| Once, competition in the accounting software reselling world was relatively polite. VARs didn’t aggressively poach other organizations’ employees and there was a certain respect when one had an account almost sewed up. But resellers are saying that the emphasis by both Microsoft and Sage on getting new revenue in order to maintain margin tiers has ended the civility. Someone pointed to SWK Technologies' hiring two key individuals away from Nextec as an example. The two were the mainstays of Nextec’s X3 practice and the affair was subject of legal wrangling over the individuals’ noncompetes. But beyond that, comments keep arising like “It’s never been like this before” as dealers grab for business to maintain profit margins. This doesn’t seem likely to change as Microsoft’s new reseller program kicks in on October 1. Taylor Macdonald, in his new role in running Intacct’s channel program, said he’s seen the same fierceness and vows to do something about it with his new employer’s program. “There will be rules of behavior,” he said, adding that when it comes to the infighting “That stuff doesn’t do anybody any good. It doesn’t do the partner any good.” But he adds that on the vendor side, “No one is willing to control the behavior”. |
Bob Scott has been informing and entertaining the mid-market financial software community with his email newsletters for 10 years. And he has been covering this market through print publications for 18 years, first as technology editor of Accounting Today and then as the Editor of Accounting Technology from 1997 through 2009. He has covered the traditional tax and accounting profession during the same time and continues to address that as executive editor of the Progressive Accountant.
