Genesis acquires Increase...and then there were two.

Interesting to read about Genesis's acquisition of Increase CRM earlier this month. The acquisition creates a very large organisation actively promoting hosted Microsoft Dynamics CRM. This has got me thinking and crystallising what I think of the state of play in the UK marketplace.

One trigger to my thought process was pulled when I was asked recently by a partner what I thought about the deal. Was I pleased that there was one less piranha in the tank? Or was a nervous that there was an even bigger shark in the tank that had just eaten the piranha and was now devouring everything in the tank with the ferocity of a starving megaladon? Ok, he didn't phrase it quite like that but briefly that's what it sounded like.

My feelings are that this is a Good Thing. There's no doubt that having a large telco (Genesis), which has acquired what was in all but name a Microsoft Dynamics CRM boutique with a 100% dedication to the hosted market (Increase) has created a powerful competitor.

However, I think 7global's partner network really offers a strong alternative. 7global's partners are large and small, cover the whole of the UK (and a lot of Europe), have specialisms in most verticals, with staff specially trained to deal with those industries.

By acquiring Increase Genesis has definitively moved from a 'wholesale' approach to a full service approach, which will certainly compete with other Dynamics Partners which should heat up the marketplace a little more. As a telco they had a telco approach to CRM, just as 7global has a hosting provider approach. Now they have a Dynamics Partner approach. Will be interesting to see how that pans out.

One advantage of our approach is we can marry our hosting expertise to partners Dynamics CRM expertise which I think creates the more compelling solution. However, if Genesis draws attention to the value of a hosted solution I will be there applauding.