Software-as-a-Service or SaaS cloud service models are widely adopted in most of the organization to reap its benefits over on-premise software installation. The benefits of SaaS are available for both software service providers and customers. Hence, there is a huge shift from the traditional software model to a SaaS cloud platform.
Since the inception of SaaS technology, it has a great impact on the global market. In fact, SaaS increases the World economy’s rate of growth almost nearly five times at present. 2017 and 2018 was deemed as the year of the perfect state of cloud performance for service providers.
The advancement of SaaS technology will really boost up the rate of cloud workflow in organizations by the end of this year and beyond. Take a look at this article to know why SaaS is known as the hottest technological market.
What Is SaaS?
Software-as-a-Service is also called as an application service provider, that offers connection and subscription to various ITES built on cloud infrastructure and deployed via the internet. It is considered as one of the most cost-effective alternative methods to the traditional IT deployment where it is mandatory to build IT infrastructure, install the software, configure it, and maintaining it.
Why Businesses Use SaaS Cloud Applications?
Generally, SaaS cloud service model is suitable for all organizations ranging from small to large. The various departments in a business organization make use of SaaS for a different purpose. For instance, marketers implement SaaS in email marketing platform to send emails to their customers.
The medium-sized organization subscribes SaaS to have hassle-free and flexible cost service with easy maintenance. In addition to this, SaaS applications can be easily connected with multiple third-party apps and solution as it has open API access for enabling custom connections. These are the major reasons for better growth forecasts than the previous SaaS industry market reports.
What Are The Major Reasons For SaaS Market Growth?
Accessibility of SaaS
One of the best parts about a SaaS cloud platform is the venture which allows users to access it whenever and wherever needed. Employees located all around the globe can make use of SaaS and shift towards it for the betterment of the organization. The increase in the number of the shifts from on-premise software to SaaS is the major reason for the cloud workflow rate to increase in the global market.
Most of the organizations prefer a SaaS cloud service model, especially for its collaborative feature. SaaS has the capability to collaborate with team members in a perfect manner without any disruptions. This helps a modern business to move towards the data-driven decision to fit into SaaS solutions.
Reduced Physical Data Loss
On-premise software completely depends on the physical software that may get affected due to natural or manual disasters. But SaaS solutions have data backups in cloud storage which initiates a hassle-free data recovery with less efforts.
Cost of the Model
Cost is one of the most essential factors that enhances the value to a SaaS cloud solution. The users can predict the expenses related to set-up cost, upgrade, security or maintenance cost, and make the payments based on the requirements. Also, the users can tailor the payment profiles in accordance with the service required and the budget planned.
Well the best part would be saving money on license fees and building a cost-effective infrastructure with hardware, software, and manpower. SaaS takes control of the infrastructure which enables the startups, SMEs as well as medium-sized organizations to avail SaaS service. This has contributed to the enormous market growth of SaaS.
Get Access to Innovation
The purchase of an on-premise software leads to expenditure of money in order to keep track with the update and latest versions of the software. However, the best thing about SaaS is that it has the authorized access to always use the recent version with complete access to the new features and capabilities.
Enhanced Data Security
Data breaches are a common threat that occurs whenever there is a depend on huge volume of data. The traditional software tends to crack easily in order to get access to the data in it. With the integration of cybersecurity techniques, the SaaS cloud model ensures privacy and security for sensitive data and helps in a highly secured data transfer. Several organizations opt for cybersecurity-based SaaS companies in order to avail the secured solution from them.
The demand for SaaS clearly portrays that SaaS is the hottest technological market in the global economy. Organizations across the world are moving toward cloud service models to have peace of mind and drive business to a contemporary level. More and more SaaS companies are adapting to the key trends in the upcoming days thereby maximizing the growth of the cloud market.