Pegasus chief heralds 'brand renaissance'

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Comments about the state of the business software market at the recent Softworld event in London prompted a riposte from the Kettering base of Pegasus Software. John Stokdyk reports.

While Pegasus commercial director Kevin McCallum agreed with his rivals that most business software sales were coming from second- and third-time buyers who wanted more comprehensive solutions, he argued that his company's recent resurgence challenged AccountingWEB's analysis that this sector of the market was turning into a cul de sac.

McCallum also took issue with the increasing tendency to compartmentalise software developers under the banner of "mid-market ERP". The concept of enterprise resource planning (ERP) developed by SAP in the 1990s has gone through a reclassification as SAP...

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20th Mar 2008 12:31

Head in the sand again Pegasus?
It is very interesting that the views of Pegasus, one of the major players in the mid tier, are so one dimensional.
SaaS is certainly something that is being taken seriously by the business accounting community. We, Xero, have seen huge amount of interest in our offering and although not in the same market arena as Opera II, it is amusing that Pegasus are "looking at" remote access options.
Surely if Pegasus were serious about connecting remote users with their application, it would be through a browser based offering.
Seeing the reluctance of Pegasus Opera users, even with it's noted printing issues, to move to Opera II, it is therefore, no surprise that Pegasus are eager to pour "scorn" on new and exciting improvements in accounting software.

Brand Renaissance? I think Pegasus customers would be more interested in Product Renaissance.

Mark Hallett
Business Development Director

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By Anonymous
21st Mar 2008 09:54

Eh! - Pegasus remote access ....
Not another established player decrying SaaS and in the same sentence offering remote access to their systems !!

A number of factors are in play here, but they essentially boil down to:

vision - is Infor, the private equity group in the vision business. Surely their real mandate is to extend the cash generating life of legacy applications for as long as possible, with minimal investment?
risk - providing the numbers add up and one can exist on maintenance revenues with marginal investment then what is the point of adopting a 'high risk' strategy of developing costly new systems such as Software Services
cost - the cost of a re-write from scratch is considerable - one runs the risk of finding new markets and alienating the existing customer base

Today it is functionality rather than scalability that determines a products position in the market and in this respect SaaS is still in its infancy - however, it will progress at an increasing pace as well as evolving along the way

Yes there is currently a 'rash' of external offerings coming to the UK market but perhaps that is good for awareness. UK uptake of SaaS has historically been slow for a number of reasons including the fact that direct sell results in unreceptive advisors expecting a reseller commission - as the following confirms '..We shouldn't underestimate the role of our reseller partners..'

As for the comment ' our area, there aren't many people left to acquire..'. Apart from acquiring the income maintenance stream from legacy apps who would actually want to take on this type of commitment ?

This probably says it all:

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