Salesnet’s ASP CRM Now OEM?

Kevin Newcomb

Updated · Nov 17, 2003

Online CRM provider Salesnet today unveiled its OEM Partner program and “application syndication” strategy, which allows technology partners to implement a private-label version of Salesnet's application integrated with the partner's own software.

Through the application syndication model, Salesnet's online CRM solutions can be rapidly deployed by a partner and bundled into their own offering. Salesnet is specifically targeting vertical markets that have not been highly penetrated by CRM vendors, but that do have incumbent technology providers who have the domain expertise and the bandwidth to add CRM to their offering.

“The nature of the ASP model — easily configurable, quickly deployed, and immensely scalable — fits perfectly into syndicating the application and OEMing it,” said Sheryl Kingstone, Yankee Group's program manager for CRM. “Now that the ASP industry is widely accepted by the mainstream, Salesnet is paving the way to rapidly pursue sales growth.”

The OEM Partner program is part of a larger verticalization strategy that began earlier this year, which involves applying Salesnet's general-purpose tool to specific industry verticals that were underserved by CRM capabilities.

“To make that work, you need to understand in detail the requirements of a particular industry vertical,” Dan Starr, Salesnet's Chief Marketing Officer, told ASPnews. “The only way you can really do that is either by doing lots of research, or by working with people that understand those industries in-depth. Then, you have to have the reach to be able to distribute products into those verticals.”

“We found the best way for us to take our general purpose tool and apply it with industry know-how was to work with partners. We looked for technology partners that provided technology-based solutions into industry verticals that had significant back-office applications and were looking for a front-office selling application that could be connected to it.”

Salesnet looked for companies that served just one or two verticals, so they would be experts in that vertical. They focused on companies that had a broad distribution capabilities, and a broad customer footprint within their industry.

“These technology providers in the industry have the relationship, they have the brand, they have the recognition within their industry. One way we leverage that is through a private label product, which allows a company to take the product, brand it as their own, integrate it with their own products for that industry, configure it and customize it specifically for a target vertical.”

Salesnet's first publicly announced OEM partner is Encoda Systems, a sales, traffic, programming, and financial software vendor for the cable and broadcasting industries. Salesnet's private-label online CRM application has been integrated into Encoda's MediaExec CRM software system and will be marketed to 137,000 sales professionals in Encoda's existing worldwide customer base.

“We were seeking a highly-effective method to rapidly provide a turnkey CRM solution that could be fully integrated into our back-office system,” said John Sorensen, president of Encoda Systems' Broadband division. “By leveraging Salesnet's platform, we can bring an integrated front- and back-office solution to market much faster than if we had partnered with a licensed software provider.”

Salesnet's OEM/application syndication strategy is the latest offering to its rapidly growing partner network. Last month, Salesnet announced a CRM Reseller program that enables partners to sell, implement, and manage an online CRM service for their customers. Salesnet also offers a Sales Methodology Partner program to help sales trainers and consultants reinforce the teachings and best practices of their methodologies. And, finally, Salesnet owns relationships with other technology vendors to drive mutual business through its Technology Provider program.

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