Tercera

It's that time of year and next week we are headed to Amazon Web Services (AWS) #re:Invent. Anyone else planning to be there? If so, it would be great to see you! Tercera's Garrett Blank and Kirsten Prost will be there so feel free to get in touch directly on LinkedIn if you'd like to meet. #digitaltransformation #AWSreInvent

We're still on a bit of high from an amazing three days with the leaders from our portfolio and this year, we had quite a few special guests and some outstanding guest speakers. This last week was our third annual Tercera Leadership Retreat, it's our favorite week of the year. And there are many reasons why. Our portfolio gets the chance to learn from each other, look back on the year, and plan for what's ahead. We take the time to recognize success but also reflect on challenges and how we can make changes to do better. And it's not all work, we throw some play in there too. A little team trivia, a boat ride on the Jupiter Intracoastal, and of course some tequila were all part of the agenda. So thank you to Florida for taking a break from Hurricane season, but more importantly, a big Thank You to those of you that took the time to come and join us for another leadership retreat! Randy Werder Blake Kloeckner Arun Shrestha Matt Torgersen Emmanuel Benoit Israel Forst Jason Cottrell Thomas Mulreid Chris Conant Michael Rouleau Erik Duffield Ryan Tucker Mark Wensell Jeremy Lynch Daniel Siegman Luke Rossi Jason Hampel Joyce Durst Jaclyn Rice Nelson Marlene Andersch Maggie Nolan, CPA Andy Johnston, CFA Paul Daugherty Tez Steinberg Chris Barbin Michelle Swan Lisa Burton Garrett Blank Krista AblOrion Zydlewski Kirsten Prost Philip Gronstedt Sam Mecha Mike Epner Toni Pavlovich

We've got some big news to share! Zennify and Terazo -- two of our portfolio companies - announced they are joining forces to capitalize on the push for data and AI in regulated industries. Yesterday, Zennify announced it has acquired Terazo, a leader in AI, API, and data engineering. Terazo’s expertise across platforms and within industries like healthcare and utilities, combines with Zennify's deep domain experience in CX and financial services. Together, they can help clients unlock the value of their technology investments, and use data and AI to create truly differentiated customer experiences. Read more in our blog about how this partnership came to be, and how it will help the teams expand existing partnerships with the likes of Salesforce, Twilio, Databricks and nCino, Inc.. https://hubs.ly/Q02Y34YM0 #AI #DataEngineering #CustomerExperience #Salesforce #DataTransformation

The survey says: There’s a sweet spot for partners. In Part 2 of our blog series based on the Tercera 30 survey results, we explore the top tech partners and the ideal number of partnerships for services firms. Top Choices: AWS, Microsoft Azure, Google Cloud, and Salesforce lead as partners, offering structured support and growth opportunities. The Sweet Spot: Firms with 2-3 software partners report the strongest growth—just enough to diversify, but not stretch resources too thin. For more insights into balancing partnerships for maximum growth, read Part 2 here: https://hubs.ly/Q02X9VNR0

The survey says: Despite today's economic uncertainties, tech services firms are still growing! We've compiled a two part series based on the Tercera 30 survey findings. The results revealed that most tech services firms are thriving, with a median growth rate of 16.5% over the past year—even amid AI disruption, inflation, and global shifts. Some key discoveries include: Partner Ecosystem Strength: 57% of firms focus on solving customer problems over ecosystem expertise. Increased Demand: Strong demand for primary vendors’ products, with a net promoter score (NPS) of +55. Top-Tier Benefits: High-tier partners see double the deal flow from vendors. Click here for the full blog post: https://hubs.ly/Q02WZYMD0

No tech company succeeds alone. As our CEO Chris Barbin notes in Forbes, behind every innovation are the partners—service providers, developers, and consultants—who unlock real value. With the IT services industry projected to grow 16% annually, partnerships are more crucial than ever. 4 Keys to a Winning Partner Ecosystem: 1?? Market Size: A larger Total Addressable Market creates space for diverse players. 2?? Brand Growth: Partner with industry leaders investing in R&D. 3?? Need for Services: Customizable platforms provide lasting partner opportunities. 4?? Support & Collaboration: Structured programs fuel mutual growth. The right ecosystem fuels smarter growth, letting companies focus on innovation while partners drive operational success. Read on for the full article: https://hubs.ly/Q02WtM470

The people have spoken! The winners for the People’s Choice Awards in this year’s Tercera 30 are Snowflake, Atlassian, and Databricks! Over the last month we asked our followers to vote for their favorite software partners -- those that put partners first, that drive significant services revenue and are well positioned in the enterprise IT stack. Not surprisingly, data and AI players were some of the top choices, but our three People's Choice winners stand out for their commitment to partners. ?? These names probably need no introduction but just in case... ??Snowflake: A cloud data powerhouse leading the Market Anchor category with its highly regarded partner ecosystem. ??Atlassian: Collaboration champion and Market Mover, proving that agile work environments and partner-centric strategies go hand-in-hand. ?? Databricks: Dominating the Market Challenger category with its GenAI momentum and rapid partner expansion. Check out the full details here, how these 3 came out on top and the runners up in our blog here: https://hubs.ly/Q02Wjbyt0

With tech stacks getting more complex, many services firms are ditching the “one-partner” approach and working across multiple software ecosystems. According to Tercera 30 research, most firms now partner with 3-5 platforms—and 20% plan to expand further this year. Whether it's to stay stickier with clients or reduce risk in their business, services companies are playing the field more than ever before. Services firms aren't the only ones. Software companies are broadening their own partner ecosystems, creating opportunities for services partners. Salesforce is a great example of this. In our latest blog, Tercera Partner Michelle Swan covers the rise of these "ecosystems of ecosystems", and how Salesforce partners are finding new ways to work within them. Especially if they want to capitalize on Salesforce's move into data and AI. https://hubs.ly/Q02VLhv60 #ecosystem #partnerships #businessgrowth #techstrategy

There's exactly one week left to vote! https://hubs.ly/Q02TGLQR0 Which organization from our list of the top 30 companies do you think is the best? It's a close race, but so far we have NVIDIA in the lead from our Movers category, Snowflake leading the way for the Anchors, and Databricks with the most most votes for the Challengers. There's still time... Voting ends at 12PM EST on Wednesday, October 23rd.

High gross margins create cash flow, which can be reinvested in sales, IP, operations support, all of which can boost revenue growth, driving a virtuous circle. The opposite also holds true. It is extremely difficult to maintain high revenue growth with low gross margins, at least sustainably. So what does good look like for IT services firms? Read the latest blog by Lisa Burton, a partner at Tercera and Kirsten Prost, Vice President at Tercera to learn the fundamentals needed to get great gross margins. https://hubs.ly/Q02TsXWC0