Posts Tagged ‘SaaS business software’
SaaS Software for first timer
For starters, most software programs (especially those aimed at the large account), require a minimum of between 18% and 20% of all acquired licenses in maintenance. That cost is not broken, and recurs every year.
Furthermore, having a system of proprietary software forces us to be associated maintenance personnel, to address possible problems, perform software updates, etc.., Which is a recurring business cost. Then there is the servers that host such software must have a regular maintenance (cleaning, optimization, etc.). Which is another recurring cost.
When you do numbers, the SaaS model is more profitable economically than the ownership model.
In short, once the market can understand and overcome the initial reluctance to a new model, expectations for the future of the SaaS model is more than promising.
SaaS Business Software
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 much more consolidated in the U.S., is penetrating rather slowly in Spain.
The reluctance of customers to adopt this model are basically 3:
1. Geolocation: Where are my data?
2. Security: How do I know my data will be safe?
3. Recurring payment: Why should I pay every year for something I already have?