Adelaide-based software developer Strategic e-commerce has secured two multimillion-dollar licensing deals with large local government associations.
The developer has signed an agreement with the Municipals Association of Victoria (MAV), a group that represents local councils in Victoria. Under the agreement, the MAV has purchased licensing for Strategic e-commerce's buy-side e-procurement application (StraightBuy) for the use of its members. It will also see many suppliers that want to sell to these local governments purchase licences for Strategic's sell-side e-procurement product (StraightSell).
Last year, Strategic won a similar deal through a closed tender with a similar local government body in South Australia. This resulted in the sale of the StraightBuy product to over 20 councils and its StraightSell product to over 100 suppliers.
The latest win was all the more glorious for Strategic e-commerce CEO Andrew Sendy, as the local VC-funded developer beat out international software vendors such as Oracle and iPlanet.
"We make a good buy-side offering, but the real value for the councils is that we have already done the integration work between the e-procurement software and most of the local governments' financial systems. It would have taken anyone else about 12-18 months to do that well."
Sendy said that around five of the top eight financial packages for local councils (such as those offered by Civica, Fujitsu, Geac, ITVision and Phoenix) are already integrated with StraightBuy. Similarly, the StraightSell software has been engineered to integrate seamlessly with the financial packages of Attache and MYOB, commonly used among small suppliers.
Individual member councils of MAV are not obliged to pay the annual subscription fees to use the software, Sendy said, but with the licensing already paid for by the MAV, most would see the value.