Tuesday, February 12, 2008

Small business telephony. Feature overkill?

In 2005 I had the good fortune to work at length with GotVMail, a now very well established player in the Virtual PBX arena. And since then, several other entrants into the broader SMB/telephony space. Yet, it never ceases to surprise me when I get word of the latest start-up joining the same fray.

Among many in just the last few months, Ramon Ray over at SmallBizTechnology profiles Toktumi and SIPJunction this week. The former is the latest in companies attacking this space by using the PC on everyone's desk as leverage, while the latter is a VoIP twist on a virtual PBX (hosted). Both offer a robust set of features. The question is, though, no longer whether there are enough features to choose from or even whether the price point works (the GotVMails of the world have proven those points); it's more a function of whether enough small businesses are in fact sophisticated enough to take advantage of the these packaged services.

We're past early adopters now in this market (I think), which means those buying for the first time will want brand and ease of product ramp. The first one - the spots are taken. The second - well that's where new entrants have their best shot. Yet even that does not make for a slam dunk. My friends at Telephony2 have what is easily the most user friendly product on the market, but they would surely be happy to be selling more of it.

Don't get me wrong. I am huge fan of almost all of these new players. Sooner or later, the good ones will get absorbed by the huge small business market. It may just take time - not something all start-ups have the luxury of.

As for GotVMail, they have stuck closely to their plan. Deliver a consistent experience, market aggressively and worry less about adding new fancy features their customers will never use. The plan is working.

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