SaaS: Fad or Forever?

SaaS Software as a SolutionRemember those black tattoo choker necklaces everyone wore for months straight. Admittedly not one of the best fashion decisions, and it was a fad I would prefer to forget.

But at least it was inexpensive and you had the choice to stop wearing it whenever you pleased. Businesses, on the other hand, have immense pressure on them to ensure that every new solution implemented is one that will last much longer than my necklace did.

SaaS Features: Are They Enough?

Just because something is popular doesn’t mean it will stay that way, which is why it is important for organizations to evaluate the long-term viability of all new software they are considering purchasing.

So, are SaaS features reliable and efficient enough to benefit your business for the next 10 years?

The following list of features can help you decide:

  • Pay-as-you go pricing model
  • Physical and technological security at hosting location
  • Immediate updates
  • Menial amount of training and downtime for IT staff
  • Flexible features and functionalities
  • Requires dependable, high-speed bandwidth
  • Limitless scalability
  • Short time to benefit
  • 24/7 service
  • No upgrades to install
  • No maintenance
  • High adoption rates
  • Low entry cost
  • Maintained by vendor
  • Reduced IT costs

SaaS Adoption Rate Analysis

Over the last decade, SaaS has experienced an explosion in adoption. In 2012 alone, adoption rose from 13% to 74% (Gigaom Research and North Bridge Venture Partners). The top three drivers for SaaS adoption? Agility, cost and scalability.

Even healthcare organizations, an industry faced with strict security regulations and notoriously slow to evolve, are jumping on the bandwagon. According to a recent survey by HIMSS Analytics’, 66.9% of healthcare provider organizations are currently using SaaS-based applications.

While it is important to look beyond adoption rates to evaluate if SaaS is the right choice for you, it can indicate effectiveness. If a solution doesn’t do what is expected of it, companies are not going to continue using it.

In any event, it’s all about making the right choice for your organization. Fads may seem like a good idea at the time, but they will come back to bite you. Take your time and ensure any solution you are considering purchasing will meet the needs and achieve the goals of your company.

Jody Trochlell

With over 16 years of sales experience at Esker, Jody has held just about every sales position there is. When the Inside Account Executive team was formed, she was asked to step into that position because of her proven sales track record and leadership skills. Missing the face-to-face contact with customers, she since moved back to Esker's Business Development Manager team covering the Midwest region.

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