Coghead launches; Undercuts Salesforce pricing by 23%

Coghead, which was part of my 8 startups to watch-out for in 2007, is finally going live with it’s DIY web-based application development platform. Coghead had been under private beta since last year and is now available for customers to register for free single-user accounts. Major part of the launch is announcement of pricing by Coghead.  Pricing for multi-user accounts will start at $49 per month for a five user account. As compared to this, Salesforce offers a pricing of $65 per month for a five user account. Since Coghead offers a Rich Internet Application development environment, it puts Salesforce users at dual disadvantage where they pay higher price for an application that can be customized to a far lesser extent.  

Last week had a call with Coghead team led by Paul McNamara to have a look at the new features at Coghead since the last time I talked in November last year. In case you haven’t checked out till now, Coghead platform strength lies in the ability for developers to quickly and easily create new applications based on their business logic via the drag-n-drop interface that comes complete with workflow defining tools. Overtime Coghead team has added a very well thought of access control around the application platform that can even provide row level security for the stored data. This kind of data security typically comes along with enterprise calls products whose licensing costs run into $1M and here we are talking about few dollars per month. Some of the other smart features built into the platform include – click-to-call via Skype when you click on any phone number in the data field. Also any address field brings up Google Map. Besides that, Coghead now comes with widget support where you can export your form view outside the platform to enable access to limited data.

In my opinion, launch a platform whose only requirement is knowledge of business application, for sure would revolutionize the way applications are developed and consumed. Won’t be surprised to see number larger number of small-medium-large enterprises getting their hands dirty and realizing they can drastically cut down on the funds required to rollout a new app.

8 startups to watch-out for in 2007



4 Responses to “Coghead launches; Undercuts Salesforce pricing by 23%”

  1. pwb Says:

    I don’t get Coghead. Is it just a random collection of mediocre apps? Surely no one is going to choose Coghead CRM over Salesforce or Sugar?

  2. Sarah Says:

    Coghead is a web-based service where tech-savvy businesspeople can create and share custom web applications. Coghead also provides an application gallery where customers can find prebuilt applications ready to use out of the box, and they can also be customized to meet specific needs. The application gallery is a collaborative marketplace where members can contribute applications, and even sell them.

    We have found many customers who actually do prefer to use their own custom CRM to Salesforce and Sugar. The reason is that they need a CRM to directly model their sales methodology, instsead of having to model their sales methods around the way Salesforce is built.

    We also find many customers who have peripheral needs to their core applications. So, we also have members who also use Salesforce, and then they can extend the functionality with Coghead.

  3. StartupSquad » Blog Archive » BungeeLabs goes Beta Says:

    […] Commercial deployment for fees based on actual application use that would cost $1/computer-network-interaction hour. This is seriously going to undercut Salesforce and Coghead pricing. […]

  4. Andrew Says:

    Salesforce is $65 PER USER per month, for 5 users. Over 5 users requires the enterprise edition, which is $125 per user per month.

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