Verdiem Woos Channel With PC Power Management Software

Verdiem's software enables IT managers to set policies for groups of users based on individual work patterns so that when users are not in front of their PCs, the systems move to a lower power state. The software typically saves 100 kilowatts per hour to 300 kilowatts per hour -- per year, per PC. That translates into savings, on average, from $25 to $45 dollars per PC, per year, says the company.

"If everybody turned off their PCs when they weren't using them, then energy waste would be reduced, but 85 to 90 percent of people don't do it," says Verdiem CEO Kevin Klustner.

Verdiem charges a one-time fee of $25 per PC, plus $3.75 per PC for maintenance costs; on average, companies realize an ROI in 12 to 18 months, Klustner says.

The software also provides reporting capabilities, enabling companies to document their environmental efforts.

In past years, Verdiem has sold its products into the facilities and maintenance divisions of companies, but it is now selling more through IT departments. In fact, it says more than 70 percent of the inbound contacts it receives now are from IT staff.

So, what's in it for VARs (aside from the good feeling that comes from helping to save all that energy, of course)? In addition to offering margins through discounted list pricing on products, Verdiem says the product also leads the way to assessment services, such as presales and postsales energy audits.

"We train resellers on how to do a network energy audit, which they can provide as a service," Klustner says.

One VAR familiar with the software says the product is an easy sale that can open the door for sales of other services and products.

"It's so easy to do -- it's just a little thing you can do that pays for itself," says Terry Joslin, president and CEO of Western Blue, a VAR in Sacramento, Calif., with revenue in the neighborhood of $100 million. "Once it's installed, we can do a network energy assessment every six months to make sure [customers] are still getting savings...it's just a basic health check, and it keeps us in front of them and keeps the savings data fresh."

Verdiem has also inked 25 agreements with regional utility companies to reward companies that deploy its software with rebates.

"If companies can get a rebate from one of the utilities, they see an ROI in about eight months," Joslin says. If not, it's more like 12 to 18 months."

Verdiem has about a dozen channel partners right now, but it's hoping to eventually move 50 to 75 percent of its business through the channel. So far, the company has deployed its software to about 350,000 seats, and it's adding about 50,000 new seats per quarter now, Klustner says.

For now, the company's only focusing on PC power managment, but it could further extend its software in the future.

"We'll continue to look at other devices hanging off the network, but it's just PCs for now," Klustner says.