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Around Housing management Solution providers, no one can deny there has been some serious consolidation over the last decade. NEC bought Northgate, MRI bought a smorgasbord of softwares, Civica have hoovered up Keystone and Abritas. If you are a supplier out there, you better be a good disrupter or prepare to manage half a decade of decline (so my contacts tell me).
While distracted by these consolidations, some including lots of legacy solutions, liberal sprinklings of Silverlight, old skool Client-Server and other non-Cloud first demons, some suppliers are quietly buying in Cloud ready solutions under the radar. Why would you not? Exactly what I would be doing if I had deep pockets available to spend. Why buy legacy solutions that will cost an arm and a leg to move to full Cloud & browser presentation?
EU wide housing software and mobile supplier Aareon, have been really canny recently in buying up FixFlow, Arthur Online and Tilt’s Affinity in Northern Ireland, who have capability to support Differential Rents in southern Ireland. The nice thing here is that these are all written for cloud already, their challenge is only to integrate. So with well targeted resources, we should only wait 9-18 months to see a nice offering here, if done right.
Of course, the danger with buy-ups is always that existing directors can be enabled to ‘cash-in’ and if not well managed, experienced staff run to the hills and take better jobs elsewhere. Lets hope Aareon manage this better than others have historically. Notable is that back in August 2020, Aareal Bank in Mainz (a lovely city in Rhineland-Palatinate, Germany), sold 30% stake in IT subsidiary Aareon. This software arm in all the EU and UK sectors it operates, must pay its way.
Aareon have a significant footprint in the UK social housing marketplace with its Client-Server solutions. As we know, markets and organisation needs have changed drastically over the last 18 months of Covid19. Maybe its new acquisitions will keep it desired and relevant. More important, if I were managing Aareon, I would hope that these new acquisitions would be a means of accelerating getting the existing customer base onto a new Cloud and browser journey in a cost effective manner. Potentially there is more modern raw material here than from some other suppliers at the minute.
Lets see what its management makes of it. Potentially some hard leg-work to do here, that might result in good outcomes for better social housing solutions.
Related Post: Go-Live, making it a success (or not)
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Christine and the Queens – Tilted.
(c) Tony Smith, Acutance Consulting www.acutanceconsulting.co.uk 07854-655009
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