Readers know I think the software market is at a pivot point. We have plenty of hr, financial and basic CRM functionality, but very little in the way of industry specific functionality. I have always liked IFS’s focus on complex, often heavily-regulated, asset-intensive industries and on product and asset centric break-fix and maintenance-based service organizations.
They are extending their industry focus with the acquisition of WorkWave, which offers cloud based field service and fleet management solutions targeted at micro-verticals such as landscaping, pest control, home delivery and HVAC service. A common thread is these sectors aim at residential customers and small businesses, tend to have recurring relationships and they have mobile workforces.
When I say extending, I mean out of IFS’s comfort zone in two major vectors. This takes them out of direct, large software sales model their current industries require to more web-based marketing and selling. And for now, WorkWave is largely US based, whereas IFS is particularly strong in Europe.
In talking to IFS Group SVP Fredrik Vom Hofe this morning, he estimates the US market for the sectors WorkWave focuses on is $ 11 billion so there is plenty of runway right here. And he was excited about leveraging more broadly the mobility, simplicity, usability and other unique traits WorkWave has successfully honed for SMEs in the industries they service.
Look forward to more such vertical investments. There is an incredible amount of white space waiting to be filled.
(Cross-posted @ Deal Architect)