Earlier today I spoke with Bryan Richter, UK country manager for Mamut about the release of Mamut One. Mamut hasn’t quite found saas/cloud religion but is betting that accounting types will continue to prefer core transaction data is kept on premise while other services are built around it that can be served up via the internet cloud. Saas purists will poo poo the idea as flawed but there is a certain pragmatism in this half way house that should not be dismissed. First up – what’s it all about? From the blurbs:
The software plus services model means customers can keep business-critical data stored locally, while at the same time enables sales and marketing information to be hosted in the cloud for easy access on the go – ideal for sales people and employees working from home or while travelling. Mamut One’s flexible design provides users with the right information on the right device, anywhere and at any time, without any additional investments in infrastructure.
OK so that’s your accounting data held locally while you do CRM in the cloud? Yes and more. Mamut is banking on small companies wanting all their business requirements met via a single vendor. It can’t develop everything itself so has some third party integrations where they’re starting to fill in the white spaces with many of those services being offered as cloud based. The company provides an example:
All areas in the software in Mamut One are integrated with one another. An example of this is that with just one keystroke can convert an order to an invoice. While at the same time it is automatically updated within the nominal ledger. That is, an action will automatically lead to all information being updated in the remaining modules in the system. The locally installed software is also integrated with the services of Mamut One. You can for example work online and within a few seconds all information is updated and available for all colleagues.
During our conversation Bryan made the point: “I’m not sure there is any competitive differentiation between running your accounts in the cloud or on-premise so we’re positioning the offering for companies that want to drive both growth an efficiency in the business as a whole.”
The problem for Mamut comes in positioning this offering against powerful competitors. Although Mamut says it addresses the 1>50 employee company the reality is that very small businesses would not consider this solution, although the company has other offerings for that segment. There’s too much to chew off. If they position against the next group up then they start to bump against Microsoft and (possibly) Sage. Microsoft is stirring itself again after a period of relative stagnation, especially in the CRM space. However, this is one area where professionals have shown remarkably little interest. If recent experience is a guide, then brand matters but this is not a strong suit for Mamut – at least not in the UK. What does it do?
We discussed the problem of professionals not being aware of the need for business solutions but instead focusing on the accounting apps. That’s understandable yet it is often the professional who has one of the louder voices in the decision making process. That means education, a tough process when professionals perceive themselves as having other responsibilities. Where Mamut can start to win is by showcasing customers, something I recommend on an almost daily basis. Bryan said they plan to get customer stories up on YouTube. That’s a good place to start but it will need a lot more surrounding the message than a few videos. Costed business cases matter as companies seek to eek out value from constrained resources. The better that case, the more likely they will come into the reckoning. How does Mamut One stack up?
At a current offer price of £590 plus £59/month for gold support, you’re getting a lot for your money. The inclusion of CRM, e-commerce, logistics, analytics, document sharing and other collaborative tools provides the buyer with plenty to think about. But that’s only the starting point. You’ll need to negotiate for multi-user licenses bearing in mind that not all users will want or need ‘access all areas.’ The long term question is whether Mamut’s offering will be able to compete effectively at some of the price points saas/cloud competitors can offer and whether, by that stage, the location where financial data is held matters either perceptually or in reality.
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