Baltic States ERP market analysis

How in one sentence would you describe ERP market situation in your country?

  1. Demand is lower than supply
  2. Tight, to large selection of ERP suppliers
  3. favorable time in the market
  4. complicated
  5. mature
  6. ERP is still mistakenly treated as a luxury of medium-large (Baltic-scale) enterprises, and systems/partners are somewhat lacking quality standartized packages to be implemented quickly at micro-small businesses to compete with local accounting software out of the box, which is especially true with larger ERP partners spending most of their efforts to get the "big-fish" projects instead of working on quality offering for mass adoption. The market is healthy itself - larger partners mostly run successful businesses, and there are a lots of micro businesses and freelance professionals either continuously serving a few customers or are narrowly specialized. They are making a healthy living, but mostly suffer from limited growth options, as they are not able/willing to expand people-wise and invest in R&D/marketing. The core problem for everybody is the lack of skilled people. You must know the product A-Z to deliver successful projects, and getting that knowledge takes at least 5 years of hands-on experience. The best professionals are required to both program the systems and have good people skills to work with corporate customers, which is a rare combination to be found, and such people are costly to hire. Slow yet steady emigration of talent to Western Europe is also a factor. All in all the ERP business is not about selling software, but about making software work for particular busineses. It is a service business with much time spent on serving every particular customer and low rates of repeated solution sales. So it mostly depends on human resource, and this is where it's limitation for growth is.
  7. The demand is rapidly growing.
  8. Microsoft Dynamics share is more than 50% which is exceptional. So, the customers should decide between resellers and forget about ohter products as there is no or low industry (service providers) around these. Dynamics partners compete but keep quite high business ethics (no bad manners against competitors).
  9. Terrible service, support and reputation.
  10. Small market