Software as a Service (or SAAS for short) has been right there among the hottest IT trends for several years now. The main reason for that is the great number of advantages it offers modern businesses. But while SAAS development perks are being talked about, the negative aspects usually remain in the shadows. That is why we’ve decided to address the matter from different perspectives and create an editorial covering both pros and cons of SaaS so that you can make a more balanced, informed decision.
What is SAAS?
Software as a Service is one of the kinds of cloud computing services alongside Platform as a Service and Infrastructure as a Service. And despite the name sounding confusing and complicated, the concept of SAAS is pretty easy to grasp. SAAS is a type of software that is accessible via the Internet without having to download and install some kind of client onto your device.
If that definition didn’t quite make it clear, think about Netflix or Gmail, Slack or Spotify, Airbnb or Dropbox. All of those are SAAS.
In fact, this type of software is so popular that by 2023 86% of companies will rely entirely on SAAS. Impressive forecast, right?
So why is that what makes businesses around the world turn to this IT trend? Mostly a long list of advantages it possesses. So let’s start examining software as a service pros and cons by specifying the benefits!
What are the Perks?
Why pay more when you can pay less? Software as a Service really has that strong competitive edge giving businesses an opportunity to get access to all the necessary software without having to spend a fortune on it. SAAS is typically subscription-based, which means that not only fees are much more affordable. Plus, there’s always an opportunity to opt out, cancel the subscription at any moment and try something new. Yet, you can always return to a well-known provider and still pay the same fee.
It’s ready to use!
All it takes for SAAS product to actually work is authentication. Most services will only ask you to enter an email (or a username) and a password. That’s it! You’re ready to go! And that is one of the greatest perks in the list of pros and cons of SaaS. If you have an Internet connection, you’re free to work with the chosen software.
On-site software is great when you need to ensure the maximum level of control over it. However, it comes with a cost: an entrepreneur has to take care of a team of highly skilled tech specialists that will install, update, upgrade, monitor, and fix everything on a regular basis. There’s also a need for storage and servers, which are not that cheap. SAAS, on the other hand, doesn’t require all that! All the business owner has to do is choose the right software provider and pay a subscription fee. The rest will be taken care of.
One thing entrepreneurs know to be true is that every company and every business initiative has its ups and downs. The market is constantly changing, and so does the business. There will be times of advancement when you’ll find out that there’s a need for more resources. And there will be slack when it is reasonable to cut some extras off. This is where SAAS comes in handy, as it is easily scalable and can grow or shrink depending on the customer’s needs at the moment.
It’s always up-to-date!
If we’re talking about the pros and cons of SaaS, we can’t but mention software updates! Modern SAAS solutions are regularly updated by a provider, and the customer doesn’t have to worry about it.
Sure, sometimes updates can be irritating as the new versions seem to be released almost every day. The customer may feel forced to use “new and improved” software when the previous version from two days ago is working just fine.
However, despite the minor inconveniences, operating software that is always up-to-date is actually a major asset. Regular updates enhance security, prevent data breaches, and ensure overall better performance.
It’s perfect for research and analysis!
The SAAS market is growing so fast that it is common for providers to include a multitude of features for the customers to use. And one of the most popular (and useful) is advanced analytics and reporting. This really helps businesses make insights-driven decisions and profit from them in the long run.
What are the Drawbacks?
Now let’s continue the exploration of the pros and cons of SaaS by listing the problems an entrepreneur might face while choosing this kind of solution.
It offers less controL
We’ve briefly mentioned this aspect earlier. SAAS is not for a business owner willing to achieve full control over the software that is being used by the employees. Things like maintenance, upgrades, and even a list of services provided will be held and changed without asking the client. All the customer may do if they’re not happy with the provider is change it.
Even though in 2022 Internet is literally everywhere, connectivity issues still might happen. And if you or your employees won’t have access to a stable Internet connection, it will prevent them from using virtually any SAAS solution.
This problem is especially relevant in 2022 as more and more employees are working remotely, and it is impossible for an employer to guarantee equally good working conditions for everybody.
It makes you share the data
While SAAS solutions become more and more secure every year, it will be a stretch to say that putting your data in the cloud is completely risk-free. Breaches and hacks still happen, and no cloud-based service is immune to them.
Therefore, a business owner opting for SAAS should be ready to share their sensitive data with a third party. If that is not the case, then Software as a Service might not be for you.
It might just not be available one day
No list of software as a service pros and cons would be complete without this item. SAAS providers come and go. Hundreds of companies get registered every year, but not all of them are able to survive the competition. Bankruptcies and failures happen. And one day, a provider you’ve worked with for some time might go out of business.
Sure, such things do not happen overnight. You will receive a warning and will have time to take care of the backups. Yet, it won’t make the situation any less uncomfortable, as switching providers is never a walk in the park.
One of the best ways to avoid such a grim scenario is to trust well-established brands that have been on the market for years. What are the chances of Microsoft or Amazon going out of business anyways?
We hope that thanks to this review pros and cons of SaaS is now a topic you know more about. It is totally fine if, after considering all the advantages and disadvantages, you’ve come to the conclusion that software as a service is not quite right for your business. Still, now you have a better understanding of what this type of service can do for you, and you can always opt for it in the future when the time is right!
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