NetSuite Announces the Latest Companies to Choose the On-Demand Suite Over On-Premise...

NetSuite Announces the Latest Companies to Choose the On-Demand Suite Over
On-Premise SAP

Leading SaaS ERP Suite Offers Key Advantages Over SAP in Cost, Implementation
Time, and Sustainability

ORLANDO, Fla., May 11 /PRNewswire-FirstCall/ -- NetSuite Inc. (NYSE: N), a
leading vendor of on-demand, integrated business software suites for
mid-market businesses and divisions of large companies, today announced some
of the latest companies to select NetSuite over software provided by SAP. By
turning to NetSuite's unique integration of enterprise resource planning
(ERP), customer relationship management (CRM), and Ecommerce capabilities in a
single on-demand application, customers such as Distribution Video & Audio,
GestureTek and Schaeffer Oil are now realizing the benefits of a modern,
enterprise-class business operations platform accessible anywhere in the
world, at a fraction of the cost and administrative overhead of SAP.

Upgrading SAP is an Ordeal
According to new research from Macro 4, a UK-based global software company,
there is a high degree of risk and complexity involved in most major SAP
upgrades. Notable research findings include:

-- SAP customers who are planning on upgrading to the latest version of
the
company's enterprise resource planning software, SAP ERP 6.0, are
facing a major ordeal, partly because of the bulk of historical data
clogging up their systems.
-- 90 percent of the 135 SAP users from UK, France and Spain who
participated in the survey admitted that performing upgrades was a
challenge.
-- SAP customers' main complaints include the time that upgrades
consume (mentioned by 73 percent), the complexity involved (60
percent),
and the staffing resources involved (50 percent).

-- 41 percent of respondents were worried about the risk of system
failure
following an upgrade and 39 percent were concerned about potential
loss
of data.

A July 1, 2008 report by Forrester Research reported that the tipping point
toward SaaS adoption is the upgrade and application management requirements of
on-premise solutions, a pain that is felt by SAP's enterprise ERP customers.

NetSuite: Antidote for the High Cost and Complexity of SAP
For years, companies successful enough to grow to a certain size and
complexity had little choice but to "graduate" from off-the-shelf packages or
an uneasy assembly of stand-alone, custom programs to software systems from
SAP. This rite of passage came at a price - lengthy implementations, expensive
hardware and software maintenance, and cumbersome upgrade processes which
typically required remedial work to be done just to customize screen views and
/ or add the simplest of new functionality.

NetSuite has been providing a new, better approach to end-to-end enterprise
operations for years, and SAP's target market is taking notice. By providing
ERP, CRM, and Ecommerce in a single solution, companies can obtain a robust
feature set offered by legacy software developers, including multi-language,
multi-currency international operations, full controls and compliance
enforcement, and a 360-degree view of customers and prospects.

As a Software as a Service (SaaS) pioneer, NetSuite has perfected the delivery
model for today's always-on, business-anywhere enterprise. Anytime, anywhere
access enables companies to run lean, without a need for centralized
facilities, while providing instant scalability for enterprises expanding into
new markets and opportunities. Unlike an SAP implementation, which can drag on
for months or even years and cost millions up-front, NetSuite solutions can be
deployed worldwide in a matter of weeks. Because upgrades are carefully and
centrally managed, business no longer need be disrupted while technologists
try to adapt yesterday's customizations to today's feature patch. And for
those companies already deeply reliant on SAP solutions looking to embrace the
advantages offered by SaaS, NetSuite OneWorld for SAP offers seamless
integration for subsidiaries and corporate divisions which need their own
enterprise-grade capabilities while maintaining transparency with the central
system of record.

The most recent companies entrusting their daily business operations to
NetSuite include:

Distribution Video & Audio(DVA), (www.dva.com), based in Palm Harbor, Florida,
a 20-year old company, is the country's largest wholesaler of entertainment
closeouts. In 1995, DVA expanded into three separate divisions: Consumer
Sales, Library and Government Sales and Liquidating & Wholesaling, and in 2003
added a Special Markets division. Today DVA sells more than 10,000,000 units
per year. Over a period of many years before DVA came on board with NetSuite
in 2007, they had tried QuickBooks, Mail Order Manager, ACCPAC, Microsoft
Great Plains, and SAP. DVA CEO Brad Kugler says NetSuite, from the start, did
80 percent of what the company needed right out of the box, and since then the
company has experienced an increase of more than 500 percent in its Ecommerce
business. When it came to choosing a new software solution to run this
thriving business, DVA jumped on NetSuite without considering SAP again.

"Our company ran SAP as a fast-growing business and it was a nightmare," said
Brad Kugler, CEO, Distribution Video & Audio. "The licensing fees, consultants
and hardware needed to run a SAP installation is enormous and would sink any
business like ours. We dumped it and went to NetSuite a few years later and I
only wish we had done it earlier."

GestureTek (www.gesturetek.com), based in Sunnyvale, California, and with
offices in Toronto and Ottawa, Ontario, Canada; and in Asia, is the pioneer,
patent holder and world-leader in gesture recognition systems for interactive
displays, presentations, entertainment and advertising. The company is an
innovative leader in multi-touch surfaces, 3D tracking and control technology
and gesture control interfaces for mobile devices.

For many years the company relied on custom software and spreadsheets to
manage its business. When Gerry Sylvia joined the company as Director of
Production and Logistics, he wanted to introduce GestureTek to the kind of
sophistication and process controls he knew SAP could deliver, without
burdening the growth-stage company with the high costs of an SAP
implementation.

GestureTek found the answer in NetSuite, which provided the company with
tighter development and sales processes, at a fraction of the price of the
large ERP systems Sylvia was so accustomed to from past experience. "NetSuite
gives me the same kind of power, but in a product that's more mainstream," he
said. "And it gives us room to grow and change, knowing that NetSuite will
grow with us."

Schaeffer Manufacturing Company (www.schaefferoil.com), based in St. Louis,
Missouri, is a leading producer of synthetic motor oils and other long-lasting
lubricants, with customers ranging from heavy industry to racing teams. The
family-owned company has been in business since 1839, but has seen significant
growth since the 1990s, nearly doubling its revenues to reach $100 million in
annual sales - a standout success in a rapidly consolidating market usually
dominated by massive international conglomerates. When growth and competitive
pressures motivated an IT overhaul and the replacement of an aging mainframe
platform, Schaeffer considered implementing SAP Business One. Instead, the
company decided to avoid the expense and complexity of implementing an
on-premise solution and turned to NetSuite.

NetSuite enabled Schaeffer to cut shipment preparation time, reduce errors
from data re-keying, and eliminate substantial expenses on everything from
software maintenance to redundant paper forms. Because NetSuite is built to
make electronic trading and payments easy, Schaeffer has more than doubled its
electronic data interchange (EDI) order volume, and conducts ten times as many
transactions through electronic funds transfer (EFT).

"NetSuite makes it easy for us to offer EDI and EFT because it automates the
processes, so not only is our billing time reduced, but our competitive
advantage is strengthened," said Schaeffer CFO Will Gregerson. "With NetSuite,
we're saving over $100,000 per year, we get our products to customers in half
the time, and we haven't had to add to our staff."

For more information about NetSuite Inc., please visit
http://www.netsuite.com.

NOTE: NetSuite and the NetSuite logo are registered service marks of NetSuite
Inc.

(Logo: http://www.newscom.com/cgi-bin/prnh/20021024/SFTH024LOGO)

SOURCE NetSuite Inc.

Mei Li of NetSuite Inc., +1-650-627-1063, meili@netsuite.com