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	<title>Financial Management &#187; recultance of SaaS customer</title>
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		<title>SaaS Business Software</title>
		<link>http://www.caralcaral.com/saas-business-software.htm</link>
		<comments>http://www.caralcaral.com/saas-business-software.htm#comments</comments>
		<pubDate>Thu, 25 Mar 2010 06:00:59 +0000</pubDate>
		<dc:creator>memei</dc:creator>
				<category><![CDATA[business management program]]></category>
		<category><![CDATA[business management software]]></category>
		<category><![CDATA[recultance of SaaS customer]]></category>
		<category><![CDATA[SaaS business software]]></category>

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		<description><![CDATA[The SaaS model is based on an improvement model based on software license purchase and ownership of the software. Many of us believe that this model is now obsolete and what companies must buy are services, not products. Value added services that solve business problems and to focus on the business. This model, as expected [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://www.caralcaral.com/">The SaaS model</a> is based on an improvement model based on software license purchase and ownership of the software. Many of us believe that this model is now obsolete and what companies must buy are services, not products. Value added services that solve business problems and to focus on the business.</p>
<p>This model, as expected much more consolidated in the U.S., is penetrating rather slowly in Spain.</p>
<p>The reluctance of customers to adopt this model are basically 3:</p>
<p>1. Geolocation: Where are my data?<br />
2. Security: How do I know my data will be safe?<br />
3. Recurring payment: Why should I pay every year for something I already have?</p>
<p><span id="more-14"></span>The first of the objections that put SaaS business model is perhaps the easiest to refute intellectually, although the most difficult to overcome emotionally. Everyone can understand that it is immaterial where the data are physically located in a business where they are accessible in the form and manner desired.</p>
<p>Yet still prevalent in many businesses the psychological factor giving the management of corporate data to third parties. It&#8217;s like I say a question of psychology, whose main influencing factor is the fear of the (apparent) lack of control over corporate data. Against this feeling, this perception, the only prescription is time and evangelization of the model.</p>
<p>Rebut the objection on the security of data is much easier. Is not the data will be safer in companies whose business depends solely on the data of their customers are safe? The key is to choose a solid company, reliable and offer excellent levels of SLA. Companies can not (or should not) invest in expensive redundant systems, backup complex algorithms and protocols to natural disasters.</p>
<p>That sector is now so complex and important enough to have companies that specialize in these systems. So let these companies are responsible for the security of our data so we can focus on our business.</p>
<p>The third reluctance concerning recurring payment of the SaaS model is based on a fallacy. And that fallacy is thinking that when purchasing a traditional software model no recurring payments. As we know the SaaS model is based on a pay per use:</p>
<p>through a monthly payment, the customer accesses the software through a browser, without having to worry about software license purchases, purchases of servers to install software , software updates, maintenance, etc.. The monthly payment is the only cost of the platform, so there are no hidden costs and therefore companies can make cost projections smoothly last minute.</p>
<p>In a traditional model argues that, once purchased licenses, the software is already owned by the customer and no other expenses recursive. Fake.</p>
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