While people once used CDs and data center platforms to install software, internet access has made web-based solutions a main trend. Software as a Service (SaaS) cloud-based forms is one of the most popular of these solutions.

Basically, project management SaaS (such as Planyard construction project management software) provides a service application for customer needs over the internet, with availability from anywhere and at any time.

Altogether there are three major cloud service categories:

  1. Software as a service (SaaS);
  2. infrastructure as a service (IaaS);
  3. platform as a service (PaaS).

SaaS products are easily accessible, and they have therefore become more popular than the other two platforms. Project management SaaS business is booming, and there is still potential for growth. There are a huge number of different applications for customers such as database management and billing software solutions, human resources, planning and customer relations management, and help with emailing and teamwork. SaaS business has been growing especially quickly because they are often self-funded and widely available for free.

In such a crowded industry, it is having a strong brand rather than marketing that gives an advantage. Companies that keep close watch on every aspect of customer needs in order to offer them the best value will ultimately be the most successful. Sales cannot be achieved before a product is ready, and good sales and marketing methods are needed to find repeated and long-term success.

The SaaS method – how do they get paid?

Payment is usually made by monthly fee or longer, or alternatively through a subscription fee. These payments are mostly for ongoing contracts, with the option of extra fees in exchange for customer support. Customers most often pay price the price for the application with a number for usage, transactions or set time period.

Most SaaS products are structured differently, with custom formulas for service provider customers. SaaS application users can choose from a variety of solutions according to their needs, but at the same time cannot change the basic product code or features. It is sometimes possible for them to keep data within their own data centers, but this is mostly stored in cloud servers. There could be also be an additional fee to have access to archived files.

SaaS applications can save money

The main reason why companies are using these applications is because they save both time and money by running and creating a working solution by themselves. This also reduces the cost of hardware purchases as well as those for software development and support, and can limit long-term software licensing costs depending on client usage patterns.

However, companies should be careful with these Saas licenses, as they can sometimes be more expensive than traditional software products.

SaaS savings can be remarkable for companies, as they not need spend additional money for new hardware to support the software. They can also subscribe to SaaS offers and stop using them if they are no longer useful or impactful for business. This kind of flexibility can play a very positive role for enterprises in cyclical businesses. Another benefit for SaaS users is that they don’t need to pay extra fees for software updates, and their own IT staff do not need to handle these tasks.

The risks and challenges of SaaS

SaaS could present certain risks and challenges that companies who hire them should be aware of. While enterprises need to have access to their services at all times, they simultaneously rely on providers who need to be sure that their product is running properly.

Although SaaS makes a strong effort to keep everything working smoothly, unexpected errors can still sometimes occur. Companies can lose control over their product, and this is one of the downsides to cloud-based solutions. Another problem can occur if and when a company would like to switch providers, which can be a long and painful process – for example, when transferring files from one SaaS system to another. There is also the chance that these files may be too big for this type of transaction.

Many companies who lack any cloud strategy solution can waste time and money to experiment on SaaS solution suitability for their needs. This can lead to extra work processes, prolonged work phases, or poor data management, with the result still being that they have no good solution. Companies that are considering acquiring a SaaS solution should consider the potential positive and negative side effects for their specific requirements. However, for the right needs, a SaaS solution can provide enormous benefits.