Comments on: SMB / SME Have Become Obsolete Acronyms http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/ Connecting the dots ... Sat, 21 Nov 2009 06:03:39 -0800 http://wordpress.org/?v=2.8.6 hourly 1 By: Netbooks Resurfaces from Hibernation as WorkingPoint: SaaS for SMB with Nicer UI but Much Less Functionality | Zoli’s Blog http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-17870 Netbooks Resurfaces from Hibernation as WorkingPoint: SaaS for SMB with Nicer UI but Much Less Functionality | Zoli’s Blog Thu, 18 Jun 2009 16:31:34 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-17870 [...] company had an affordable On-Demand integrated business management solution for the   VSB – very small businesses, the “S” in SMB / SME: typically companies with less then 25 employees, sometimes only 3-5, [...] [...] company had an affordable On-Demand integrated business management solution for the   VSB – very small businesses, the “S” in SMB / SME: typically companies with less then 25 employees, sometimes only 3-5, [...]

]]> By: SEO Training http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-13536 SEO Training Fri, 29 Aug 2008 12:24:07 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-13536 Melbourne, that's a nice easy answer, but it doesn't deal with the complexity of some businesses. For example, a hamburger joint with 90 staff may be a lot easier to run and manage than an engineering firm with 10 staff notwithstanding the dollars per employee. Software companies need to target those companies with big upside for better reporting and automation. Melbourne, that’s a nice easy answer, but it doesn’t deal with the complexity of some businesses. For example, a hamburger joint with 90 staff may be a lot easier to run and manage than an engineering firm with 10 staff notwithstanding the dollars per employee.

Software companies need to target those companies with big upside for better reporting and automation.

]]> By: Melbourne Hotel http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-13453 Melbourne Hotel Sat, 23 Aug 2008 11:04:32 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-13453 Maybe rather than SME we need a number tag. Turnover is USD divided by number of staff. So a business turning over $25,000,000 with 40 staff would be a 625 business. Maybe rather than SME we need a number tag. Turnover is USD divided by number of staff. So a business turning over $25,000,000 with 40 staff would be a 625 business.

]]> By: Search Engine Marketing Firm http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-11716 Search Engine Marketing Firm Sun, 18 May 2008 06:32:15 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-11716 Zoli- I talk with about 20 small business owners every day. I will tell you, when you see those tv and magazine ads from the likes of IBM and SAP intended for the SMB market, there is definitely a disconnect. This leads one to believe that the traditional enterprise software company's view of small business is not based on reality. Zoli-
I talk with about 20 small business owners every day.
I will tell you, when you see those tv and magazine ads from the likes of IBM and SAP intended for the SMB market, there is definitely a disconnect.
This leads one to believe that the traditional enterprise software company’s view of small business is not based on reality.

]]> By: Asia Business Advisor http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-7986 Asia Business Advisor Sun, 06 Jan 2008 15:05:28 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-7986 How about the business software needs of the shoe-string operations? Are these included in your opinion under the SME/SMB acronym? Most of these "glocal" startups run from the living rooms however do benefit from the recent SaaS/open source trend and exponentially growing smaller and smaller niches and long-tail demand. How about the business software needs of the shoe-string operations? Are these included in your opinion under the SME/SMB acronym? Most of these “glocal” startups run from the living rooms however do benefit from the recent SaaS/open source trend and exponentially growing smaller and smaller niches and long-tail demand.

]]> By: Zoli's Blog http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-485 Zoli's Blog Wed, 31 May 2006 17:45:10 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-485 <strong>SaaS for Very Small Businesses - Show Me the Money</strong> Recently, in  SME / SMB Have Become Obsolete Acronyms I discussed how now, that business software and services have become affordably available to small businesses, the SMB term has become inadequate to describe this market, especially from the so... SaaS for Very Small Businesses – Show Me the Money

Recently, in  SME / SMB Have Become Obsolete Acronyms I discussed how now, that business software and services have become affordably available to small businesses, the SMB term has become inadequate to describe this market, especially from the so…

]]> By: Zoli Erdos http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-482 Zoli Erdos Thu, 11 May 2006 16:56:24 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-482 Hi Philip, I agree the term won't become obsolete from a government regulatory point of view (the SBA has tight definitions here in the US, too) but I've made it clear I am talking "i<em>n terms of describing a market segment, especially in the software industry</em>". I also agree with you that it's not the acronym that's important, but the business context behind it. For all I care, very small businesses could be called VSB or XYZ:-) The point again, from a software industry point of view is that for many vendors and analysts this has been a process of "coming down" from the Fortune x market, and while they talk about SMB / SME solutions they still think their customer is the CIO or IT department at the "SMB" - well that may be so for the mid-market, but the really small businesses don't even have a full-time IT guy whatsoever. So to very clearly restate the message: the (software) needs of a very small business are significantly different from a midsize organization, and lumping them together masks that difference. Hi Philip,

I agree the term won’t become obsolete from a government regulatory point of view (the SBA has tight definitions here in the US, too) but I’ve made it clear I am talking “in terms of describing a market segment, especially in the software industry“.

I also agree with you that it’s not the acronym that’s important, but the business context behind it. For all I care, very small businesses could be called VSB or XYZ:-)

The point again, from a software industry point of view is that for many vendors and analysts this has been a process of “coming down” from the Fortune x market, and while they talk about SMB / SME solutions they still think their customer is the CIO or IT department at the “SMB” – well that may be so for the mid-market, but the really small businesses don’t even have a full-time IT guy whatsoever.

So to very clearly restate the message: the (software) needs of a very small business are significantly different from a midsize organization, and lumping them together masks that difference.

]]> By: Anonymous http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-483 Anonymous Thu, 11 May 2006 16:33:19 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-483 Hi Zoli I totally agree with you that the software needs of a very small operation are totally different to a medium-sized one. The other important categorisation is sector. For example, a medium sized distributor needs a very different system to a medium sized law firm. Hi Zoli

I totally agree with you that the software needs of a very small operation are totally different to a medium-sized one. The other important categorisation is sector. For example, a medium sized distributor needs a very different system to a medium sized law firm.

]]> By: Philip Woodgate http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-481 Philip Woodgate Thu, 11 May 2006 12:28:49 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-481 The term SME is not going to be obsolete in the foreseeable future, if just for government compliance reasons. Governments may be criticised for not helping SME’s enough, but they realise that SME’s are important. In the UK over 50% of the business employment derives from SME’s. Governments need <a href="http://europa.eu.int/comm/enterprise/enterprise_policy/sme_definition/index_en.htm" rel="nofollow">definitions</a> to determine tax breaks, audit requirements, employee regulations etc. The term is very broad in its meaning and as a sophisticated user you’ve drilled down to get more information. The common ones are size, sector and location, but obviously there are more. The important thing on helping a business is not the acronym, but actually understanding the needs of the business and for some of those businesses the SaaS approach is just perfect. The term SME is not going to be obsolete in the foreseeable future, if just for government compliance reasons. Governments may be criticised for not helping SME’s enough, but they realise that SME’s are important. In the UK over 50% of the business employment derives from SME’s. Governments need definitions to determine tax breaks, audit requirements, employee regulations etc.

The term is very broad in its meaning and as a sophisticated user you’ve drilled down to get more information. The common ones are size, sector and location, but obviously there are more. The important thing on helping a business is not the acronym, but actually understanding the needs of the business and for some of those businesses the SaaS approach is just perfect.

]]> By: Dharmesh Shah http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-480 Dharmesh Shah Wed, 10 May 2006 21:24:06 +0000 http://www.zoliblog.com/2006/05/10/smb-sme-have-become-obsolete-acronyms/#comment-480 I agree with you. SMB is too broad a category and doesn't address the finer segments that you've identified. I've begun using the VSB (Very Small Business) moniker when describing my new startup (HubSpot) which seeks to provide a SaaS solution for specific verticals in the VSB market-place. I agree with you. SMB is too broad a category and doesn’t address the finer segments that you’ve identified.

I’ve begun using the VSB (Very Small Business) moniker when describing my new startup (HubSpot) which seeks to provide a SaaS solution for specific verticals in the VSB market-place.

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