Research is showing a growth in adoption of the Software-as-a-Service (Saas) model for both small businesses and enterprises alike, but especially those that face substantial change. The SaaS model works well for companies that need to grow quickly, adapt to rapidly changing markets, or even lessen the impact of consolidation.
The latest appearance of this trend is seen in the adoption of SaaS among fast-growing companies that want to adapt to change and stay up to date with the latest progressions in their industry. For example, subsidiaries of large companies can use SaaS to help them drive their business into new and emerging markets.
SaaS enables companies to quickly deploy new applications at a fraction of the cost of doing it in-house. SaaS providers generally price applications using a subscription fee, most commonly a monthly fee or an annual fee. With subscription-based pricing and low cost of entry, SaaS gives companies the freedom to innovate with their software choices and choose which applications work most effectively for them. Without costly upfront software license fees, there’s less risk in evaluating a cloud-based application.
Cloud hosting lets companies innovate quickly and respond to changing needs immediately. If a group of users suddenly needs new capabilities, those new tools can be accessible to users right away, which inherently results in a more agile company.
In the business world today, many businesses simply do not have time for the implementation of traditional long-term on-premise IT services. The market for traditional IT services is fading as SaaS captures more and more attention from businesses looking to adapt with the changing markets.
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