Monat: November 2010

This is the story, how I witnessed the rise and fall of Lotus Foundations.
3 Years ago, I heard the first time about Nitix Blue. I looked at it and liked it. No OS administration and a network server that suited perfectly my needs.
I started to look at my home market. More than 300’000 companies.
About 260’000 micro companies and roughly 40’000 small and medium companies.
 About 70% of the employees use PC/Mac.
 More than 30’000 start ups every year.
 Nice! (And just to bust the „the US has more bigger companies“ myth, Switzerland has more Fortune 500 companies per capita then the US.)
I wrote a business plan. I presented my business plan to the-would-be-sole-distributor for the then announced Lotus Foundations and somebody from IBM.
They thought it was one hell of a good idea and presented me to some strange guy (Hi Serge), who had ideas in the same direction. That was the start of a new friendship and Informica.
Of we went.
 What happened at IBM when we contacted them?
 IBM came up with … nothing. Somehow they were never able to explain a marketing strategy. I think they never even had a concept. I met a few global and worldwide (what the heck is the difference?) sales, but nothing ever happened. I mean we showed our marketing plan and tried to explain what had to be done. We as BPs can not build the awareness. We tried to tell them, that cheap email and web marketing would not work. You have to talk to people. Face to Face. Get out. Spread the word. Contact start-ups. Get involved with associations. They did not even join an organisation for SMB and start-ups, where Switzerland’s biggest telecom company, the second biggest bank and one of the biggest assurance companies joined forces and Microsoft wasn’t there… yet. I had half a dozen meetings with different local and international people and the only result was. „Yes, we should look into things … we should … we should  …“ and … you expected this … nothing. We don’t live on the same planet.
Then IBM announced that hundreds of MS partners joined as Foundations partners. Unfortunately most of them wanted Outlook as mail client and they were not familiar with Domino. DAMO was dropped two month later. Despite what IBM said, Domino/Notes knowledge was essential to make users happy. The discussions on LinkedIn started with a lot of misunderstanding, what Notes/Domino is. I wished IBM had kept ExchangIt as an option.
 At the same time, they started to make the old Nitix partners mad. We couldn’t order through the Nitix/Foundations desk anymore. We had to go through Passport Advantage. This is hell for a product like that.
Then came this TCO tool. I mean it was a nice idea and it showed that LF was far less expensive then SBS, but that was not what anybody needed. I fought about this tool for quite a while with IBM but suddenly there were a few month of deafening silence and then the distributor was kicked out as the IBMs leading project partner. Some key personnel left IBM. We decided to write a letter and got attention. Unfortunately that new team wasn’t able to make the turn around. We had that deafening silence in September 2010 again. And now it is over and this is exactly at the moment when our new strategy kicks in and SMBs in Switzerland start talking about us.
Until today we had to rewrite several times our strategy. We had to do all the marketing ourselves. Nobody in IBM Switzerland was allowed to touch LF (Some did it anyway and I have to thank them. You know who I mean. A special thanks goes to Stephanie).
What killed LF?
Marketing was non existent. In IBM, those products who make the most money, get the most marketing funding, at least, that’s what I was told. I ask you IBM, how do you ever want to launch successfully a product with that kind of thinking? Egg – chicken / chicken – egg?
Technical training was nice but not sufficient at all. We never got enough technical information’s to really take advantage of the NVS. Somehow my requests for more information’s and training got lost in the mail or something like that.
DAMO was one of the biggest advantages that platform had. That IBM dropped it, wasn’t the foundations teams fault, but really bad for business.
Constantly changing the strategy isn’t a good thing.
Constantly changing key personal isn’t a good thing either (they call it blue washing).
Making an existent customer and partner base mad is plain stupid.
Bad communication with partners (or is there another name for this kind of lower life form) isn’t very clever either.

I really wonder, if IBM realizes how much damage they have done to quite a few businesses? Probably not.

The writing was on the wall and now its official. Lotus Foundations is dead. I don’t think that there will be any migration path to anything else.
What annoys me most, is the fact, that IBM again bought a perfectly good product and killed it. Two years. Twice they changed directions in marketing and distribution. Every time we had to change our strategy, too. We did it, because we believed in the product and IBM.

Dear IBM, you made us loose money. It wasn’t the product, that was perfectly good. It was your incompetence in bringing it to the market. We even gave you money for co- marketing, which was completely useless, because you don’t know how to approach SMBs.

You didn’t even had the guts to schedule a partner call, to give us the bad news.

You want us as Business PARTNERS. A partnership builds on mutual respect.

You know, that I was one of the most active supporters of Lotus Foundations. I always defended you. You just have to read my contributions in LinkedIn.

I am sad. I feel betrayed.

I am not mad at the Lotus Foundations Team. I had the honor to meet and talk to quite a few of you. It was always a pleasure to work with all of you.

PS: If anybody comes up with „that is only about Passport Advantage“, forget it. Outside North America there is no other distribution channel. For us, that is the end, except IBM comes up with something else.