My friend Jim Fisher pretty much sums it up insofar as traditional enterprise software sales is concerned. I have often said, and written here, that customers have gotten better at buying software than we have at selling them software, but at the same time question what it is that we replace this system with then buyers fully understand that the current model benefits them and are thus reluctant to accepting change. Maybe at the end of the day it’s less about a new sales model and more about wringing costs out of everything else in order to afford the cost of sales and still deliver a decent margin?
The day of the enterprise software sales person is over. The idea of closing the multi-million dollar perpetual software transactions by flying around the world, doing major wining & dining and closing the deal in the Red Carpet Club has gone the way of the Wolly Mamoth. The adoption of the SaaS model, Sarbox, and new corporate procurement procedures have changed forever the way business applications are, and will be, acquired. The fat cat 1k sales guy is only relevant in software companies with revenues north of one billion. Small companies thinking that they can justify a business plan by adding enough of the $1.5 million dollar quota carrying relics are doing nothing but a disservice to their investors.