What is a SaaS Product?
Software as a service (SaaS) (also known as on-demand software) is a software licensing and distribution model in which a centrally hosted software is provided to customers through a licensed subscription over the internet.
Instead of having to procure expensive hardware or installing software, you can easily access an application over the Internet. SaaS products are often called web-based software, rent ware, or hosted software.
The SaaS company simply hosts the software on its servers and delivers it to its subscribed end users via the internet. The SaaS company is responsible for providing access, security features, IT support, and performance during the course of its functioning.
SaaS is a part of cloud computing technology, along with the well-known services of infrastructure as a service (IaaS) and platform as a service (PaaS). A Gartner survey found that more than a third of the organizations see cloud investments as one of their top three investment priorities.
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What are SaaS Businesses?
A Saas business is one that creates and distributes software online in order to satisfy a customer’s needs.
SaaS is an acronym that stands for Software as a Service (SaaS).
Along with Infrastructure as a Service (IaaS) and Platform as a Service (PaaS), SaaS makes up three of the main branches of cloud computing.
This umbrella term refers to technology that facilitates the storage, management, and processing of big data via a series of remote servers that are connected through a network.
Consequently, unlike other areas which stem from cloud computing, SaaS makes it possible for businesses to access software with a web browser.
Meaning that as long as you have an internet connection, you can use a software application.
These applications are known as SaaS products that SaaS companies develop and place on the market for consumers to use.
Users access them by subscribing to the software provider and paying a quota for the product.
Benefits to SaaS Companies
For companies that develop and host SaaS, their investments yield four major benefits that contribute to their success in the industry:
- Wide reaching audience: SaaS is compatible with platforms that use a contemporary browser. By default, these platforms include Android, iOS, Windows, MacOS, Linux, and X. For that reason, SaaS providers appeal to a wide audience because their services are easily accessible.
- Lowers software piracy: SaaS tends to be more secure than traditional software that is installed on a computer.
- Creates a more trusted product: Because the product is more secure, customers feel more at ease sharing their personal information with software that is cloud based.
- Reliable: In light of the increasing relevance of the SaaS industry, investors will pump more money into it that will propel its growth. For that reason, it’s plausible that cloud platforms will continue to improve, thus making it a more reliable.
Benefits to SaaS Customers
Customers derive several benefits from SaaS. A few of them are:
- Accessibility: Since all you need is an internet connection to use SaaS services, you can access it at any time from any device without having to download any software.
- Upgrades: SaaS users get immediate access to software upgrades and fixes on bugs that may crop up as the software is in use. This is because all the developer has to do is to upgrade the software that’s on the server. Once that is done, all software consumers can access the upgraded version.
- Affordability: SaaS companies offer their services as per subscription. Usually, they offer both monthly and yearly options. Thanks to the flexibility in their payment methods, they tend to be more affordable than traditional software which requires you to pay a significant amount all at once to access the service.
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Manage customer conversations across email, chat, phone, web, and social media on your helpdesk.
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