While SaaS has Many Powerful Benefits, it is not perfect. Despite the fact that the Software as a Service business model is growing in popularity, this doesn't mean that it is perfect. Many proponents of this technology spend too much time promoting its benefits, without taking the time to look at some of the more negative aspects of the technology.
As a business owner or individual, your goal should be to use a tool which can make you highly efficient. Being aware of both the advantages and disadvantages of SaaS will better prepare you for using this tool, and it will allow you to make better decisions than your competitors, who are often sold the technology based purely on its benefits.
The biggest problem with any new technology is that it is subject to a great deal of hype. It should be the responsibility of the end user to cut past the hype and focus on the genuine article, because this is the only thing that truly matters in the long term.
Having said that, it is important to become familiar with the many myths that have come to surround SaaS. Remeber, in the world of business, assumptions can become very expensive. It is best never to assume anything. One issue that must be brought to life is the issue of cost for SaaS versus traditional software.
Many proponents of SaaS claim that this business model is cheaper than traditional software licensing. They are correct but only for a period of time. Statistics done on this subject show that those who use SaaS "will" save more in the first two years of its implementation than they would save with traditional software models. But over the long term, SaaS will actually cost more than the traditional software model.
Another myth that is commonly associated with SaaS is the belief that it is just as expensive as the utility model. Statistics have shown that this statement is false in most cases. Many SaaS providers promote themselves as being providers who are utility based, and this comes from the belief that the customer will only pay for whatever they actually use, which again is not correct.
The biggest problem with any new technology is that it is subject to a great deal of hype. It should be the responsibility of the end user to cut past the hype and focus on the genuine article, because this is the only thing that truly matters in the long term.
Having said that, it is important to become familiar with the many myths that have come to surround SaaS. Remeber, in the world of business, assumptions can become very expensive. It is best never to assume anything. One issue that must be brought to life is the issue of cost for SaaS versus traditional software.
Many proponents of SaaS claim that this business model is cheaper than traditional software licensing. They are correct but only for a period of time. Statistics done on this subject show that those who use SaaS "will" save more in the first two years of its implementation than they would save with traditional software models. But over the long term, SaaS will actually cost more than the traditional software model.
Another myth that is commonly associated with SaaS is the belief that it is just as expensive as the utility model. Statistics have shown that this statement is false in most cases. Many SaaS providers promote themselves as being providers who are utility based, and this comes from the belief that the customer will only pay for whatever they actually use, which again is not correct.
