A press release yesterday announced a new small business ISP soon to come from Telecom. The new ISP, according to the release, will provide hosting, domain name registration, web design and SaaS applications.
Over on his blog, Lance has a few positive and a few negative comments on the service. Specifically he asks;
Hang on – why on earth would we want to get Telecom to provide [design and hosting] services?
Hang on a moment Lance, two points here. Firstly you’re not comparing apples with apples. Building an e-commerce site of the size of Ferrit, or hosting an international SaaS app like Xero are very different from the design and hosting requirements of an SME – your comparison is spurious. Secondly let’s look at the original press release and see who this service is targeting;
the service will be aimed mainly at firms with fewer than 10 employees
We’re not talking bigger businesses here with the time or knowledge to source these services from a variety of different providers, we’re talking time and resource poor SMEs who just wish to obtain a web presence and move themselves from a very “offline” way of doing and being in business, to more of a connected one.
It’s easy for the geeks amongst us to set up our own sites, hosting and so on – but remember we’re not spending 12 hours a day building houses, running retail stores or driving delivery vans, as the target market for these products so obviously are.
Of course I’m a little biased as I’ve had a small part in the offerings that Telecom is announcing, but putting aside my personal interest for a moment, I believe that “one stop shops” where SMEs can go to source all of their online needs, are a smart (and needed) service.
Disclosure – Diversity Limited is a consultant to Telecom New Zealand and its subsidiaries.