From time to time, we document Gluu’s business model using one of the method’s described in the book Business Model Generation: A Handbook for Visionaries, Game Changers, and Challengers. Below is my view of the current Gluu Business Model.
A few highlights:
- Gluu is serving a wide range of customers: from small organizations who operate their own IT, to super large organizations that have high end requirements.
- VIP support typically makes sense for large organizations. But we do our best to serve the larger community by providing free online support.
- Customers typically find Gluu by searching the Web. Our partner network is also very important to us. Other channels are helpful, but less consistent.
- The biggest difference between Gluu and other IAM products is the license. But the Gluu Server is also a great product! We tried to design a product, based on open standards, that is more secure and cheaper to operate because of its simplicity.
- Gluu is staffed by a very diverse and dedicated team, without whom, none of this could happen. That’s our biggest asset. We’ve also been hard at work for many years (see Gluu’s Github). And of course the Gluu Community is the keystone on which the team and the technology depend for success.
- Gluu is a product innovation company. “Product” includes the bits plus documentation, testing, support, and marketing. Gluu seeks to minimize support time per customer so we can focus on innovation.
- Our most important partners are our global network of “identity-savvy” and “open source friendly” IT services firms–the Gluu Partner Network. Another type of partner for Gluu are organizations that are developing software components that we use in one of our products. We also supports the Kantara Initiative, an identity industry group and standards organization.
- Like most businesses, people are our biggest cost. Our server hosting bill is also pretty high. We probably spend less on marketing then most firms in our industry, but we do still invest a little here.
- Support subscriptions are the main source of income. Revenue from commercially licensed software (oxd and Super Gluu) is growing.
I highly recommend the above mentioned business model generation book to entrepreneurs or business people. It’s a handy way to have a substantive conversation about the nature of the business, and which strategic decisions the business has made.
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