A lot of Korean software developing companies have knocked the door of global market. For them, jumping into the global market such as Japan, China and America is natural goal to maintain their business because domestic market is so limited. Unfortunately, however, there wasn’t fruitful result compare to such efforts. Even though they pumped money into overseas business, the output was very poor.
Nevertheless, they are continuously exploring overseas market. Here is the company which also craves for global business and the company is JenniferSoft, Korean application performance management solution provider. JenniferSoft is doing business against the past failure case of Korean software vendors. It is making blueprint in terms of overseas business model focusing on Japan and the U.S market. It has taken one and half years since JenniferSoft launched global business so I have an interview with Andy, Lee -CEO of JenniferSoft. At first I asked updated news of his global business. He said “We attracted several Japanese customers so far and overall business process is going well. “I really want to establish JenniferSoft’s headquarter in the U.S.”
“Key is to establish sustainable channel sales model in Japan and America”
JenniferSoft established JenniferSoft Japan in Tokyo last September, 2006. Everyone may know that one of the most difficult markets is Japanese one, so I asked current sales status of JenniferSoft Japan.
Andy said “We have attracted two references. One of our sales partners in Japan supplied JENNIFER to Dai Nippon Printing Co (DNP) so I think this case is very meaningful. It means JENNIFER is given reliable evaluation in the strict Japanese market and our partners started to move in the market. JenniferSoft already established sales partnership withNEC Soft, Marubeni Solution, NTT, Sun Micro Systems Japan, etc. He added “It is very difficult to penetrate Japanese market and it usually takes long time. We established business strategy and completed business structure within just one and half years.“ There are three company members in JenniferSoft Japan. Their goal is not to create short-term sales revenue but to establish stable partnership. As JenniferSoft made success in Korea by cooperating with IT PLUS and Daou Technology, Andy pushes his similar business model and strategy in overseas market. Andy added “Our business is going well in Japan and more sales would be created at the end of this year.”<p class="contents1" style="text-align: leftIn the U.S, another branch office is established and JenniferSoft U.S is looking for partners. In the interview, he said “I think it will take more time to attract references in the US market so I make hard working on finding out sales partners. The process of establishing partnership is very important and I believe there would be great partner for JenniferSoft. Like 2007, JenniferSoft will exhibit JENNIFER at JavaOne Conference again in this year. It aims to promote the product as long-term marketing strategy by attending the conference continuously. <p class="contents1" style="text-align: leftEstablishing new product line for performance <p class="contents1" style="text-align: leftAs expanding operations in Japan and the U.S, another key issue is to establish product line for JenniferSoft. Establishing product line means not to develop irrelevant product line (such as ERP) from APM but to expand APM industry by creating new product. To achieve such goal, JenniferSoft plans to launch 3D-based new monitoring solution, ECCLUSand performance tester tool, JUSTIN like HP Loadrunner. <p class="contents1" style="text-align: leftAndy Lee specially emphasizes 3D dynamic interface, ‘ECCLUS’ because it is developed based on 3D technology which is usually used in game industry. It is the first time to adjust 3D technology in enterprise solution. He said “Next platform of enterprise solution is also 3D” and “A lot of out existing customers is giving high attention on our 3D-based monitoring solution. According to him, the market size of APM is gradually increasing and JenniferSoft expects to achieve 5.4 billion dollars of sales from $10 billion market. The number of JENNIFER references exceeded 178. He added “APM market is expanding from first banking sector into government. Therefore, I believe APM market will maintain its growth at least for 2 years. <p class="contents1" style="text-align: leftNOW, JenniferSoft focuses on overseas market. Even though Giant global SW companies such as Oracle and IBMconsolidate market through M&A strategy, SMB vendors will survive with cutting-edge technology. Acquisition is just companies’ business strategy not market logic. <p class="contents1" style="text-align: leftThat means only the company which has unique technology can take a chance. But it is not easy because a company have to invest considerable money into global market at the initial stage. For small company such as JenniferSoft, it will be big burden. I asked “Is there any financial difficulties without external investment to run the business?” Then, he answered “I think company system/business model is more important than money to jump into the overseas market.” And “I’ll employ developers to improve development process during the first half of last year in order to improve our global competitiveness. Of course, we might sometimes face financial challenge to make solid business model but still now we don’t have such problem. ” <p class="contents1" style="text-align: leftJenniferSoft wants to verify its technology in the global APM market and now it shows some progress. I’m not sure JenniferSoft dominates overseas APM market like in Korea but I can expect there would be some good news in the future. <p class="contents1" style="text-align: leftSource:http://www.bloter.net/_news/8df4489afed9a65d <p class="contents1" style="text-align: left 2008-03-17 16:56:01| by 황치규(firstname.lastname@example.org)