SaaS Business Model or Software as a service is one kind of business model. Software as a service is a popular terminology in the era of cloud technology. The main benefit of the SaaS Business Model is to reduce cost. People are focusing more on these types of cloud services. This article is about the SaaS business model, ideas, saas cloud service provider, and examples.
What is SaaS Business Model?
SaaS means the software as a service. This is a business model of cloud service providers. It is a software licensing and delivery model. This software is licensed on a payment basis and centrally hosted. Sometimes it is called on-demand software. Microsoft introduced first at the name of “Software plus service”. The user gets access to this software by a browser.
Who Will use SaaS
Intelligent and frugal people love SaaS. It was fun. However, many small and medium businesses come forward with these types of cloud solutions. Because it is a cheap distributed application. As a result, small businesses use it to reduce costs. Almost all type of business model has saas software. It just needs to customize.
Most Common SaaS Business Model Service Provider
1. Asana Collaboration
- Asana’s free version supports up to 15 team members
- Suitable for mom-and-pop shops
- don’t need more advanced features
- built on HTML5, so it features rich design functionality
- easy, attractive task management.
TSheets does everything as per requirement.
- giving deep customization options
- in-depth reporting
- User-friendly navigation
- an open API for third-party integrations.
- Hubstaff is essentially a compact employee monitoring tool.
- Hubstaff lets you take snapshots of employees’ screens,
- monitoring web and app usage
- Track movements via the mobile app’s GPS.
4. Microsoft Power BI
Microsoft Power BI is a powerful SaaS service.
- A free tool that lets you drag-drop analyze, and customize data up to 1 GB.
- Upgrade for just $10 per month to increase your data tenfold.
- Give you access to custom content packs and the capacity to interact with other Microsoft Office 365 Microsoft users.
5. MailChimp Email Marketing
MailChimp is the most common and capable email marketing service, irrespective of your price level.
- It offers a rich, free plan
- tons of third-party integration
- It’s got many email templates that help to fire off emails at a rapid clip.
Benefits of Using SaaS Business Model
Software as a service is the perfect and standard solution. It eliminates the hassle of installing the software application. There is no tension between maintaining software bug fixing because the cloud service provider manages applications, servers, storage, runtime, data, middleware, OSs, virtualization, and networking.
Popular software as a service provider offers customer relationship management, email, collaboration, healthcare-related applications, etc. It has internet-based security.
In Software as a service, all the required software services are readymade available—no need to invest more in hardware and software. Licensing fee is too low that any small business can afford. This is a rental service, and the cost is as per you go.
Easy Integration and Functionality
In software as a service, you do not need the software engineer to operate it. Anyone can customize from the front view. The reports are customizable. The business leaders can make the decision easier by seeing them.
Easy to Use
The software as a service is easy to use. So any employee of your organization can use it. And the database is highly secured. The service provider also provides tutorials.
Some SaaS Tools for Your Businesses
To operate a business, it is required some analytical tools. These tools make your job easy. Software as a service offers such kinds of tools. In fact, the corporate leader will be speechless by seeing the customize report. These SaaS Business Model tools help you to make decisions easily. Some available tools are:
- Research and development (R&D)
- Sales and marketing
Research and Development
R&D is the “Think Tank” of business. Business leaders focus more on research and development. To implement the big data concept, R&D is a must. Effective teamwork is the key to making commercially fruitful concepts today. We know the cliché “Think outside the box” now it turns to “Think outside the office.”
Slack: One kind of chat app. It collaborates with all users and shares previous knowledge.
Real-time Board: It will boost online partnership with loads of built-in extras, like icons, Google Drive integration, and templates.
File sharing: Multiple users share their files. Google, Microsoft, and Apple all have this kind of file-sharing facility.
Workplace by Facebook: The social magic Facebook collaborates, coordinate with all user and integrate with Dropbox.
The production module is the main module to reduce cost. The production module has inventory tools, work in process, and other cost factors. If production costs can control, the cost of goods sold will be reduced.
Sales and Marketing of SaaS Business Model
The sales and marketing module includes customer relationship management and supply chain management. This module calculates receivables, cash flow, and many other issues. Sales and marketing enable the business leaders to take the decision and forecast the demand.
The operational module includes human resource management, payroll, and other operational software. The human resource management software manages the particulars of employee, salary, promotion, etc. Payroll management manages wages, bonuses, salary, and all other payment-related functions.
In the year SaaS Business Model becomes so popular. Since then, SaaS becomes cost-effective. It has the facilities of pay as you go and an easy interface. Any business with small resources can continue with the help of SaaS.