Sage News and Discussion

Curious, for those actually selling net new names, are you seeing alot of demand for the subscription option?? Anybody know how Sage is doing with this? I think Microsoft is going to start pushing this for NAV soon.

0 interest, other than just asking for a comparison. Once they see their 36-60 month cost comparison it becomes a dead option.

Mostly in smaller sites where they need a lot of modules but not a lot of users. I have at least one customer who is looking at switching because the subscription for their three actual users is less expensive than their annual maintenance.

I am experiencing positive interest. We have 5 customers on subscription. 4 of those are under 5 users, so @RobertWood's observations are correct. We sold a 35-user distribution and manufacturing customer at the end of June and they are now adding 15 more to total 50. Their reason for subscription is they are part of a multi-billion dollar parent and don't want this hitting the balance sheet. I have also found interest from non-profits where they have budget for accounting and IT budgets for expenses, but do not want to go to the board for capital expenditure approvals. Subscription is ideal for those customers who are way off maintenance, especially if the Winback discounts start going away. Those are the type of customers who are primarily concerned with monthly cash flow, so they don't do the long term calculation. When a customer does that calculation, I ask if they do that when they lease their car (assuming they lease), and the argument usually falls flat. Combine this with hosting from @GaryFeldman and monthly access level value pricing, and for some new clients, this is very attractive.

We have seen mostly small users as well although we do have a 26 user subscription and 50+ user SAP subscription deal in an SAP Cloud from another reseller as well. Large organizations who care about capital vs. operating are also subscribing. It is attracting off plan customers.

One issue in the market is that the ""endorsed solutions"" and other major developer applications are not offered on subscription. I spoke with Trish Gardner yesterday (of DSD, formerly Altec) and she said Altec lost many sales because they don't have a subscription option. I also found out from Nicole Laurier (Fisher Technology) offers TaskCentre on subscription. Little known fact, because they are not publicizing it, is that JobOps is offered on subscription.

Also...We just took a customer off subscription because Sage will only accept subscription with a credit card.

We've offered subscription where cash flow is potentially an issue, but all have elected purchased except for 1. That happened to be a 25 user Sage 100 where investment group purchased company and they wanted to conserve cash to start. We do more leasing than subscription since they can roll in our fees.