Vendor Focus: Netsuite

Updated: January 19, 2010

This analysis is presented to align with the key solution and vendor characteristics identified as critical to buyers in the Focus Research Methodology. These include product, cost and vendor considerations.

Product Considerations: NetSuite offers a portfolio of on-demand solutions for a wide range of business-critical functions - NetSuite Financials, NetSuite CRM+, NetSuite Ecommerce for Web sites and online stores and SuiteAnalytics. NetSuite OneWorld is an on-demand offering that supports real-time consolidated management of multiple locations, currencies and languages. The company also offers the NetSuite SuiteCloud platform, designed to support custom and vertical applications and business processes. There is also a growing SuiteCloud Developers Network and applications directory, according to NetSuite.

Cost Considerations: NetSuite prices its solution beginning at $99 per user per month, with a "base fee" of $499 per month, according to the company. Pricing can vary depending upon the features and functions selected. The company offers an application for a free trial at its Web site.

Vendor Considerations: Based on briefings with NetSuite executives, Focus believes the company is poised to take advantage of current market trends. These include increasing adoption of cloud-based solutions for business-critical functions such as financial management, CRM and ERP. In addition, the continuing success of market leader and its partner ecosystem, combined with the promotion by SAP of its Business ByDesign on-demand offering, provide increasing market validation for NetSuite and its partners.

However, these companies also represent formidable competition for NetSuite. Emerging competitors such as also present possible challenges to the company. ('s customers have so far been smaller than most typical NetSuite users, but nothing prevents either company from going after the other vendor's current primary market.) NetSuite will have to continue and extend its proven abilities to innovate and compete, and leverage its thousands of current customers, to extend its market leadership and presence. To the extent that it can succeed in these efforts, Focus believes that users can count on NetSuite to be a significant competitor in CRM, ERP and related areas for the foreseeable future.

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