Iasta continues to differentiate itself with a sourcing toolset that (while a bit dated on the interface side – as are all the veteran solution players in this sector, mind you!) is as powerful and configurable as ever. The core Iasta sourcing-driven UI is a bit like a Porsche 911 – some love it, others not so much, but it simply does not go out of style and it has a lot of fans that don’t want to see it change.
Search Results for: iasta
In strategy and footprint, Iasta appears closest to BravoSolution, a provider that has also prioritized a combination of organic solution development, high-touch customer sales and account management, and surrounding sourcing and procurement transformation services under its solutions umbrella. Yet Iasta is anything but copying from another singer’s songbook, despite the logical comparisons. Rather, Iasta is pursuing a strategy with different elements intersecting in various ways to point them down a somewhat unique path. Before exploring these, though, let’s step back for a minute and review Iasta’s capabilities and background.
Earlier this winter, Spend Matters published a review of Iasta’s latest foray into the procurement, finance and supply chain analytics market (here and here). Having evolved from an e-sourcing tools vendor into a broader specialist suite provider with a range of enabling consultative services, Iasta looks very different today than it did even a few years ago. In strategy and footprint, Iasta appears closest to BravoSolution, a provider that has also prioritized a combination of organic solution development, high-touch customer sales and account management, and surrounding sourcing and procurement transformation services under its solutions umbrella. Yet Iasta is anything but copying from […]
Specialized spend analysis tools have been around for a long time – almost fifteen years. On a webinar today, Vote For Visibility: Yes, Procurement and Data Can Dance at 10:00 AM CT, I’ll share a brief history of spend analysis along with a forward look into what is coming down the pike. I'll also talk about a trend I observed starting back in 2011 – namely, that many companies that invested in spend analysis solutions in the past are now “going back to the table” and re-evaluating their options, including using multiple tools to gain access to different types of data […]
Selectica announced after market close that it was acquiring Iasta, a sourcing suite provider. Managing Director Jason Busch and Chief Research Officer Pierre Mitchell provided analysis on the deal on Spend Matters Plus, and here are some highlights: From a user perspective, Selectica and Iasta have very little overlap in their customer bases. They believe the chance for up-sell/cross-sell synergies are very significant. We think the synergies may be stronger on the Iasta side. And the valuation of the deal (by current standards) is low at roughly 1.5 times Iasta’s trailing revenue (note the valuation is based on Selectica’s closing market capitalization of around $34 million today, given the equity components of the transaction).
My Vista and Office 2007 woes were front page news in the tech blogging world last week. The two minutes of fame almost made the hassle worth it. Well, maybe not, but at least I was hopefully able to convince others not to go down the same aggresive adoption path that I did. But more important, I'm not alone in wasting countless hours trying to get Microsoft's latest OS and application suite to work properly. Software providers in the Spend Management world piss away scores of development and Q/A cycles simply making sure that their products will be compatible with […]
I've been enjoying keeping up with E-Sourcing Forum in the past couple of days, as Iasta publishes the highlights from its E-Sourcing benchmark via RSS. You can read the first, second, and third days of coverage by clicking the above links. In no particular order, here are some of the highlights that I've found particularly insightful (even if they're not a complete surprise): The study found that 88% of companies with over $5 billion in revenue have standard sourcing processes and procedures. Yet, this number drops to less than 25% in small and middle market companies of less than $1 […]
We've written a ton of content on the Selectica/Iasta deal since it was announced late last Thursday, and this Friday we're putting together a special Ask the Expert Q&A session with Jason Busch and Thomas Kase. They'll be online from 9-9:30am Central this Friday to take a look at Iasta’s and Selectica’s combined technology assets and how they compare to those of peers and competitors before taking your questions about the deal and broader landscape. Spend Matters Plus/PRO members, click on through to register.
I've recently heard of a few sourcing related and suite deals where those firms that used to price at the top end of the market (e.g., Ariba) are now being quite aggressive on pricing. My examples come from both the US and Europe -- but Europe to a larger degree -- so it's pretty clear that Ariba is attempting to become the price leader. How ironic is it then that Iasta, which used to compete initially on price, is no longer the least expensive suite vendor, but is now also winning deals on feature/function and ease-of-use over the competition? Still, […]
While I'm not an old man just yet -- even though some might say that I have my curmudgeonly tendencies, not to mention liking to get to bed hours before Letterman comes on -- I have been around the provider side of the Spend Management world long enough to see dozens of vendors move from writing their initial business plans into their formative years and later into additional stages of maturation. Such is the case with what used to be a small provider I always enjoyed talking to and catching up with, Iasta. I've known the founders of Iasta since […]
Late on Thursday, Selectica, a thinly traded public company that is yet one of the leaders in the contract lifecycle management market, announced its accretive acquisition of Iasta, one of the stand-out sourcing suite vendors which perennially ranks high in our shortlist analyses (not to mention Gartner Magic Quadrants). Spend Matters Plus/PRO subscribers can see our initial analysis of the acquisition here. The solution vision the companies outlined to Spend Matters following the announcement of the acquisition is daring, yet achievable with the right investment and integration. Yet Spend Matters thinks that tactical upsells and modular handoffs and handshakes will remain the order of the day for at least the next 12-18 months for the two providers. From an integration perspective, it’s also important to note that both providers are building off of different architecture – in Iasta’s case, multiple architectures – and while both bring a great set of enabling technologies, there is a fair amount of technical blocking and tackling to do to make the vision reality. In this Spend Matters PRO research brief, Jason Busch and Pierre Mitchell take a look at Iasta’s and Selectica’s combined technology assets and how they compare to those of peers and competitors. In a subsequent brief, the Spend Matters team will explore a vision for putting these assets together and changing the sourcing, supplier engagement, contracting, and buy/sell world tomorrow.
In the last hour or so, Iasta, the sourcing and spend management software firm has been acquired by contract management SaaS software business Selectica. They're Nasdaq quoted whereas Iasta are privately owned. From the announcement: Selectica entered into a definitive agreement to acquire Iasta for an aggregate purchase price of 1 million shares of Selectica common stock and $7 million cash. In addition, in connection with the acquisition Selectica would provide grants of options to purchase 700,000 shares of its common stock to the employees of Iasta. The deal is anticipated to close during Q2 of Selectica's current fiscal year. […]
Selectica and Iasta – Mapping the Future of Procurement, Contract Management, and Customer Engagement [PRO]
Selectica and Iasta have their homework cut out on pulling off the basics of post-merger integration activities. But beyond what they must do, what is the absolute potential of a combined offering if they succeed in going far behind the basics? It’s significant – very significant – and could mark a fundamental shift in how procurement organizations work with suppliers by creating greater trust between parties, counter-parties, and even third parties working together to achieve a common outcome – whether that involves the manufacturing of a part or component, the building of a new facility as part of a capital investment, or a licensing agreement for embedding intellectual property in products. In this Spend Matters PRO research brief, Managing Director Jason Busch and Chief Research Officer Pierre Mitchell explore the potential of bringing procurement and contracting closer together, as well as explore some of the potential ideas that Selectica and Iasta have shared as part of a combined vision.
In this final post in our mini-series on Iasta, we'll examine the provider's product roadmap as well as how Iasta stacks up in the market today from a competitive standpoint. As I previously mentioned in an earlier post, SmartSource Release 8.0 introduces a number of basic supplier management / supplier information management capabilities. Procurement organizations can now control fields and profile formats while allowing for supplier self-registration and management. Think of it as SIM-lite designed around the end-to-end strategic sourcing and category management process. While this capability will most likely prove insufficient for those that want to keep track of […]
Over my coffee this morning, I read this article in Supply and Demand Chain Executive on Iasta, noting a new customer win. While there's nothing remarkable about a single competitive win, it reminded me that Iasta, a relatively small vendor, has been the only Spend Management provider outside of Spend Matter's sponsors to embrace blogging. You can find Iasta's blog (which I contribute to on a periodic basis) here. We'll see if Iasta's investment in creating E-Sourcing Forum continues to pay off in the New Year. Personally, I think that it's a very smart move and levels the playing field […]
I recently just completed Ronald Cohen's book, The Second Bounce of the Ball (hat-tip: Greg Mark). The book is a great study in what it takes to be a successful entrepreneur. Perhaps most important in this regard is being able to read what Cohen refers to as the "the second bounce of the ball". After all, when we enter a market for the first time, it's easy to anticipate initial demand, interest, expectations, etc. But after the ball bounces a second time -- as it always does -- it's not always as clear which direction things will go in. Iasta […]
The march to procurement suites is inevitable, and Selectica (now known as Determine), is headed down this suite path. Earlier this month, Selectica announced its rebrand to Determine — a move the company says signifies the M&A strategy that Selectica has been executing over the past two years. This two-part Spend Matters PRO analysis examines the past, present and future of Determine, starting first with offering a current window into the state of the organization and where it is headed, as well as our 2015 graphical CLM market snapshot and how Determine fits into this complex market segment. We analyze Determine’s rebranding, exploring whether this is primarily a marketing exercise today — or something more. We also take a look at who the “new” provider’s ideal customer is, and how the company can gain their attention.
The acquisition of Iasta by Selectica is one of those transactions that has (potentially) more and deeper implications than there might appear on the surface. Two mid-sized firms by the standards of our industry, both turning over just over $10 million, with pretty clear and attractive synergy without too much overlap. So Iasta are strong in Europe with products including spend analytics, sourcing, and business intelligence for procurement (they’re a leader in terms of ‘dashboards’). Selectica on the other hand are very US-centric, with a focus on deep contract lifecycle management. Whilst Iasta have some of that capability, Selectica looks […]
Are you a weed sticking out of the lawn, or the beginning of a mighty tree? Sooner or later any provider (that is wooing the Global 2000 and the next tier down) needs to consider its suite footprint – before the figurative subway train heads their way. As a point solution provider, you can do a fantastic job and in fact be among the very best in the world – and still remain a bit player with revenues in the $5-15 million range. For some reason it is hard for solution providers to break through this barrier (more on this in the pricing commentary further down). Maybe it is a founder management team versus a “big” company team challenge. Regardless, the list of great (but small) companies that fail to grow past the $15 million or so mark on their own is long. Actually, “failed” is a strong word, as selling a company is a worthy exit strategy and there is nothing wrong with that. With that as a background, the Iasta/Selectica deal deserves some elaboration on why there is a business case for becoming a suite provider. In this Spend Matters PRO research brief, VP of Research Thomas Kase discusses what should go in a suite and why and gives recommendations to potential customers of suite providers.
I've always had a particular affinity for Iasta, perhaps because we both originally came at our respective markets from a position of underdog. Not only did Spend Matters and Iasta both lack the requisite rubberstamps -- e.g., in Spend Matters case, a big analyst or media brand behind the site and in Iasta's case, a well-known venture capital or corporate investor -- but we also quietly worked extremely hard to channel our energies into what ultimately mattered, focusing entirely on nurturing our core business and customers rather than listening to extraneous noise or getting sidetracked along the way. In Iasta's […]