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 Channel Futures

Sales & Marketing


Google’s Memo to CIOs

  • Written by The VAR Guy 1
  • January 15, 2010
The Google Apps team has taken its sales pitch directly to chief information officers. Earlier today, The VAR Guy spotted a Google Apps direct mail piece that shows CIOs how much money they can allegedly save by switching to Google Apps. This is part of Google's broader 2010 enterprise push, The VAR Guy believes. Here's the scoop.

google_appsThe Google Apps team has taken its sales pitch directly to chief information officers. Earlier today, The VAR Guy spotted a Google Apps direct mail piece that shows CIOs how much money they can allegedly save by switching to Google Apps. This is part of Google’s broader 2010 enterprise push, The VAR Guy believes. Here’s the scoop.

Sure, Google continues to build out its Google Apps Reseller partner program. And a healthy number of VARs and managed service providers are signing up. One prime example involves New Mind Group, a solutions provider in Michigan.

Enterprise Pitch

But Google also is taking its message direct to enterprise CIOs. Sources say the search giant many launch an enterprise-oriented conference for corporate customers. And in the meantime, Matthew Glotzback, director of global products for Google Enterprise, is using direct mail to engage CIOs.

One recent direct mail campaign included a Savings Calculator that shows CIOs “how much your business could save by switching to Google Apps Premier Edition.” Details about the calculator are also available online. In the direct mail piece, Google also puts the spotlight on Bob Rudy, VP and CIO of Avago Technologies. Rudy states:

“My users are happy now, and I also save $1.6 million dollars per year (with Google Apps).”

Other CIOs seem to be jumping on the Google Apps bandwagon. Recent examples include The City of Los Angeles as well as dozens of colleges and universities.

Microsoft’s Moves

Meanwhile, Microsoft is preparing a range of on-premise and SaaS applications. Emerging options include…

  • a free, advertising-based suite called Office 2010 Starter Edition
  • Office Web, a SaaS cousin to Office 2010
  • Traditional Office 2010 offerings

Both Microsoft and Google are quick to note that their SaaS efforts extend beyond productivity applications. Google’s direct mail piece points out that Google Apps includes Gmail (email, IM, voice and video chat), Google Calendar, Google Video, Google Sides, Google Docs, Spreadsheets and a range of security services.

For its part, Microsoft is marching forward with Windows Azure (a cloud-based Windows platform for ISVs and enterprises) and Business Productivity Online Suite (BPOS, which includes Exchange Online, SharePoint Online and other options).

The competition seems pretty intense. Microsoft in November 2009 cut BPOS prices. And since that time, rivals like Zoho and VMware have made a range of competitive SaaS application moves.

The VAR Guy isn’t choosing any favorites. But he’ll be watching Google’s Glotzbach closely for sings of another enterprise move…

Tags: Cloud Service Providers Digital Service Providers MSPs VARs/SIs Cloud Sales & Marketing

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5 comments

  1. Avatar Stuart Crawford January 16, 2010 @ 5:44 am
    Reply

    VarGuy this is very interesting. With my firm here in Calgary we are watching the cloud and everything Internet very closely. Many of our clients are going directly to the cloud and bypassing the VAR in all decisions. In our consulting role we are presenting a wide variety of options, some are Microsoft and many are Google. I will have to check out those other offerings.

    Stuart Crawford
    Calgary, AB
    http://www.ulistic.com

  2. Avatar Ming Yong January 16, 2010 @ 6:02 am
    Reply

    Stuart,
    The maturity of cloud based office productivity suite like Google Apps and cloud services like Amazon is changing the dynamics of the VAR. It also creates new opportunities. Socialwok (http://www.socialwok.com) is an example of how ISVs can leverage the cloud and platforms like Google Apps. We provide business social network for Google Apps domains and google accounts. Google domains can use Socialwok for facebook like social sharing and collaboration.

    As for the VAR channel, we will be announcing a new offering built on the Google platform leading up to Google IO 2010 that VARs can offer to end customers. Check out this 2 screenshots on our new UI to be launched next week
    http://www.twitpic.com/y0yrx
    http://www.twitpic.com/y0ynw

    Ming, CEO of Socialwok (http://socialwok.com)

  3. Avatar Pankaj January 18, 2010 @ 2:03 pm
    Reply

    We had recently done a detailed feature and cost comparison of Google Apps, Microsoft BPOS and HyperOffice, which you may want to check out. Google’s calculator does not include the costs of training and support, though ironically it has a Google Apps partner program as you mention.

    Pankaj
    http://www.hyperoffice.com

  4. Avatar The VAR Guy January 18, 2010 @ 3:19 pm
    Reply

    Stuart@1: The VAR Guy noticed you have a new company URL. Congrats. Our resident blogger will be sure to follow-up.

    Ming@2: Our blog team will be sure to touch base regarding Socialwok.

    Panka@3: Thanks for the link. The VAR Guy is giving it a look. Please keep our resident blogger and his team of editors posted as you make more moves at HyperOffice.
    -TVG

  5. Avatar David doherty January 20, 2010 @ 9:49 am
    Reply

    it is interesting that Google do not mention any impact (and therefore costs)on the enterprise Network if you have anything over say 20 people in one site? the calculator omits these costs and can take IT managers by surprise when they find their Net is clogged with mail traffic going to the ‘cloud’. it might be still a good choice, but should be a fully informed choice!
    David

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