SAP Recognizes Orchestra as "Future" of Small Biz
SAP announced at the Summit that channel partners like Orchestra are now collectively producing 33 percent of SAP's sales, which will bring SAP well within range of its goal of obtaining 40 percent of sales through channel partners by 2015. SAP relies on partners like Orchestra to customize and distribute its software through specific industry "channels". Orchestra's implementation methodology is also drastically different from many fellow SAP partners with its "assembly line" approach, which SAP considers the wave of the future for SMEs.
Though SAP is better known for its robust ERP software for the world's largest Fortune 500 companies, it has recently shifted its focus to providing enterprise software solutions geared toward the growing small business sector – like craft breweries.
Orchestra anticipated future growth in the SME sector and developed three extremely successful solutions for "micro-vertical" industries built on SAP's entry-level product called Business One. Orchestra's solutions rely on the SAP Business One platform for about 80 percent of the base functionality like accounting and inventory, with Orchestra developing the remaining 20 percent for specific industries such as craft beer.
OrchestratedBEER has risen to the top as the most successful vertical due to the current boom in the craft beer industry. Among the three OrchestratedBEER product offerings, its cloud-based OnDemand product has been gaining momentum with breweries in the startup and micro stage with its rapid deployment, scalability and affordability.
OrchestratedBEER also recently reached 30 customers as of December, but Orchestra COO, Reshad Kazimee anticipates “214 breweries by the year 2014”, making OrchestratedBEER the standard beer industry solution and contributing significantly to the success of SAP’s channel partner program.
Orchestra chose to build its verticals on the SAP platform, stating that SAP recruits fewer, higher-value partners compared to Microsoft, Sage or any other platform, because "That's what customers are looking for," said Orchestra President, Brad Windecker.