Sage puts head in the sand

by admin on May 22, 2006

in Innovation

One of my friends is trying to get hold of the API to Sage Line 50. I won’t reveal who it is because there are a number of negotiations underway with suppliers, vendors and customers that are all in the melting pot.

Access to the API is crucial to the business and is of no competitive interest to Sage. It’s not in an area Sage understands. They’ve proven difficult to deal with – nothing new there then – and want my friend to pony up £2,500 for the pleasure. OK – it’s not exactly a huge amount of money but in putting this roadblock up, I believe Sage is behaving in a very short sighted.

Sage has many thousands of disconnected customers who could benefit from being hooked up to my friend’s hub. It solves a business critical issue that removes significant friction from the transaction cycle. Sage would benefit because it’s customers would have an automatic incentive to register product. Which doesn’t always happen. At present, it only has around 167,000 registered Line 50 users and by its own admission, many fall through the net. So my friend’s request is a good thing for everyone.

I have no intention of making this post an online negotiation. Neither am I seeking to shame them into caving in which is a bad idea anyway. But given Sage generated £776.6 million in revenues during FY2005 – £2.5K won’t even register in petty cash. Instead, I’m appealing to Sage’s new found listening ear. I’m saying to Sage this is a great opportunity to demonstrate good citizenship in a world where everyone wants to be connected and where the potential distance between anyone, anywhere is little more than a mouse click. It’s a golden opportunity to break the mould which has, for years, left VSBs/SMBs at a huge financial disadvantage to the large hub players.

My friend has APIs for Sage Instant, Mamut and Access Accounting which is a great start but won’t be enough to develop a mass market. I’m trying to broker conversations with Microsoft Business Solutions and SAP. Conversations are ongoing with Oracle.

I’ve brokered the start of a conversation with CODA though they’re not that easy to deal with either. Unfortunately, the person my friend needs to reach is on vacation. I hope Jeremy Roche, CODA CEO is reading this. Maybe he\d be prepared to give my friend a hearing. My friend is bootstrapping the operation and has got a headline customer signed up – if he can get access to CODA’s API.

This is important to professional accountants because, assuming my friend achieves a reasonable level of traction, then he will be making you and your clients lives significantly easier. He will provide traders with an opportunity to carve out administration cost. If you’re a paid up member of Sage Accountant’s Club how about alerting them to this issue?

Technorati Tags:

Comments have been disabled for this post.
Sort: Newest | Oldest

Looks nice - so - David - you 'get it' but think Sage will continue to put a lock on the developer community. OK - let's see how long that lasts in its current form.

It's www.interprisesuite.com
I have just come back from the pub so it was Mr Hoegartens fault.

Hello Dennis - if I were Sage my answer would be that n 100 Developers have paid for it and therefore so should a new Developer.
The SDKs for most packaged software are a cost the Developer has to bear. The model which Sage, SAP, Iris etc etc etc have is a lock out model- they wish to control all aspects of their products - the fact that it might not fit in with modern development thinking (and I tend to agree with you on this point), can be illustrated by the 5% Organic growth number which Sage cannot seem to beat. There are obviously many things which they are not doing correctly. Deying you the L50 SDK may be one!
Just as a bit of background I was a Sage Partner-the most consistently successful over the past ten years, but sold the business to focus on another opportunity, the fruits of which will be released in the UK in Sept06. The primary reason behind the move away from Sage is because I do not believe their business model or product line up can carry them forward. Having taken an order recently for 15000 seats in a global company, more licences than Sage have taken in their Mid Market Division in 2 or more years I believe I am right. See www.interprise.com for a taster of what will be arriving in the UK.

Thanks for the comment David but I'm wondering - is your argument based on the notion 'I've paid for it so should you?' If so then it's a justification for a lock-out model that doesn't fit with modern development thinking.

To say a given vendor has a market sewn up is a very dangerous assumption. In Sage's case, it is only true in the sense they are the largest paid SME incumbent. Overall, the largest provider is MS Excel.

Instant doesn't have an API as such, all you can get to is a CSV file. Half way house but OK for the moment.

I am not in the business of defending Sage but if your friends business proposition is so compelling he should be doing what other Developers have to do which is to purchase the Developers Kit for L50. If he cannot afford £2.5K it cannot be a serious business proposition. Sage have the shrink wrap market sewn up - Mamut, Access etc are just bystanders in this area, and Sage aim to keep it that way I am afraid. There are many products - some good, some bad which hook into L50 - and they all share one attribute. To link them in the Developer had to subscribe to the Developers Program. I do not think Sage have their heads in the sand on this issue, but I think your colleague perhaps has his head somewhere else.
As an aside Sage Instant is the same codeset as L50 I believe so perhaps he already has it!

Apologies for being a tad obtuse Chris, thanks for taking the time to read this through and giving of your time when you're due elsewhere. I hope that you can oil the appropriate wheels.

Hi Dennis - I'm not sure what this item on accmanpro refers to. I don't think JR will be able to see this because of travel commitments Do you want to give me a call to see if I can help? - CSW

Previous post:

Next post: