SaaS software distribution model - what is it?

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PLN 300 million - this is the estimated value of the Polish cloud market. The potential for growth is still huge, because despite the benefits associated with it, last year only one in ten computers used cloud computing (according to data provided by the Central Statistical Office). Such solutions are most often used by large enterprises (44% of the market), while the share of SME customers is 27%. The largest part of the cloud market is the SaaS software distribution model (software as a service).

It is already responsible for 60% of cloud traffic, and the annual increases reach 30%, and there is no indication that they will decrease in the near future, because for a SaaS entrepreneur it brings many benefits. What? What is this technology about?

SaaS - what is it? Examples of use

Saas is a SaaS software distribution model in the cloud. The user can access the application through a browser, although in some cases it is necessary to install a client program. Distribution boils down to providing access to programming to all users and can be dealt with by the manufacturer himself, although some companies entrust this task to external subcontractors.

Various software can be distributed in the Saas model. This is how we gain access to Google Apps, Windows Live and the CRM Salesforce system. Most often, SaaS software serves entrepreneurs as:

  • customer relationship management (CRM) system;
  • human resource management system (HRM);
  • content and mail management systems;
  • systems for analyzing network traffic, device utilization or bottleneck;
  • electronic accounting software;
  • financial systems;
  • office applications (for example, spreadsheets);

SaaS software distribution model - benefits for the entrepreneur

This SaaS distribution model has many benefits - for both user and manufacturer companies. The former will surely appreciate the fact that when choosing a system operating in the SaaS model, they do not have to worry about its implementation. Thanks to this, they avoid confusion, save time and space on company drives and servers. In the event of a failure, the supplier is responsible for its removal.

The benefits are equally great for the other party. The most important advantage of SaaS for software developers is the ease of reaching a large group of customers and minimizing the related costs. It is especially visible in the startup market that most willingly use this solution. The profitability of such sales is also higher - it can be even 30%, while for stationary forms it rarely exceeds 7%.

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The future of SaaS in Poland. What's next?

The development of the SaaS sector requires appropriate infrastructure and legal regulations. The Software Alliance was responsible for assessing the potential of this form of distribution in individual countries, which in the Global Cloud Computing Scorecard report examined 24 countries from around the world in this regard. Poland took 11th place in the ranking, achieving a result of 77%, behind the best Germany by only 7 percentage points. This allows us to be optimistic about the future of SaaS solutions in our country.