging business and technological landscape, rather than waitingfor the typical 2-3 year upgrade cycle of on premise software. Since

SaaS vendors have access to application usage data as the SaaSsolution runs on their servers, they can use data on user behavior toinnovate and upgrade their product. Since SaaS solutions are not aone-time sell, but an ongoing relationship, they tie users and vendorsin a community of interest, where everyone benefits fromdeveloping the solution the vendors in terms of continuedpatronage from the users, and the users in terms of technology.

8. Focus . Technology has never been a core strength of most SMBs. The ability to outsource the IT burden through SaaS allows them tofocus on business and strategic strengths.

Growth and Convergence of Cloud Communicationand Collaboration

Messaging/Email is universal acrossindustries and sectors, a bareminimum technological requirement,and one of the first to beimplemented in almost anyorganization. This popularity is the

reason that it was one of the firstareas to gain credence as a cloudbased solution. There is agroundswell of SMB customers whoare unhappy with the cost and effortof supporting on premise emailservers like Microsoft Exchange intheir organizations. Since it is a commoditized application, requiringlittle customization, and hosted email offers significant cost savings,email is ideal for delivery over the cloud.

Google Apps has the credit of validating cloud email and making itmainstream. This forced Microsoft and IBM, the heavyweights in onpremise messaging software to introduce cloud versions of theirofferings.

Email is going to the firstlarge-scale cloudapplication. The reasonsare simple: Email in thecloud is cheaper; it willevolve faster.

Ted SchandlerChief Analyst, Forrester

Frost and Sullivan expects theSaaS email market to doubleby 2015.

Gartner predicts that by 2012,10% of enterprise mail seatswill use a cloud or SaaS

model.

Sandhill identified messagingas one of the most popularSaaS applications in 2010.

AMI predicted thatmessaging/email will bethe most demanded cloudservice till 2014.
http://www.information-management.com/news/hosted-email-market-to-double-10017167-1.htmlhttp://www.information-management.com/news/hosted-email-market-to-double-10017167-1.htmlhttp://www.gartner.com/it/content/1432600/1432634/october_14_leverage_google_microsoft_and_ibm_mcain.pdfhttp://www.gartner.com/it/content/1432600/1432634/october_14_leverage_google_microsoft_and_ibm_mcain.pdfhttp://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.walteradamson.com/2010/09/cloud-plus-on-premise-vendors-best-placed-for-smb-saas-opportunity.htmlhttp://www.walteradamson.com/2010/09/cloud-plus-on-premise-vendors-best-placed-for-smb-saas-opportunity.htmlhttp://www.walteradamson.com/2010/09/cloud-plus-on-premise-vendors-best-placed-for-smb-saas-opportunity.htmlhttp://www.sandhill.com/opinion/daily_blog.php?id=71&post=606http://www.gartner.com/it/content/1432600/1432634/october_14_leverage_google_microsoft_and_ibm_mcain.pdfhttp://www.information-management.com/news/hosted-email-market-to-double-10017167-1.html


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Top IT Trends of 2011#10

Continued Convergenceof Unified Communication and Collaboration Suites

Laurie McCabeSMB Group

In contrast to communication,which allows people totransmit information, collaboration technology is aset of tools which allows peopleto work together oninformation. Some examples of these tools are documentmanagement, projectmanagement, workspaces, orwikis. It is no surprise thatcollaboration is another SaaSapplication area witnessing great growth, since the economy isincreasingly information driven, and every company has to work in awider network of distributed employees, customers, partners,vendors, and suppliers.

It may be noted that collaboration is one of the key pillars of SaaS, orembedded in the DNA of SaaS, since the basic premise of bothcollaboration and SaaS is essentially the same - multiple peopledistributed over locations contributing to the same system using theinternet.

The Inevitable Convergence

It is no fluke that cloudcommunication (or email/messaging)and collaboration are spoken of in thesame breath, especially in the lastyear. The SMB Group identifies thecontinued convergence of communication and collaboration asone of the main technology trends in2011. Customers are no longer

content with vanilla email systems,and software vendors have woken upto the close connection betweencommunication and collaboration technologies and the benefits of integrating them in a single suite. All the major vendors in the marketare offering a combination of email and collaboration technologies toa greater or lesser extent.

(The significant use of SaaSin the area of collaboration) isa trend I have been observing

in my talks with businessesfrom different parts of theworld. In my opinion, cloudhas the necessary DNA forcollaboration.

Krishnan Subramanian,Editor, CloudAve

Forrester estimated awhopping 44% of SMBsexpanded or initially

invested in collaborationsoftware in 2010.

In March 2009, Forresterpredicted that SaaScollaboration applicationswere poised toexperience significantsuccess in the enterprisemarket:

MarketResearch.com found that collaborationwas one of the top 3fastest growing SaaSsegments in 2010.
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Outlook Sharing . A 2009 study by Forrester found that in 2009, 76%of US employees in small companies used Outlook for e-mail. This is atestimony to the massive popularity of Outlook in SMBs. Companiesare looking at cloud email systems because of the benefits, but endusers are likely to continue using Outlook as their email client. Therefore, any hosted email system which does not include Outlook integration does so at its own peril. Moreover, users want the abilityto share data in their Outlook accounts, and use it as a collaborativesystem to coordinate schedule, manage tasks etc; without needing toset up expensive on premise software like MS Exchange.

Exchange and SharePoint Alternatives. Many SMBs are stuck withExchange and SharePoint implementations to serve their messagingand collaboration needs, sapping them of resources, for want of

dependable alternatives in earlier years. The mismatch isunderstandable, since Microsoft products have been developed andpriced for enterprise customers. It is no wonder then that SMBs findthe features to be overkill, the interfaces complicated and hard togarner adoption for, and the thousands of dollars costs of hostingand implementation to be crushing. But now that the cloud offers anarray of inexpensive, simple and robust systems, SMBs are looking foralternatives which offer them the same functionality.

Calendar Sharing. Knowledge workers need the ability to organizepacked schedules, and keep on top of important appointments. They

also need to coordinate and share schedules with colleagues, bosses,clients and partners spread across geographies and time zones.

Project Management . Modern managers need to work on projectswhich consist of members inside their organization and outside,working across locations in different shifts and time zones. It is notviable to coordinate project and status meetings with everyone forevery task and project. It is often enough to just have an at-a-glancelook at how the project is going, Therefore managers need a systemto keep on top of multiple projects, assign responsibilities, attachresources, set deadlines and priorities. A system which gives them aquick view of where different projects stand, and allows them to getupdates and notifications of progress as it happens, as they driveeach project to its conclusion.

Intranets . Intranets have been a popular business solution for morethan a decade now, especially for mid sized and large businesses. They serve a number of important purposes two way corporatecommunications, motivation, giving employees easy access toimportant information and documents, managing workflows, or


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housing employee communities and team tools. Intranets helporganize this information around teams, departments and divisions.

In a world where teams may consist of Americans, Asians or

Europeans who will likely never meet, intranets also help inmotivating members and garner a sense of camaraderie. Membershave conversations in intranet discussion forums, find out moreabout each other through profile pages, or keep updated with newsfeeds.

What does it all mean for you theVARs and MSPs?

The channel has always been an essential cog in the IT eco-systemthat puts products and solutions in the hands of the customers. Theemergence of SaaS and the Cloud has lead to fears amongst theChannel of being cut out in face of decreased relevance of traditionalchannel roles and revenue streams such as system installation,integration, customization and maintenance. This besides losing theirpercentage on licenses for physical distribution, which disappearsaltogether.

Indeed, in the earlier years of SaaS, vendors did try the direct to

market approach. But as vendors and channel partners havediscovered, the channel remains a valuable and trusted advisory toeducate and encourage SMBs in adopting emerging technologiesincluding SaaS. The primary reason for this is that consumers simplywant to be served by the Channel. A recent CompTia survey found that more than half of end users want to make their purchases from athird-party cloud services provider, defined as a value-added reseller,solution provider or other channel organization.

This is understandable. Channel partners are the traditional source of

business software for customers, have deep relationships with endusers in their local markets, and are trusted advisors. In the era of onpremise software, customers have depended on the channel toanalyze their business problems, map them to the available ITtechnology, and hold their hands though the entire process of implementation and maintenance.

SAAS END USERSWANT THECHANNEL!

More than half of endusers want to make theirpurchases from a third-party cloud servicesprovider, defined as avalue-added reseller,solution provider or otherchannel organization.

CompTIA Survey,Sept 2010
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Customers want channel partners to carry forward their earlier rolesin the era of SaaS to minimize their risk. It is for this reason that manySaaS vendors have incorporated a channel strategy. For example,Google recently launched its Google M arketplace, and Microsoftsmajor thrust for Microsoft BPOS has been through its partnernetwork.

Backup, CRM and VOIP were early SaaS areas in which channelpartners ventured and found success SalesForce, Fonality, Introis.But as the breadth of SaaS widens and starts to encompass almostevery area of software, and new leading areas of SaaS emerge,channel partners are starting to venture into SaaS collaboration,email, document management etc. A recent Forrester Researchsurvey found that a quarter of channel partners say they are alreadyreselling SaaS, and a further 30% have plans to do so. Are you one of them?

Business Benefits of SaaS for VARs andMSPs

As SaaS crossed its tipping point in 2009, channel partners will findthat reselling SaaS makes sense from a strategic standpoint. Endcustomer demand for SaaS is sizeable, and specifically SaaS basedmessaging and collaboration. As SaaS is increasingly sold through theChannel, channel partners would want to be on the leading edge of this wave, and develop new competencies. Apart from this, there area range of incentives for SaaS channel partners as follows:-

Build recurring revenue stream . Since SaaS is based on asubscription model, channel partners get recurring revenues for aslong as the customer relationship exists, rather than the one-timemargin on packaged software. This is cash flow friendly, and leads toa higher aggregate revenue the longer the relationship lasts.

Get into hot market with minimal investment . The SaaS modeldoes not require channel partners to maintain an inventory, or set upservers. Partners can enter the red hot SaaS market will zero capexcosts.

Diversify offerings in a changing market, and offer clients choice.As many studies find, most SMBs will prefer a hybrid model ratherthan pure cloud or pure on-premise IT. Similarly, it makes sense for

A late 2010 ForresterResearch survey foundthat a quarter of channel partners saythey are alreadyreselling SaaS, and afurther 30% have plansto do so.

Are you one of them?
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channel partners to diversify their offerings to include both packagedand cloud based software. In a market where both on premise andSaaS applications exist in every area, channel partners may also giveclients choice by offering both.

Open horizontal and vertical cross selling opportunities . Asestablished by numerous studies quoted above, communication andcollaboration are likely to be the biggest areas of SaaS uptake. Thereason is the universality of these needs across organizations.Partners will find cloud communication and collaboration solutions arelatively easy entry point into organizations, which they canleverage to cross sell further solutions or services.

It is like a salesmans foot -in-the-door - once you demonstrate a quick win which is easy to quantify and illustrate as a smart decision, you

will be the person they go to for accounting-in-the-cloud withNetSuite, or backup with Intronis, etc, as the cloud builds moreacceptance. Cross selling opportunities in a cloud world abound withsolutions and software like backup, security, customization orconsultation. With industry specific SaaS solutions available for everydomain, other cross-sell opportunities also arise like cloud basedfinancial software for finance companies, property managementsoftware to realty companies and so on.

From break-fix to strategic services . Packaged software typicallyrequires a lot of menial maintenance effort involving numerousonsite visits. Since SaaS solutions require no on-premise setup,customers are largely self-reliant after the first month.

Resellers stand to gain in two ways from this. Firstly, resellers stand toreduce costs of numerous on site visits, and serve a larger number of customers. Secondly, the nature of value added services also shiftsfrom low-value, low-margin services, such as hardware and softwareinstalls, upgrades, patching, database tuning, etc to typically highermargin strategic services. Some examples are:-

- Change Management. Shifting to SaaS entails major change fororganizations integration, data migration, training etc whichthe partner can help with.

- Business Process Reengineering. Reengineering andautomation of business process around the SaaS application.

- Customization. SaaS applications will invariably requirecustomization according to processes and needs, which endusers may prefer to handle through channel partners.

Cloud e-mail will be theentry point to deeper andmore profitablecollaboration deals. Forevery dollar users spend oncloud e-mail, they'll spendaround $3 to $10 on othercloud collaboration andcommunications services

ForresterTed Schandler


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The Options. 8 Reasons why HyperOfficeis the right choice

Once you have decided to take the SaaS communication andcollaboration plunge, the next decision is the product to place yourbets on to maximize your revenue and your customers ROI.

Decision Criteria

Before making a call, it makes sense to lay down the criteria on whichto base the decision. Apart from opting for a product which is likely toexpand your customer base, and ensures customer retention, itshould be aligned with the channel partn ers long term strategy.

The criteria are:-

- Earning Potential. What primary, secondary and cross sellrevenue opportunities does the SaaS solution offer? For example,implementation, setup, training, customization and consultation.

- White Labeling. Can you white label the solution? Will you bebuilding your own brand or that of the SaaS vendor?

- Who Owns Billing? Channel partners which want to retainownership of their customers would want the ability of invoiceand bill the customers. This enables a range of cross-selling, up-selling, and product and service bundling opportunities to helppartners grow their customer relationships.

- Vendor Stability. How long has the vendor been in the market?What is the vendors market standing?

- Product Features. How robust, comprehensive and wellintegrated are the features?

- How crowded is the market? Are lots of other channel partnerspromoting the same product, creating competition amongstchannel companies?


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Comparison Matrix

Based on the above criteria, we have created a comparison of Google Apps, and MicrosoftOffice 365 (or BPOS), two of the most prominent solutions in the integrated cloudcommunication and collaboration market, with HyperOffice.

Business Model

Earnings potential:

- License (per user per year) $65 or 55% $10 or 20% 12% 1st year (6% 2nd year)

- Support

- Consulting

White label Rebranding

Reseller owns billingrelationship

Additional

Ease of implementation Easy Easy DifficultNumber of years selling

integrated Cloud Messaging &Collaboration to SMBs

10 years 4 years 2 years

% of revenues generated fromCloud Messaging &

Collaboration100% < 2% < 5%

Integration across productsDeveloped ground-up as a

single, fully integratedsolution

Components are stand-aloneproducts

Components are stand-aloneproducts, and refurbishments

of on premise solutions

License terms Monthly or annual Annual only Annual only

How crowded is the channel Dozens of partners Over 2,000 partners Thousands of partners


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Features

Collaboration

Online database/workflow

Outlook support

Project management Basic ***

Document management

Calendars

Push email to mobile devices:

Devices:

- Android

- BlackBerry * **

- iPhone

- Symbian/Nokia

- Windows Mobile

Over-the-air synch of calendars, contacts, & tasks:

- Android

- BlackBerry **

- iPhone

- Symbian/Nokia

- Windows Mobile

Browsers supported

Firefox

Internet Explorer

Chrome

Safari

Chat & voice Integrates with Skype Integrates with Google Voice Integrates with MS Lync

Web conferencing

Online word processingspreadsheets

* Google Apps Push support for Blackberry requires Blackberry Enterprise Server. Alternatively, you can access Gmail on Blackberryusing the Gmail BlackBerry application.** Support for BlackBerry devices that use Microsofts Hosted BlackBerry servic e, BIS, or NotifySync.*** Office 365 offers only online basic shared tasks and Gantt charting capabilities.


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Why HyperOffice Top 8 reasons

HyperOffice brings you the following key benefits.

1. Go with Experience and Stability. HyperOffice is one of thepioneers in the integrated cloud communication andcollaboration market since 1998, and widely respected andrecognised. This is a market which Google only entered in 2007,and Microsoft in 2009. Our communication and collaborationsolutions are our sole focus, and we have served over 300,000SMB users over 10 successful years in the market.

2 Robust, Fully Integrated Features. HyperOffice solutions are lovedby users and vetted by experts. Our HyperOffice CollaborationSuite has been built ground up based on real experience, with alaser focus on SMB needs. Google and Microsoft solutions have arifle approach where they claim to serve all segments with thesame solutions, while in-fact the lucrative enterprise market iswhere they gain the most.

HyperOffice has one of the most comprehensive feature sets inthe market, based on continuous feedback from our SMBcustomers. All of HyperOffices features are fully integrated at thedata level, unlike Google Apps and Microsoft BPOS, whoseindividual components are also stand alone products.

The sheer breadth andambition they(HyperOffice) bring tothe table when itcomes to SaaSgroupware makesHyperOffice acompany worthwatching.

Matthew WeinbergerThe VAR Guy

March 2010

HyperOffice a GreatSolution for Cloud-based Collaboration

HyperOffice has more thanearned a seat at the table forVARs discussing cloud-basedcollaboration withcustomers, and it provides asolution that the CRN TestCenter is happy torecommend.

Edward MoltzenCRN.com

Jan 31, 2011


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Google evangelizes the add -on approach, where modules likeproject management missing in Google Apps can be found itsMarketplace, and plugged into Google Apps. However, thesemodules offer only a very superficial degree of integration, mostoften merely a unified login. Resellers would be wary of committing their customers to a loosely coupled systemconsisting of Google Apps and unverified third party solutionswith their own agenda.

3 White Labeling. When you invest in marketing, and bring newcustomers to Google or Microsoft, you build their brand ratherthan your own, since they dont allow white labeling.

You can leverage HyperOffices features, technology and otherresources, under your own brand name . And every dollar youspend on marketing builds your brand, not ours.

4 Me-too or Differentiation? Google Apps has over 2000 partnersfor Google Apps, while Microsoft Office 365/BPOS has over 7000.When potentially thousands of resellers are presenting solutionsfrom the same vendors, and those vendors set the price point,how do you differentiate yourself?

At HyperOffice, we have less than 50 carefully selected partnerswho are fully aligned with us. Plus, with greater control onbranding and pricing, you can differentiate yourself rather thanbeing another drop in the Google and Microsoft ocean.

5 Greater Margins. With HyperOffice, you can earn up to $65 peruser per year, or 55% over the base price. Google Apps andMicrosoft Office 365/BPOS offer you only 10% and 12% (6% afterfirst year) respectively.

6 Control Billing and Prices. With HyperOffice, you continue to ownyour customers by handling the entire customer life cycle fromsales to support, billing and collection. You also have theflexibility of choosing the sale price point.

7 Marketing and Sales Support. Leverage the marketing and salesexpertise we have gained over 10 years. Use our marketingresources, whitepapers, presentations, email templates, videosand more.

8 Training. Get in-depth training on using and implementingHyperOffice solutions through our live webinars.

HyperOffice VARs canwhite label their cloud-based offerings, acapability not availableto Google and Microsoftcloud VARs.

Andrew HickeyCRN.comNov 2010


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Talking hard numbers How you makemoney

HyperOffice offers you a number possible revenue generationstreams from licensing, value added services, and cross-sell and up-sell opportunities. Specifically, you can earn from the following:-

1. Recurring license revenue . You can earn a 55% margin onHyperOffices base price, or $65 per user per year.

2. Implementation and Data Migration . You can charge for valueadded services such as implementing HyperOffice for the clientand getting it up and running in turn key shape setting up

groups, adding members, implementing policy controls andpermissions, designing intranet pages, getting mobility andOutlook sync features up and running etc. .

Shifting to HyperOffice from a legacy messaging andcollaboration platform will invariably involve substantialmigration of data in terms of emails from messaging servers, datafrom excel, documents, etc., which channel partners canundertake and charge for.

3. Training and Support . HyperOffice Partners can offer paidtraining to their customers, as well as offer enhanced customerservice and help desk services.

4. Business Process Automation and Reengineering. HyperBaseis a robust database solution which forms part of HyperOffice. Itallows users to build customized database applications toautomate data collection and company workflows like leadtracking, CRM, order processing, customer ticketing etc.

HyperOffice Partners can develop custom workflows for thespecific needs of their clients using HyperBase to automate

business processes.

5. Customization. HyperOffice offers a range of customizationoptions so that end users can mould it into their businessenvironment intranet publisher, web forms builder, customdatabase applications and so on.


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Although HyperOffice has been designed for end users,companies may sometimes not have the time or inclination touse HyperOffice customization features to their full potential.

Partners can offer expert customization services for the specificneeds of particular clients, or customize the solution for differentverticals. For example, WeichertOffice is HyperOffice brandedand customized for the realty industry.

6. Integration. HyperOffice offers you the ability to integrate withthird party solutions. You may charge your clients for integrationwith legacy systems or third party SaaS applications, or createand sell integrated bundles of different SaaS solutions.

License Revenue Projections


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www HyperOffice com 1 800 434 5136

Conclusion

As IT vendors have found, moving to the cloud is no longer an if question. The benefits of SaaS are so obvious, and now that its atrusted and proven model, the next five years are going to witnessmassive adoption, which numerous studies confirm.

The Channel remains a s relevant as its ever been, because end usersstill see them serving their traditional roles of advisors andconsultants in the IT value chain. Increasingly distributed workforcesand the emergence of business mobile technology have ensured thatcloud based communication and collaboration are going to be thefirst wave of SaaS for SMBs. They also offer the largest opportunitybecause they are universal needs across businesses and industries.

So why shouldnt they get these solutions through you?

HyperOffice brings you a trusted and experienced partner willing togo the extra mile to ensure your success. We offer you an opportunityto be in the eye of multiple converging trends SaaS,communication, collaboration, mobility. You can find a place in theSMB market early, and open new vistas. And your marketing dollarbuilds your brand, not ours.

The window to the cloud is open, and you have to decide if they wantto be amongst the leaders, or lag behind.

About HyperOffice

Launched in 1998, HyperOffice Inc., is a leading provider of online messaging & collaboration software providing SMBsproductivity tools to collaborate, communicate, and manage information from any browser or mobile device. Available

under pay-as-you-go plans, HyperOffice includes all the tools teams need to be effective - business email , documentmanagement, calendars, task management, online meetings, or online databases. Companies use HyperOffice as anintranet solution , for team collaboration and project management , or as an inexpensive alternative to expensive on-premise software like MS Exchange and SharePoint .

NEXT STEPS

1. Visit our Partner Site -http://partners.hyperoffice.com

2. Check our Partner Programs .

3. Contact us and get started!(or call 1.800.434.5136)
http://www.hyperoffice.com/business-email-service/http://www.hyperoffice.com/business-email-service/http://www.hyperoffice.com/business-email-service/http://www.hyperoffice.com/intranet-software-solution/http://www.hyperoffice.com/intranet-software-solution/http://www.hyperoffice.com/collaboration-suite/http://www.hyperoffice.com/collaboration-suite/http://www.hyperoffice.com/collaboration-suite/http://www.hyperoffice.com/online-project-management/http://www.hyperoffice.com/online-project-management/http://www.hyperoffice.com/online-project-management/http://www.hyperoffice.com/hyperoffice-solutions/http://www.hyperoffice.com/hyperoffice-solutions/http://www.hyperoffice.com/hyperoffice-solutions/http://partners.hyperoffice.com/http://partners.hyperoffice.com/http://partners.hyperoffice.com/partner-programs.phphttp://partners.hyperoffice.com/partner-programs.phphttp://partners.hyperoffice.com/partner-programs.phphttp://partners.hyperoffice.com/contact-us.phphttp://partners.hyperoffice.com/contact-us.phphttp://partners.hyperoffice.com/contact-us.phphttp://partners.hyperoffice.com/contact-us.phphttp://partners.hyperoffice.com/contact-us.phphttp://partners.hyperoffice.com/partner-programs.phphttp://partners.hyperoffice.com/http://www.hyperoffice.com/hyperoffice-solutions/http://www.hyperoffice.com/online-project-management/http://www.hyperoffice.com/collaboration-suite/http://www.hyperoffice.com/intranet-software-solution/http://www.hyperoffice.com/business-email-service/

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