Latest Customer Wins - Vita Green Health Products and Eco Technology International Limited - Indicate Strong Regional Demand for SaaS Applications CEO Zach Nelson Hosts Event to Introduce the Groundbreaking NetSuite OneWorld Solution to Hong Kong Businesses
HONG KONG and SAN MATEO, Calif., Sept. 25 /PRNewswire-FirstCall/ --
NetSuite Inc. (NYSE: N), a leading vendor of on-demand, integrated business
management software suites for mid-market enterprises and divisions of large
companies, today announced that the company has opened a new office in Hong
Kong in order to respond to the fast-growing demand for Software as a Service
(SaaS) applications in the Asia Pacific region and specifically in Hong Kong
and China. According to Springboard Research, Asia-Pacific SaaS revenues will
grow from US$274 million in 2007 to approximately US$1.8 billion by 2011; the
industry analyst firm Gartner estimates the Asia-Pacific SaaS market is
growing twice as fast as the market for traditional on-premise applications.
In addition, a recent research report by Forrester Research found that 61% of
Hong Kong and Chinese firms plan to adopt SaaS within the next year.
(Logo: http://www.newscom.com/cgi-bin/prnh/20021024/SFTH024LOGO)
The new NetSuite office, located at 100 Queens Road Central, 6th Floor,
was announced today by Zach Nelson, NetSuite's Chief Executive Officer, at an
exclusive event held at Azure Restaurant in Central Hong Kong. At the event,
NetSuite also introduced NetSuite OneWorld to Hong Kong businesses and
announced the latest customer wins in Hong Kong, including fast growing
businesses such as Vita Green Health Products and Eco Technology International
Limited.
"We see huge potential for our offering in this region," said Zach Nelson,
CEO of NetSuite. "NetSuite's on-demand solutions provide a cost-effective yet
powerful way for businesses to manage their core operations from lead to order
to inventory to service projects, through finance and even their website and
ecommerce operations with one single application."
There are many reasons for the interest in SaaS among Hong Kong and
Chinese businesses. Because on-demand applications like NetSuite only require
a Web browser, they offer multinational and geographically distributed
enterprises -- which are prevalent in Hong Kong, a hub of international
business -- the ability to access information about their business operations
from multiple offices without the hardware cost typically associated with
on-premise solutions. It is expected that the benefit of "anytime, anywhere"
access, combined with the increase in efficiency of business operations that
comes from NetSuite's unique single system for managing everything from sales
to orders to cash, will allow cost-conscious Asian businesses to grow rapidly
while greatly reducing their total-cost-of-ownership (TCO) for business
systems. Hong Kong's world-class infrastructure -- over 98% of households and
more than 95% of business buildings have broadband Internet access(1) -- make
SaaS applications a natural choice.
NetSuite OneWorld
Launched in the Hong Kong market today, NetSuite OneWorld allows companies
to manage their multinational and multi-subsidiary business operations, in
real-time around the world. It integrates the key business management
functions across the enterprise, from customer relationship management (CRM)
to enterprise resource planning (ERP) and Ecommerce.
Particularly well-suited for the many international companies based in
Hong Kong, NetSuite OneWorld enables mid-market businesses with multiple
subsidiaries, business units and legal entities to:
-- Manage local operations across multiple locations, and roll the data
up for regional and global visibility in their currency of choice.
-- Adjust for language, currency, taxation and legal compliance
differences at the local level, with regional and global business
consolidation and control.
-- Bring a newly acquired or created subsidiary online quickly into a
consolidated management view, supporting acquisition or rapid expansion of the
business.
-- Reduce costs by staffing operations centrally so that the same
employees can handle operations across multiple subsidiaries.
-- Make informed executive decisions and timely course corrections based
on key company metrics that are visible and measurable in real-time across all
business operations.
NetSuite's native SaaS delivery model enables the OneWorld functionality
to be accessed anywhere simply by opening a browser, and eliminates
significant IT issues associated with traditional approaches to global
business management software. The combination of NetSuite OneWorld's
capabilities and NetSuite's cloud computing delivery platform helps eliminate
the cost and technology barriers facing mid-sized companies operating globally
or across multiple locations.
Prior to NetSuite OneWorld, typically only large companies with the
ability and willingness to spend large sums of money could approach such high
levels of business integration. Mid-sized companies using traditional
applications such as Microsoft Dynamics GP (often referred to as Great Plains)
could achieve a low level of business integration, but often could only see
limited consolidated financials, which can be of suspect value.
Of course, large systems such as SAP or mid-market systems like Microsoft
Dynamics GP are not delivered as native Web applications, so any attempt at
limited business consolidation using these systems would typically require
large expenditures in IT costs and systems management.
Additional benefits of NetSuite OneWorld include the following:
-- NetSuite OneWorld allows companies' back-office ERP operations to have
local control over accounts receivable, accounts payable, payroll, inventory,
billing, invoicing and order fulfillment, yet still consolidate and roll up
multi-currency financials in real-time from local operations or independent
subsidiaries to the regional office and global headquarters.
-- NetSuite OneWorld makes global Ecommerce operations feasible with
multi-site, multi-currency and multi-language capabilities; local tax
compliance; and local inventory sourcing capabilities.
-- NetSuite OneWorld provides global CRM to improve global selling with
multi-currency quotas, forecasts, commission payments, sales tax calculations
and real-time reporting.
-- NetSuite OneWorld delivers real-time analytics that allow global
organisations to make timely course corrections, rather than having to wait so
long for research to be completed that often the question to be resolved
becomes moot.
For more information about NetSuite OneWorld, please visit
http://www.netsuite.com.hk.
Hong Kong Customer Wins:
The newest customer wins announced today include:
Vita Green Health Products (http://www.vitagreen.com)
As an example of the benefits that NetSuite OneWorld brings to
multinational businesses, NetSuite announced at today's Hong Kong event that
Vita Green Health Products, a leading provider of vitamins and health products
based in Hong Kong, has gone live on NetSuite OneWorld to manage and
consolidate its activities from manufacturing to point of sale, providing an
integrated view of these activities; powerful, real-time reporting; and
dashboards that are available to Vita Green executives from any Internet
connection.
"Because NetSuite is a managed system, we are able to grow without adding
more equipment and manpower to maintain servers and support new software,"
said Ronald Tse, director of Vita Green Health Products. "NetSuite's fast
implementation and straightforward customization allowed us to quickly
implement a business solution that is both powerful and easy to use."
Eco Technology International Limited (http://www.ecotech-intl.com)
Hong Kong-based office-supplies company ECO Technology International
Limited transformed its operations using streamlined workflow technology from
NetSuite. The result is a better standard of customer service -- a vital key
to success for a local business in a highly competitive market.
"NetSuite is the perfect fit for us," said Roy Loh, Business Development
Manager at ECO. "It continually helps us to optimize workflow and thereby
improve our efficiency and raise customer standards. We use NetSuite for our
accounting, CRM and marketing automation, and are able to provide faster
response times with fewer errors -- and reduce our own administrative costs at
the same time. With all corporate information properly logged, we can
calculate what works best, or what combination of procedures will work best,
and thereby save money."
Pricing and Availability of NetSuite OneWorld
NetSuite OneWorld is available now by contacting the NetSuite Hong Kong
office. It is offered for HK$18,000 per month.
About NetSuite
NetSuite Inc. (NYSE: N) is a leading vendor of on-demand, integrated
business management software suites for mid-sized businesses and divisions of
large companies. NetSuite enables mid-market companies to manage core business
operations in a single system, which includes accounting / enterprise resource
planning (ERP), customer relationship management (CRM), and ecommerce.
NetSuite's patent-pending "real-time dashboard" technology provides an
easy-to-use view into up-to-date, role-specific business information. For more
information please visit http://www.netsuite.com.
Cautionary Note Regarding Forward Looking Statements
This press release contains forward-looking statements relating to
expectations, plans, and prospects including expectations relating the
expected growth of NetSuite's business in the Asia Pacific market as a result
of the availability of NetSuite OneWorld service in Hong Kong and the expected
impact of that service on customers' ability to grow globally. In particular,
the following factors, among others, could cause results to differ materially
from those expressed or implied by such forward-looking statements: the market
for on-demand services may develop more slowly than expected; legal and
operational complexities in growing the NetSuite business internationally;
risks associated with material defects or errors in the Company's software or
the effect of undetected computer viruses; the risk of technological
developments and innovations by others; risks associated with any unexpected
disruptions in the company's service or any security breaches that could
develop; and general economic, market, or political conditions may deteriorate
in the Asia Pacific region.
For a detailed discussion of these and other cautionary statements, please
refer to the risk factors discussed in filings with the U.S. Securities and
Exchange Commission ("SEC"), including but not limited to the Company's
Quarterly Report on Form 10-Q filed for the financial quarter ending June 30,
2008, and any subsequently filed reports on Forms 10-K, 10-Q and 8-K. All
documents are available through the SEC's Electronic Data Gathering Analysis
and Retrieval system (EDGAR) at http://www.sec.gov or NetSuite's website at
http://www.netsuite.com.
NOTE: NetSuite and the NetSuite logo are registered service marks of
NetSuite Inc.
(1) Source: InvestHK.gov.hk, http://www.investhk.gov.hk/pages/1/340.html,
accessed September 19, 2008.
SOURCE NetSuite Inc.
