Opinion: Why Google doesn't get the enterprise

 

It's about people, not products.

OPINION: Google is pushing in the wrong direction when pitching to the enterprise, to its absolute detriment.

The search engine giant is working hard to sign up big businesses to its SaaS play, Google Apps, and to have people embrace its PayPal-like service, Checkout.

Take this piece of viral marketing, for example

The premise of this marketing is simple: "Let's do enterprise grassroots style; have disgruntled employees, sick of their shitty Microsoft products, take these presentations to their managers and say 'damn it, we should be doing it this way'".

Then Google doesn't actually need to do sales because the customers will do it for them. How deliciously clever!

But it won't work, for one reason: Enterprise is about relationships.

Google's strategy has always been "engineering first", and engineers don't like the messy human stuff. It's inelegant. Inefficient.

Instead, Google makes well-crafted products, markets them poorly, doesn't support them, and trusts that the innate quality of the product is enough to have it succeed. Which, in fairness, the products often do. But not for enterprise users.

When a business manager is looking at laying down a hefty slice of the budget on a product, they want to know who that money is going to. They know from bitter experience that the server will go down the day they have to do payroll, that their spreadsheets will disappear an hour before the meeting, that everything, one day, will break when you need it.

And when it does break you need to call somebody, or you're in hot soup.

The idea of setting up individual sales meetings, opening call centres and hiring swathes of support people is completely antithetical to the Google model. It relies on forums.

The typical Google answer is "don't worry about it, it just won't break."

Only it does. Here's a forum post about a guy who's got about US$125,000 locked up in Google Checkout and he can't talk to a human to get it out!

When the products are free, for my personal use, I'm the world's biggest Google evangelist. Google make great products.

But when my livelihood's on the line, when people are depending on me, I need something I can trust.

I trust people. I don't trust products.

Sam Gentle is a software developer at the University of NSW.


Opinion: Why Google doesn't get the enterprise
"IMO, cloud services should only be used for non critical systems. I was recently involved in migrating a large and critical system in-house from Amazon EC2 (Sam may be familiar with this system). ..."
By bcmobile
 
 
 
Comments: 6
cosmicharade
Jun 17, 2010 4:08 PM
Good point. I have an Android phone and love it (HTC Desire) but I don't kid myself that I will get support from Google for this. Not that Nokia were any better with the N97 disaster. Maybe there is a future for service companies to provide services FOR Google applications and products?
BrettWinterford
Jun 17, 2010 4:20 PM
@ comischarade - There is definitely an opportunity there. Whoever is willing to offer a low cost model to the telcos and vendors is in a good place.
umbria
Jun 17, 2010 4:42 PM
Some good points here about suitability of products, Sam and Brett. Once an open product like the Android OS gets traction there will be heaps of third-party support, as there is for Linux, Perl, PHP and MySQL. These are now robust enough for critical systems. But while Google hosts both the application layer and the data, there is not much a third-party troubleshooter can do if they don't have access to second-level tech support inside Google.
johnpro2
Jun 17, 2010 9:08 PM
Yes I agree with the author's theme which has always been my point about relying solely on a 'cloud' model. Who is responsible and who will fix it when it goes down.How about security ..given to a foreign country .?
A hybrid might be the answer ..redundancy in I.T. is just as important as for airliners flying at night at 35000 feet.
Jp
BrettWinterford
Jun 17, 2010 11:06 PM
Thanks for some great comments - and John, thanks much for the interim anti-spam patrol!
bcmobile
Jun 17, 2010 11:29 PM
IMO, cloud services should only be used for non critical systems. I was recently involved in migrating a large and critical system in-house from Amazon EC2 (Sam may be familiar with this system). The in-house solution we provided cost less than 1 years Amazon hosting and performance is exponentially improved.

Location is definitely something you want to consider when weighing up your options. Amazon don't have any hosting services in the Pacific Rim so the huge amount of data generated by the system over the time it was hosted there took weeks to get back from Amazon.

To be fair though, the guy who has money tied up in Google checkout had failed to deliver to his customers. It appears he was selling goods which he didn't have in stock. That is an appalling business modeland IMO he deserves whatever he gets.
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