Software as a Service (SaaS) has been around in some form since at least 1999. However, over the years, it has grown into a huge industry that has replaced on-premises solutions and taken the software world by storm.
Why is SaaS growing so fast and how are companies taking advantage?
Rise of the mother-in-law
At its most basic, SaaS is cloud-hosted software, as opposed to a company's physical servers or hard drives, and is charged on a subscription basis. For companies using software, the SaaS model offers many different advantages (discussed in the next section).
But it's not just consumers who enjoy SaaS. Large software companies that once sold off-the-shelf software are keeping up with this trend by changing their business models.
"Microsoft and Adobe, for example, now offer their products on a subscription basis even though their traditional business models were based on selling perpetual software licenses," says Lucien Wein, managing director of Oneserve, a software A company that sells field services management. SaaS solutions.
In addition to traditional brands like Microsoft and Adobe, we're seeing entirely new companies enter the industry by building brands around the appeal of SaaS.
For example, SuperSaaS, an online appointment scheduling platform, has been able to base its business on the SaaS model. More than 45 million appointments have been booked on its platform worldwide, proving that the model is there for both big brands and small companies.
Why behind high adoption rates?
So what are the benefits of switching? Well, here are some of the best, according to vendors and customers:
1. Low cost
There is also no need to purchase specific hardware to host the applications you are using. This results in a lower cost of entry and allows small businesses to access enterprise-grade solutions.
2. Better scalability
Since the SaaS solution is hosted by the provider, you only pay for what you use.
You only need to pay for 10 people to use the software. However, if your business is growing and you have 15 employees next month and 25 by the end of the year, you can easily adjust your plan to accommodate these fluctuating demands. Ultimately, it minimizes wasted costs and maximizes production.
3. Frequent Provider Updates
"SaaS solutions typically offer frequent, automatic, non-disruptive updates as part of an ongoing subscription charge," says Andrew Brooks of ITWorld Canada. “Because these updates are made more frequently and therefore incrementally than with on-premises solutions, they typically significantly reduce testing, end-user acceptance, and training costs. "
If you've invested heavily in on-premises software in the past, you know how frustrating and expensive it can be to keep your solution up-to-date and relevant. With many SaaS solutions, these frustrations are avoided entirely.
4. Low learning curve
Finally, SaaS has a very low learning curve. This is because many SaaS providers create tools that allow for a lot of customization. This means that the software adapts to your business, rather than your business needs to adapt to the software.
The future of the mother-in-law
In the future, software as a service is likely to grow further. With nearly every major software provider now investing in cloud technology, there seems to be no turning back.
Think fast, because now is the time
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