In this article, you will learn:
- Examples of SaaS applications
- Why it is worth using SaaS applications
- Why SaaS applications can sometimes be insufficient and risky
- What are the alternatives to SaaS applications
SaaS applications are becoming increasingly popular, and it’s no wonder – they have many advantages and are a great option for customers who want to use the capabilities of specific software without having to worry about security, updates, or maintaining the application locally. Technically speaking, most of us probably use SaaS applications regularly, even if we don’t realize it – for example, when opening Outlook, Netflix, or Spotify through a web browser. What is a SaaS application?
SaaS stands for “Software as a Service”. It refers to a model of providing applications in the cloud, over the internet, via a subscription paid to the service provider. We have already mentioned that most of us interact with SaaS applications in the cloud – usually, as private users, we have the choice between a free option or a premium one, paid monthly via subscription. In business, SaaS for e-commerce includes platforms like Shopify or Shoper – thanks to such platforms, creators and online sellers can easily set up their store on the internet and focus on running the business rather than on software development and the necessary technical infrastructure. We also have many applications that we can use in virtually all departments of larger organizations; below are just a few examples present on the market:
- CRM (Hubspot, Pipedrive),
- Communication tools (Discord, Slack),
- Graphics (Canva, Adobe),
- Planning (Trello, Asana),
- SEO (SurferSEO, Ahrefs),
- Accounting (mKsiegowa.pl, mKsięgowość).
What are the advantages of the subscription model?
One of the advantages of SaaS is certainly the quick start of the application. We just need to pay, and we can start working on our chosen version. This is made even easier by the fact that SaaS applications also provide ready-made graphic templates and online support, so even non-technical people can use such an option without worrying about lacking specialized knowledge. The subscription model is useful if we know we will need flexible scaling. SaaS infrastructure can be easily adjusted to our actual needs – with an appropriate additional fee, extra space will be quickly made available to us. Probably the biggest advantage of SaaS applications is cost reduction – although we must, of course, pay the subscription, we avoid all infrastructure maintenance and updates (which are introduced automatically by the service provider), and we don’t have to worry about security. We pay for what we actually use.
What are the disadvantages of the subscription model?
If we want to be even more flexible, a disadvantage of SaaS will likely be our dependence on the software provider. There are tools that allow for quick integration between systems (API), but depending on the level of development of a given SaaS application, such integration will be easier or, conversely, difficult. Ready-made templates or modules can be a disadvantage of SaaS the moment we feel they are not enough and we would like to create something more creative. Unfortunately, applications of this type have their limitations – there are always possibilities for personalization, but they may be insufficient. SaaS applications carry the risk that in the event of a provider’s bankruptcy, a server attack, or the introduction of unacceptable changes in subscription prices, it will be difficult for us to move all our data and processes to a new service provider. Data control itself can be a problem for some companies because all data is stored by the provider. It is good to take care of backups and a plan in case of such unforeseen events.
What are the alternatives to SaaS applications?
An alternative to SaaS applications is the Open Source model. This is a model for providing free software based on open source code. Organizations can legally use existing Open Source platforms, but one must remember that the method and possibilities of using these applications
are regulated by specific licenses, so that everything is done in accordance with the law. Of course, we can also turn to an IT service provider and create our own dedicated system or application that will be perfectly tailored to the specific needs and goals of the organization. This involves a much higher financial outlay, maintaining our own software and security, and consciously and actively planning updates. This solution is good for large companies that have their own IT background capable of taking care of a finished product created by a provider. Let’s remember that each of these options has its pros and cons – it only depends on us what we choose and what will bring the most benefits to the organization.
