ERP vendors are responding to New Zealand’s growing appetite for cloud computing. Leanne Graham, GeoOp’s CEO and the woman who spearheaded Xero’s global growth strategy, recently warned ERP vendors that they would need to move to the cloud in some form or face extinction in the near future. Now, recent vendor activity suggests the warning has been heeded.

ERP cloud computing veteran, NetSuite, which offers what it calls a “pure cloud-play” solution, this week announced that it has committed to growing its channel business in New Zealand, because “leading businesses in the region continue to embrace the cloud as a viable business model”.

The announcement came at a NetSuite cloud event and is in response to its need to keep up with growing demand for its cloud computing solutions from New Zealand businesses.

Speaking to iStart during the event, NetSuite’s managing director for APAC, Mark Troselj, said that the general sentiment around cloud has definitely moved on.

“For many people this is their first foray in to cloud computing in a complex business environment. For a lot of people it is about asking where it fits in their business, how it fits their requirements and how to de-risk it,” he explains.

Two weeks ago, SAP made similar moves in the New Zealand market, officially launching its new cloud-based ERP solution at its own cloud-focused event in Auckland. It has been busy investing in its sales in New Zealand for the past few months and says it is “looking down the barrel of a very healthy pipeline”.

When iStart asked if the company’s move to the cloud wouldn’t cannibalise its lucrative implementation contracts, SAP’s head of global sales for the customer and money suite, Joe Fuster replied, “The bottom line just shifts. The markets have shifted whether we want it or not.