In an unusual move, CRM Software's Greg Friedman pre-announces the product release by nearly a year

March 23, 2011 — 2:18 PM UTC by Brooke Southall

1 Comment

If there’s one thing that Greg Friedman knows after a decade as a software entrepreneur, it’s to promise what you can already deliver.

The president of San Rafael, Calif.,-based CRM Software is making an exception this time.

Friedman is announcing that his company’s industry-leading customer relationship management product, Junxure, will have a cloud-based version of its software come January. The hype surrounding the cloud forced Friedman to take a risk by putting a date on the product’s unveiling, he says.


“It was hurting us because we weren’t saying anything. We weren’t looking like the market leaders because people didn’t know what we were doing,” Friedman says. He is also co-principal of Private Ocean, a large RIA.

Across many industries, cloud-based software is increasing being touted as cheaper, easier to update and more reliable than software flowing from specific servers.

Friedman says the new Junxure product, which will not have all the functionality of the desktop version, will appeal to smaller advisors and those looking for more flexibility to plug in to other vendors.

The pricing hasn’t been set; Junxure currently charges $350 per user per year.

Right call

Technology consultant Joel Bruckenstein, Miramar, Fla.-based producer of T3 conferences and newsletters, said Friedman made the right call in announcing the new product well ahead of its launch. See: The T3 conference heads to the Everglades — and so does RIABiz.

“I agree they had to announce it now so that folks who are shopping CRM or those current clients who want it can plan accordingly,” he says.

“The pressure is on Junxure to offer a cloud-based product because that’s where the majority of new applications for advisors are headed,” adds Bill Winterberg, principal of of Dallas, Texas.

“Advisors are not IT professionals or server administrators, so anything that can be done to reduce their internal infrastructure is beneficial and often preferred.”

CRM Software is a 43-employee company that has been around for more than a decade. More than 9,000 advisors use Junxure.

Schwab Intelligent Integration

Junxure profile was raised recently when it was named as one of the three hubs of Schwab Intelligent Integration, along with Salesforce and Microsoft CRM. SII is the grand ecosystem of technology that Schwab Advisor Services is working to build for its 6,500 financial advisors with more than $600 billion of assets in custody. Of the three software companies picked by Schwab, CRM Software was the only one truly customized for RIAs and it was also the only one of the three that is not cloud-based.

Schwab is constructing its ecosystem of software providers around the CRM application. See: Schwab chooses some giant software partners, apparently with big RIAs in mind

Friedman says he has other custodians in mind as well with his cloud initiative.

“We’re obviously committed to (Schwab’s effort) and working with them closely. But we’re not exclusive just like they’re not, so we’re talking to all the major custodians.”

Creating a cloud-based version is consistent with this goal, Bruckenstein says.

Not scalable now

“Junxure does a good job of integration now, but it is not scalable. A cloud product will be scalable.”

The cloud version will also appeal to multi-location advisors, Friedman says.

Having decided to put Junxure into the cloud, Friedman is determined to go all out. He has hired six people with what he considers to be experts in user experience and web architecture as part of his company’s cloud effort. The user experience product manager is Mona Singh and Page Horton is the senior technical architect and developer.

The cloud product is literally a rewrite of his desktop software with no recycling of code.

The cost of the simplicity gained by going to the cloud, he says, is that it could take years for the functionality of the cloud-based product to approach the desktop version.

Still, the desktop-versus-cloud distinction is a red herring of sorts, he adds. Between 10% and 15% of Junxure users are currently using the software over the web from servers set up by the advisors themselves — or companies they contract with privately. This concept is known as the private cloud in computing circles.

“We have it in a private cloud; now (with the launch of the new service) the advisor won’t have to create their own private cloud.”

Mentioned in this article:

CRM Software
Top Executive: Greg Friedman
Consulting Firm
Top Executive: Bill Winterberg

Technology Tools for Today
Consulting Firm, Conference
Top Executive: David J. Drucker

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Peter Giza said:

March 23, 2011 — 8:32 PM UTC


I am glad to see more being published about applications vendors moving to the cloud using various techniques and technologies. RedBlack Software launched its private cloud initiative in June of 2010. There has been a steadily growing interest in using the cloud as a trusted business platform.

There is concern among many advisors with regard to security and control. However there is strong argument that properly built and managed cloud environments are more security and less prone to localized disasters and exploits than the servers laying around in advisors offices.

There will be stalwarts. For example; many advisory firms still own and operate Microsoft Exchange servers. My only question is: WHY? There are many well-qualified providers of sophisticated messaging solutions that most firms could never establish on their own. Email is a commodity.

Cloud computing, social media, advanced messaging, mobile computing are a sea change to the business world and everyone including regulators are being swept up in it all. It is not a matter if a vendor or an advisor will use these technologies, it’s a matter of when.

It will be interesting to see how many vendors use the immense power and flexibility of cloud resources to catapult themselves ahead of their competitors. Thereby disrupting the status quo and creating barrier to entry in interesting ways. Disrupt or be disrupted.


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