Last week, Computer Business Review published an insightful article titled “5 Ways SaaS Can Benefit Your Business” that did a tremendous job of outlining how Software as a Service (SaaS) can be so beneficial to a business, and why so many software vendors are shifting their business models from on-premises licensed software to public cloud-based offerings.
Below are the primary benefits that Computer Business Review cites SaaS applications as offering:
Lower costs - For starters, you are only renting the software so there are no upfront costs. The business user has authorization to use the software for a period of time and pay for the time they are using it. One of the key benefits is that the user doesn't have to pay for hardware that hosts the new applications, and neither is there a need to provision the resources to install it.
It’s faster - As the user is renting there is no need to buy hardware, which means no waiting times. The renting model also means that the setup time drops from perhaps weeks to just days or hours or less with the SaaS application.
Scalability - SaaS applications are cloud based and that is typically where they live, which makes scaling easy. This ties in with being faster, as the SaaS model can quickly adapt to spikes in demand where an on-premises solution couldn't.
Upgrades - The provider does the work for the business so IT isn't constantly being bothered by the business requesting for the software to be upgraded. This means that both cost and effort associated with upgrades and new releases is significantly lower with the SaaS model when compared to traditional software, which typically forces the user to buy an upgrade and install it.
Work anywhere - Because the software is hosted in the cloud, it is accessible over the Internet, and that means it can be accessed via mobile, tablets or other devices when the user is away from the workplace.
We agree with all these benefits, but we would like to add one more: Security. SaaS providers have more built-in security than most companies, and they will retain multiple copies of your data for your protection and theirs. You will often find this language in their service contract. If you choose a reputable and experienced SaaS provider, you can rest assured that they will back up your data and have protections in place.
It appears many organizations around the world are catching on to these advantages, as Computer Business Review reports that in 2016, SaaS is due to grow 20.3 percent from 2015, with an expected value of $37.7 billion.
Questions on the benefits of SaaS? Send them to info@DataServ.com, and we’ll be happy to provide our expertise.