SAP and Oracle's referral programs have different focus

By Victoria Ho, ZDNet Asia
Thursday, April 17, 2008 07:38 PM

Although their recently launched referral programs are similar, Oracle's is driven by financial gain while SAP's is focused on building relationships with its channel partners, says Ovum.

SAP earlier this month announced the launch of a business referral program targeted at small to midsize businesses (SMBs), in which it will pay for leads for new business. Channel partners will get a 5 percent cut of a deal's net software license value, according to SAP.

Oracle's program pays a similar 5 percent, capped at US$50,000.

Warren Wilson, Ovum research director, said in a statement the programs "should pay a double dividend" in bringing in new business and helping to identify new partners for the two software giants.

The program will offer the opportunity for the two rival companies to evaluate which of the partners will be most productive or can best fill gaps in their market coverage, said Wilson.

However, the differences between the two vendors' programs may be their emphasis, noted Wilson.

"Oracle's lead message is the money," said Wilson, adding that its programs focus on increasing deal volumes.

"SAP, by contrast, emphasizes deep engagement, building long-term relationships and two-way loyalty through co-innovation programs in which the partner helps to define the Web services that will underpin the solution.

"Which method is more effective is a question that the market will take years to answer," said Wilson.


WORTHWHILE?

0

0 votes
Blog

Talkback 0 comments

There are currently no comments for this post.

Guest user

Guest user

Level: 
Joined: —
Already a member? Log in »



 

Loading...

Tech Jobs Now!

Mainsoft: Opening options for Java, .NET developers

Java

Mainsoft provides tools for running .NET code on the Java platform.


Read more »


Tags

  1. asian
  2. beijing
  3. bid
  4. by
  5. china
  6. companies
  7. data
  8. eds
  9. gartner
  10. green
  11. hp
  12. ibm
  13. ict
  14. india
  15. indian
  16. investors
  17. jobs
  18. key
  19. market
  20. microsoft
  21. outsourcing
  22. philippine
  23. sets
  24. spend
  25. spore
  26. tech
  27. uk
  28. us
  29. workers
  30. yahoo
 
Oracle SOA Business Software Centre
Many companies are recognizing the need to adopt standards in their efforts to build service-oriented applications.
Secure the "Next-Gen SOA Infrastructure" & "Bringing SOA Value Patterns to Life" whitepapers here

» Visit the Power Center
Increase performance with eco-technology innovations
Simplify your infrastructure and unify management, while lowering power and cooling costs of your datacenter.
» Maximum flexibility with powerful blade technolgy
» Bring new services and applications online faster
» Lower energy use and cost

Up close and personal with a merger

Blog thumbnail

What can you get for 13.9 billion buckaroos? For Hewlett-Packard, US$13.9 billion would allow you to buy your way into becoming the second biggest IT services company in the industry...... by Eileen Yu

Read more »