The confusion about the Cloud, Web based and SaaS

I'm often caught up in discussions about 'the cloud', web based, SaaS and so on. There seems to be a lot of confusion and different understandings around this topic.  

First of all, 'the cloud' is (foremost) about marketing

The use of Internet didn't start with the word 'cloud', but I see three main reasons why the use of the word 'cloud' has spread so fast:

  1. people's eager to find new things  (the fuel for marketing)
  2. the use of Internet was matured enough for the corporate world 
  3. the growth of PasS and IaaS liked services    (see below)  

I believe the strongest reason is the marketing part. Never underestimate the eager to sell old stuff in a new package. The 'cloud' was also the perfect excuse to create events and for journalists to write articles.  

The levels of 'the cloud'

On a high level 'the cloud' is all about "using the the Internet". However, the Internet has evolved so much over the last years that it make sense to divide it into different levels. It is now common to divide Internet based services into three levels:

  • SaaS - Software as a Service     
  • PaaS - Platform as a Service           
  • IaaS - Infrastructure as a Service 

Software as a Service (SaaS) 

Probably the most common 'cloud' service is the 'Software as a Service' (the name was started to be used in 2001). Instead of installing the software on your computer, you only 'run' it in you web browser. (No installations or upgrades.) More commonly known as 'web based' or 'Internet Based'. Of the different cloud versions, this is the only one the end user every will see.

OpenCrowd describes it as...

Examples of SaaS services are Projectplace (Swedish collaboration tool), Fortknox (Swedish accounting 'software'), Real09 (property management tool), Squarespace (brilliant blogging platform) and, of course, the most common examples, Salesforce (CRM) or Google Apps (email and more). More examples at OpenCrowd.  

Platforms as a Service (PaaS) 

This one is a bit trickier to understand for many end users. A 'platform' is for "application development and delivery". In other words, this is a service used by companies to create and deliver SaaS solutions. 

OpenCrowd describes it as...  

Salesforce is marketing it's service with the words... 

"What Does It Take to Develop PaaS Apps? 
A lot less than it used to. To develop software, you once had to buy databases, servers, networks, and a host of development tools. And then you needed the staff to install, optimize, and maintain it all.

With PaaS, you can avoid those investments and focus on developing applications instead." 

Examples of PaaS are Amazon AWS, Google App Engine and Salesforce Force.   

Infrastructure as a Service (IaaS)  

This level is all about the foundation of running a software in the first place. For example, servers and storage. 

OpenCrowd describes it as...  

Examples of IaaS are Amazons AWS services like EC2. 
Read more about IaaS here. 

Is ASP the same as SaaS?

Two concepts that are similar but have some differences. 

ASP - Application Service Provider 
"One instance of a software running suitable for the one customer". 
(It is then possible to then have several instances on the same server, but one per customer.) 

SaaS - Software as a Service  
"A single software will serve many clients."

In other words 
An ASP supplier commonly focus on a packaged-base approach (for example, they could offer many different solutions from different software companies) while SaaS takes product approach. An ASP provider need not be a manufacturer of the product, but a SaaS solution has been designed, built, delivered, configured and implemented normally by a single party who has total control of the system. However, it is quite common for providers of 'old' client/server products to offer their solutions as an ASP solutions from their own data centers, but still one instance per customer. In other words, no SaaS. A great paper on the difference of ASP and SaaS is found at Luit InfoTech. 

The great SaaS test 
I recommend to ask the supplier if they are able to set a demo account within 15 minutes. If they can't, they aren't a cloud supplier.  

Is web based always SaaS?

Nope!
As always when something is popular and in the press, "everyone" wants to shine. However, a service could be web based but not (according to me) in 'the cloud'. This is when a software is installed locally and the reached using a web browser. Yes, it is web based but not part of 'the cloud'. 

Below is a great example of this from a 'cloud' supplement to SvD (one of the two largest daily papers in Sweden). Out of 37 services listed, only 9 was actually 'cloud' services! 

The rest were ASP solutions.  
Nothing wrong with that, but it ain't the cloud! 
There is even a name on that SoSaaS...   

Finally, Keep it simple 

If talking to potential clients, keep it as simple as possible. Start using the word 'web based' and if they still (?) are following you, there may be reasons to explain a bit further more exactly what type of service you delivery.

However, don't forget that the user is first of all interested in the benefits.  

 

Wrap ups from Inman Connect 2010

Did you also miss the Inman Real Estate Connect 2010 conference in San Francisco last month? I did. But hereare some wrap ups I found.

THE INMAN SITE  

The people behind the Man show is making a brilliant job to make the speeches available online at the Inman site. For most of them you need a 99 USD subscription (which is fair).

Two examples of videos 'New kids on the Block' and 'Is Google getting into Real Estate?'.

REFLECTIONS OF ATTENDEES  

My friend Alistair from New Zealand writes about "the feeling that after 3 days you have been exposed to the largest mass of insight and emerging comprehension of where this industry is heading in the future"...  

... and Brian at 1000watt summarize the "perhaps the best Inman show ever" in five points...

... Rudy at Trulia describes some hectics days for the Trulia team (including a 3 mile run with clients)...

... Katie from Future of Real Estate Marketing is talking about her favorite session"building great web sites" (presentation at Slideshare)... 

... Peter at Business2 makes a great job on interviewing many of the exhibitors...

... and finally the Inman Contest Winners are announced including Innovator Awards.  

MY THOUGHTS  

Inman Real Estate Connect is a brilliant event if you're working in the area of residential real estate and technology (I'm more into commercial real estate so I have a had time to argue to go to the US twice a year...).

Furthermore, it's growing in international participants every year and it seems also to be thoughts about hosting Inman events in Sydney and Beijing (see Alistair's post). It's great news since I believe both in spreading the use of technology but also to learn from experiences from other countries. Keep up the great work the Inman Team! 

 

ARGUS to partner with RCA to integrate data in solutions

The real estate software supplier ARGUS (Facebook page) and the global real estate data research firm Real Capital Analytics has announced an interesting partnership making the RCA data available within the software suite.   

From the press release; 

"Initially this partnership will provide access to data points including a quartile distribution of capitalization rates and prices per unit within our market leading analysis and asset management solutions," says Mark P. Kingston, president and CEO of ARGUS Software. "More importantly, however, this partnership marks the first step in the convergence of real market data with our solutions that will facilitate the next generation of efficiency and value at the desktop."

"This venture between RCA and ARGUS is a natural. To value a commercial property anywhere in the world, ARGUS has the leading software and RCA has the leading data," said Robert M. White, Jr., RCA's founder and president. "The cooperative efforts between the two firms will yield great value for our clients."

My thoughts

This is a great move. I strongly believe in making the research work much more efficient by merging data from different sources directly into, for example, a DCF software. (Full disclosure, I'm the product manager at Datscha which has done this successfully for 10 years in a web solution.)     

 

Videos from ProjectPlace's cloud event

A few weeks ago the Swedish SaaS supplier Projectplace held a cloud event for it's customers. (Hadn't the opportunity to be there myself.)

Projectplace is kind enough to make the presentations available online (without any registration).
All in Swedish.  

Speakers

The line up was: 
   * Niklas Zandelin, Exido                     (video & PDF)           
   * Johan Zetterström, Salesforce         (video & PDF)
   * Magnus Ingvarsson, Projectplace     (video & PDF) 

Always great to get some perspectives on what you're doing.    

 

Hemnet integrates listings at Eniro

Hemnet (the largest Swedish residential listing service) has made an interesting strategic move; their listings are now integrated on Eniro, one of the largest yellow pages in Sweden. 

Benefits

The biggest benefit for the end user is that one could use a direct link http://kartor.eniro.se/ in order to quickly display all Hemnet listing on a map. No need to go through multiple drop-downs (for example choose municipality) at Hemnets site. 

The user is able to filter the listing displayed on type, price and size directly on Eniros site. In combination with aerial photos, street view and more.  

Furthermore, the user is able to display searches in the yellow pages database and display the result together with the listings on the map. For example, schools, restaurants and health care.  

Not a new relationship

Hemnet and Eniro has been in close co-operations for many, especially since mid 2009 when Hemnet integrated Eniro's mapping solution on Hemnet. most of the services now available on Eniro are also available on Hemnet. 

My thoughts

Great move in order to make the listing more available. However, when the listing now are more easily available on Eniro (one click to a large map) will the traffic go down on Hemnet?   

Additional reading

More to be read at Eniro's press release and blog (both in Swedish).

 

Loopnet moves beyond listing when adding property information

Loopnet, the US based listing service for commercial properties on sale or for lease (in the US) has moved beyond listings and started in late May to roll out a beta version of property information. 

Introduction to the service

A video from Loopnet's presentation at RECon last week in Las vegas. 

The information 

The property record (click here to see an example) includes data like:  

  • Owner & Tenant Details
  • Mortgage & Lender History
  • Tax Records & Assessed Values
  • Historical For Sale & Lease Information
  • Property Details & Photos
  • Asking Price & Asking Rent Trends
The database covers all commercial property types nationwide, including over 5 million properties. 

"We are very excited to deliver the LoopNet Property database of more than five million commercial properties to our clients. Delivering a 'high-quality, alternative source for commercial property information at an affordable price' is the number one request that we have heard from LoopNet clients for many years," said Thomas Byrne, LoopNet's President and Chief Operating Officer.

The service will be free for Premium users. 

My thoughts

For sure an bold strategy to move into the field 'owned by' CoStar (two companies that have a history together). Will be most interesting to follow.

Finally, I bet quite a few in the market will smile at LoopNet's slogan "Property information that opens your eyes, not your wallet". It's brilliant. 

Additional reading 

More is found at PropertyPortalWatch, The Journal record, Wikipedia, LoopNet's pressrelease and blog.   

 

Datscha launches Layar app for the commercial real estate market

(Full disclosure, I'm the proud Product Manager of Datscha.)

Yesterday Datscha, the Swedish SaaS for the commercial real estate industry, launched a Layar app in private Beta.

User benefits

The users will be able to easy find information about all the commercial (including multifamily) properties in the surrounding. Just point the camera towards the building and the name and ownership will be displayed. Or use the map mode to click around for data.

In the map mode the blue dot represents where you are and the black dot which property you have selected. Click on any yellow dot to display the information for that property. 

The user also has the list mode and a larger 'pop-up' info box.

All commercial properties

What makes this app so interesting is that it includes all commercial (including multifamily) properties the entire Sweden. In total 380 000 properties.

What is needed?

First of all, in order to use any Layar functionality the user need to have a 'modern' mobile phone like iPhone or any Android device with GPS and compass and the Layar App itself.

Secondly, in order to add the Datscha data you need to have a Datscha account which cost from 8 000 Dollars per year. At this point the mobile application will be a add on to the subscriptions.

Interested in testing?

Drop a mail to info@datscha.com to request taking part in the Private Beta testing.

More about Layar

See earlier posts 1 and 2.

     

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The iPAD - the perfect management gadget?

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Over the last week I've been delighted (yes, that's the word) to get my hands on the latest product Mr Jobs says I need to have; the iPAD.

The perfect management tool

The more I've used it, the more I'm convinced that it is perfect for any top manager.

Straightforward - I see a set up with four (4) buttons:
   1. the mail 
   2. calender 
   3. web browser  
   4. the company App (see below)

Mobile - Smaller and lighter than a laptop, but big enough to read the text

Fast - one click and it starts in a second, no waiting to boot...

Easy to use - their first requirement is always 'one-click' (here you have two)

No multitasking - Yes, that is correct, that is a feature... (for those users)

Long productive - With a 10h battery (for active use) it full have fuel for the entire day

Gadget - Yes, you will see young and stylish out using it

The company App  

A click and a dashboard with the most important parameters for their business should be presented.

For a CEO in a property company that could be:
   * income reports 
   * latest sales figures
   * ten largest rent agreements due in a month 
   * number of support issues handled per day (vs not resolved in a 3-days)
   * ... 

It should be on one screen mainly in graphs, with one one level of further details.  

The example is from a service called Roambi (check out there video).

My thoughts

I don't see the iPAD as primary an laptop replacement. More a gadget for those who don't bother carrying around a laptop but, if honest, should be more productive if they had update to date information at the fingertips. 

What's your thoughts?

Update 15th may
Found an excellent post on what an iPAD could do to your family.
http://chucksblog.emc.com/chucks_blog/2010/05/what-ipads-did-to-my-family.html

Never underestimate to do something other do great brilliantly.

 

 

 

Yardi acquires Propertyshark in a move into property data

Yardi acquires Propertyshark in the search "to integrate deep property data into the Yardi suite of real estate investment management and property management software". (See press release & here.)

Yardi Systems

Yardi was founded in 1984 by Anant Yardi and is today one of the leading suppliers in the US for Asset and Property management software. Their systems are used in over 20 000 business globally.  

 

PropertyShark

PropertyShark was founded in 2002 by Matthew Haines "strives to level the playing field by providing real estate professionals, investors and savvy homebuyers with the information transparency essential to evaluate all types of real estate and make informed decisions". Has today 50 fulltime employees.

The offering consists of:
   * Property Reports & Building Photos
   * Pre-Foreclosure and Foreclosure Listings 
   * Sales Comparables 
   * Maps
   * For Sale Listings 
   * For Lease Listings
   * PropertyShark University

A review of their services from The Wall Street Journal from 2007, Forbes in 2006 and an interview in National Real Estate Investor from 2008.

Second acquisition in a month

The acquisition of PropertyShark is the second purchase this year for Yardi. In mid-February they purchased RentGrow "a leading provider of online resident screening services for multifamily property management firms" (press release).

Additional reading

More to be found at:

   * Inman
   * PropertyGrunt  

My thoughts

This deal will be very interesting to follow. I strongly believe in integrating information with analyse tools. (Full disclosure, I'm the product manager for Datscha which is doing just that).

A further interesting part is that Yardi with the acquisition of PropertyShark moves into the territory of Costar and Loopnet, regarding listings of property for sale and lease. (read more at TheRealDeal).