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Software as a Service or SaaS had almost lost its existence during the dotcom simmer in the year 2001. The dotcom bubble destroyed SaaS but it still managed to regain its importance and identity since then. The idea of subscription based software development took the world by the storm. As it encouraged hosted delivery and reduced the infrastructural overheads for different small and mid-sized companies, it became hugely popular. But many companies could not actually make use of this concept, because the Internet bandwidth was not up to the mark to cater to the success of SaaS deliverance. Furthermore, some software sellers were not keen on adjusting their price models as an all-money-up-front approach suited them the most. The licensing of the Subscription-based software was based on deferred revenue collection. It took some time for sellers to switch to a SaaS pricing model.
The big players in the software development arena first ignored and ridiculed the subscription-based approach of SaaS & cloud computing sales. Companies like Microsoft, Oracle and SAP later they had to act in accordance with the changing demands of the global market. The recent recession further affected the companies negatively by narrowing the company’s resources even more. This forced them to opt for SaaS mode of software licensing. Companies are keen to implement a SaaS subscription-based software development model because they have to make alterations to their plans due to mounting IT budget constraints. There are many firms who are constantly trying to take their hardware and software maintenance expenses to SaaS.
The subscription-based licensing model as observed by market analysts is a lucrative and cost-efficient option. The benefits of this alternative can be availed with monthly or quarterly fee which makes it easier for companies. Additionally, there are just no overheads related to software and hardware, which makes it a lot easier for small companies as well. Low upfront cost, subscription-based software development can help companies to develop newer applications without having to invest humongous amounts. According to a recent survey, the adoption of SaaS and cloud computing technology is done by more than 11% of the US government organizations. The percentage of all the users who are opting for SaaS pricing model is expected to increase manifolds in the next few year.
Amongst some of the most important things that you should do before selling a product is to conduct a relevant pre sales research about the product you are selling. This type of work will help you to find out about your potential customers. One must also set a goal of how many units you aim to sell, this can be a short term or a long term goal. It is essential for companies to opt for the right implementation provider before finalizing a service provider. The SaaS application development provider must have adequate experience of handling data security and scalability. Basic deployment and execution is vital to the success of the client company.
Microsoft Azure and Amazon’s services are a few examples of SaaS & cloud computing sales. Companies like, Amazon, eBay, etc. have managed to hold on to people’s faith in online business. The hesitation and fear of dealing with online stores has diminished considerably, now days. The most important concept that we have to understand about network marketing is that one has to have proper pre sales research done to become a leader in his/ her specific market. This helps to generate people’s trust in one thereby trusting what one is marketing.