Fullerton Returns, Joins OpenEye

By John Honovich, Published Dec 04, 2018, 11:34am EST

Eric Fullerton [link no longer available] became one of the most famous people in the industry as the Chief Sales and Marketing Officer of Milestone as Milestone became the most widely known VMS globally.

Then he took one of the hardest jobs in the industry, in 2014, becoming CEO of Vicon, a once leading company that had been declining for years. That did not work. And, in the past 2 years, he had seemingly retired from the industry, owning and operating his family's (Fullerton) Wines.

Now he is back, joining VMS developer OpenEye as their Executive Director.

openeye 2 1

In this note, we examine who OpenEye is (e.g., see our OpenEye test report), what OpenEye's strengths and weaknesses are and how Fullerton may fit at OpenEye.

OpenEye ********

********* * ** *** developer ******* ** ****, based ** *******, **********. The ******* *** ***+ employees *** ***** **** do *** ******** ******** revenue, **** **** ** 2008, ****** ** ** *** 500 *******, ***** ********** $**.* *******. **** then, *** ******* *** primarily ** *** *** larger / ****** ******* brands. ***, *** ******* is ************ ******* ***** its *** ***** *** focusing ** ***** ***.

*** ******* ** *** very **** *****, **** in *** ** ***** it ** *****. ******* has **** ********** ***** / ***-*** ********. ***** marketing *****, ****** **** 2015, ***** * ***** of ***** ********:

**** *** **** ****, ***** ** * video *********** ***** *** software:

OpenEye ********* / **********

******* ** * ******, conservative *******, ***** *** by *** ******* / founding **** *** ****** 20 *****. **** **** their *** **-***** ******** development *** **** ***** own **-***** ******** ******** / ************* *** *********. Relative ** *** ****** known **** ***, ***** software ***, ** **********, their ***** ******** ** quite *****.

OpenEye ** ***** *** *********

******* ** * *** different **** ***** *** Milestone.

***** *** * ********, between *** ***** ** decline *** *** ******* with **********, ***** *** an ********** ********* ****-****** situation. ******* ** ********* not.

********* *** **** ****** good ** ********* *** years. **** **** ***** software *** ****** *** (see*** **** ******** *.** test), ********* *** *********** itself ** *** *** name ** *****. *********, who ****** ********* **** in ****, *********** ******** significant ****** *** ****. By ********, *******'* ********* efforts, **** *** ****** viewpoint, ** ************.

Fullerton's *** / *********

***** *** ***** '********* Director' ** **** ******** used, ********* ** *********** operating ** *** #* in *** ******* ** founder **** ******** ** their********** ************ *********:

********* **** ** ******* out ** *** *******'* Spokane **, ******** ******* in *** *******'* **********, rather **** ** * part-time advisor ** **********.

********* *********** ****** * advantages:

  • ********** - *** * company *** ** *** well *****, *** **** that ******* *** **** to ******** ********* ** leave *** ****** *** live ****-**** ** ******* **** be * ******** **** for ******** ****** *** do *** **** ** have *** ********** ******* in *** ****.
  • ************* - *******, ********* has ************* **** *** partners *** ********* ** the *** ****** **** might **** **** ********* doors
  • ********* - ***** ** has **** **** ****** for * *** ******* with * ***** ** sales *** *********, ** has *** ********* ** be **** ** ***** problems *** ***** ** core ****** ******* ******* back.

Outlook *******

*** **** **** ******** is **** **** *** parallels ** **** ********* started ** ********* ** 2004. **** ****, ********* was *** **** ***** and *** ********* ****** to ****** (****** ***** before ********* *** ********* in ***** *******). ** he *** **** ******* navigate * ******* ********, OpenEye *** * ****** to ** * *********** mainstream ******.

*** ***** **** ******** is **** ******* *** Fullerton ** *** ***. Fullerton *** ******* *** multiple ********* (*.*.********* **** ** ***** for ******** ** ********) *** *** * winery. ** ** ********, IPVM ****** **** *** well *** *** ******* will *** ** **** is ****** * **** risk.

*******, ** ** * good **** ** ******* to *** ** ********* can **** **** ****** transforming **** ********* ** OEM ** * ***** brand ** ***** *** right.

Poll / ****

Comments (35)

OpenEye has a good product but they are lacking the sales force needed to move the industry. This is not something you can market your way through, it needs boots on the ground. 

Nothing against Fullerton but they probably should have used his salary to hire 4 or 5 more field sales guys, giving them a lowish base ($75k) and generous commissions on anything they close. 

Nothing against Fullerton but they probably should have used his salary to hire 4 or 5 more field sales guys, giving them a lowish base ($75k) and generous commissions on anything they close.

You think Eric’s salary is ~$400,000?

Give or take, yes. If not, why is he bothering? He is very well known and could get a $300K job easily a number of places, many likely with a better overall package and long-term prospects (higher predictability of success and payoff).

Because, IMHO, $375,000 is a hella lotta money for a smaller company to pay a non-CEO executive as a straight salary.  I would think bonuses / profit sharing would be used to reduce the salary.

Also, FWIW, OpenEye doesn’t appear especially competitive when it comes to compensation, according to the listings on glassdoor, for instance: 

How big are they now?

I doubt that is a U.S. based software developer. If it is, I'd be worried to ever rely on their software.

Careful there.....Thats shortsighted.

Most interns with a CS major are making more than that in their internships. I think any organization would be hard pressed to find a software dev in the US that they can offer 40K a year that makes good software - it just doesn't compute.

As a "marketing guy" Fullerton is likely going to want to spend money on various marketing initiatives, most of which are relatively costly, and none of which generally accept payment in stock or other forms of deferred payment.

Sure, some of his compensation might be contingent on various things, but the "cost" of hiring him is also more than just his salary if they are really going to let him do his job.

However you look at it, OpenEye could have likely hired 4-5 more sales people (doubling their current team?) for the price of 1 Fullerton. Plus, if Fullerton is really successful, they are going to need those sales people to fulfill the demand generation. Perhaps they have plans to raise funding (VC, debt, etc.) as part of the strategy here.

Bottom line for me is that (Fullerton+marketing) ≠ profitable revenue growth.

Maybe he has non voting shares? The better it does the more he stands to get long term..?

Also, FWIW, OpenEye doesn’t appear especially competitive

The glassdoor listing only has 1 estimate so it's too small of a sample to be meaningful.

Glassdoor can certainly be informative but not based on a single input.

sorry, there were four total.

Yes but that's 1 for each job title, including the atypical job title of "Washington". I think Glassdoor can be useful but generally that's when they have 5 or 10 reviews or inputs for a certain metric.

Yes but that's 1 for each job title...

It’s a smaller company, so you get what you get.

Still three examples of what different positions pay is better than one, no?  

Also, of the eight reviews three, (two positive) specifically mention low compensation:

Anyway, I’m not trying to prove Fermat’s last theorem here, just giving what evidence I came across.

It just seems to me that $375,000, at this size company, as a straight salary for this type of gig is on the high side.

Of course, Eric’s got serious credentials, but the Vicon chapter wasn’t positive for his reputation, IMHO.

What do you think, over/under $375,000 base?

 

Vicon chapter was not positive, for sure.

How much they are paying him, I don't know. Typically, for executives, a significant portion of total compensation is based on incentives, whether it is revenue goals, profit goals, equity, etc.

But, for executives, the bigger issue is less pay, than performance. If they are a bad fit, they can destroy a lot of value, regardless of what their compensation is. If they are a good fit, they can generate millions of dollars a year in value.

1.partner with people smarter than you. 2. sell something people want. 3. do not spend more than you make.

 

paying that high of a salary while moving your technology into the cloud? seems that would break the integer in any algorithm. these guys are all old, very old to be slangin cloud technology. good luck to them, we will see where this goes.

...seems that would break the integer in any algorithm.

Not if you “crunch the numbers” ahead of time...

🙄

All the best to Eric and his latest endeavor...although I would rather be in the tasting room than marketing VMS company that has a lot of catching up to do in both the client and cloud market.

has a lot of catching up to do in both the client and cloud market

The cloud market for VMS software is still early. There's no clear leader / gorilla in that space.

OpenEye has a legit shot at that market. There's Eagle Eye, there's Genetec that has been doing it for a few years but neither dominate it. Arcules is coming on. Qumulex is starting. Exacq is rolling out a managed cloud version, etc.

There's definitely a lot of competition ramping up and they may not be able to keep up but I don't think the issue is that it's too late. And they do have the advantage of a cloud VMS that works today, which most don't.

It is never too late to disrupt a market, but it requires a ton of work (marketing) and in the case of cloud, a shift in the sales motion. I don't think you will see a "gorilla" in the VSaaS market (unless you consider Google and Amazon)... it will be fragmented and convoluted by cloud/fat client hybrids offered by established players and smaller companies that have been doing VSaaS for a decade that fly under the radar.

It is never too late to disrupt a market, but it requires a ton of work

The amount of work is dependent on the stage of the market and its competitors. Take:

  • Commercial IP Cameras
  • Enterprise VMS Software
  • Commercial VSaaS

Clearly, commercial VSaaS is the easiest of these 3 markets to disrupt. Indeed, I would not even claim that commercial VSaaS needs to be disrupted because it is still so early and so limited use, that the market is open for any entrant to 'win'.

It is never too late to disrupt a market...

Never too late, but often too early.

Let's hope they can knock milestone off the perch...

The best case scenario is that this has parallels to when Fullerton started at Milestone in 2004. Back then, Milestone was not well known and was primarily an OEM itself (recall OnSSI before Milestone was Milestone in North America)

In our market in 2004 we were actively being told that Milestone was relabelling ONSSI when the truth was the opposite.  We had no real way to verify and we did not sell either product.  There was a lot of ignorance in 2004 in regard to IP surveillance.

OnSSI engineered a tremendous amount of confusion themselves about the subject until they had to label "Powered by Milestone" 

our market in 2004 we were actively being told that Milestone was relabelling ONSSI when the truth was the opposite

The good old days!

Btw, I realize the sentence you quoted was misphrased. I intended to say that Milestone was OEMing to OnSSI but they way I wrote it implied the opposite. I've now corrected it. Thanks!

The good old days!

Before the Tokyo Takeover!

I am a huge fan of Rick Sheppard and his team. What you see in that company profile video is exactly what you get. A company that cares about its customers. I was fortunate enough to have worked with Rick and also Ed Solt in a previous life as an integrator. Hands down a solid company to work with. Eric Fullerton made the right decision joining that group.

 

I have studied many companies over my 16+ years in the business and Rick and his team in Liberty Lake is the real deal.  First off from top to bottom they truly care about their customers.  When we all look at manufacture partners, we search for good people that care, good tech support, can I call them anytime, do they listen and OpenEye checks all the boxes for me.  Just look around there are not many, if any of these companies left, that can be agile like Rick and his team.  On a personal level he is a good man, working hard to make a difference in our space.  If he feels it was a good decision to bring Eric on at whatever it cost, then the companies that buy their products will only benefit more down the road.  As for the comments on spending this money on Eric and not sales people you should understand where they are going with that as well before thinking that they are not growing their sales force.  I don't buy a lot of the other manufacturers products, but I hope they all succeed and take chances, it will only give us opportunities that we might not have had in the future.  Just look at all the mergers and acquisitions over the past 5 years, we need companies like OpenEye to push innovation and technology. For example their integration with DMP, which enables integrators to deliver more value to their customers if they sell those products together. 

Just some questions and not trying to hint at our products, more curiosity.  What cameras are you typically using with them? Do you use their cameras too? Which ones do you find I tegrate best etc.?

Yes we do sell their cameras with the systems, good price point and integration.  Also work well with Arecont and Avigilon that we have seen. 

I have used OpenEye for many years.  It is a solid product backed by a solid company.  Openeye has had some hurdles (as all manufacturers do), but the leadership are all stand up guys.  They really do care about customers and will go out of their way to do whats right.  I look forward to what they do in the next 5 years!

We became dealers earlier this year after much observation.  The product is solid, the new integrations are timely (we are a DMP house), and the cloud product is just right.  They seem to have found the right mix in a very crowded field.  I do like the company and their service is exactly what I have come to expect.  

The thing that I like the most, beyond the people, is I don't see huge swings.  They tweak.

PCO Corporation has been a our OEM partner for our branded recorders for many years and they have constantly offered unmatched support and service. Rick Sheppard is an outstanding leader and he has continued to strengthen his team and this is further proof that this trend will continue. We look forward to advancing with them their newest cloud offering into our cloud based access control system. This product is currently supported in our on-premise solution and will be included in our Cloud Concierge in early 2019. 

What's the pricing on Openeye? :)

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