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Story: SaaS industry 'will collapse' in two years

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Posted by: Rikke Helms (Thursday 28 August 2008, 4:55 PM)

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SaaS has a healthy future

While traditionally vendors may have looked to lock companies into using their software, the fact is that there is now more choice than ever before, with more vendors offering increasingly flexible, lower cost options for businesses. SaaS offerings can change and evolve quickly based on business needs – traditional software deployments cannot. Yes, companies have to pay ongoing licensing costs, but many prefer this to making an upfront investment, as it’s a more manageable cost and the number of licenses can easily be modified based on immediate needs.

Of course there’s a risk that customers will simply abandon a generic SaaS offering once they no longer require it. However, smart vendors will look to tailor their offerings to meet each company’s individual requirements, thus making them an integral part of day-to-day business processes and helping foster a successful long-term relationship.

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Rikke Helms

Rikke Helms
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