Software as a Service (SaaS) can also be known as Software on Demand. It’s the new concept to deliver the software products and its usages to the customer. Traditionally, the software products have been delivered to the shopper in CDs and the shopper used to install them in his desktop or server. There have been many disadvantages with this system for each the client as well because the software vendor.
Drawbacks to the Buyer
The principle drawback within the old system is that the shopper must pay the complete value for the product even when he uses only certain functionalities of that software. Secondly, he must continually replace the products each time a patch or new version is released. This imposes additional financial burden as well as technical points reminiscent of backward compatibility. The opposite drawback is as soon as he purchased software from a particular vendor, he’s struck with the same vendor. Even if the product doesn’t meet his expectations, he does not have any alteration. He’s fully dependent on the same vendor for all supports.
Drawbacks to the Vendor
The vendor additionally has lot of problems with the old system. Whenever a patch or new version is released, he must provide support for numerous platforms. This finally increases his production and distribution cost. Since differential pricing just isn’t possible in this model, vendor expenses the identical value for each consumer irrespective his usage level. Attributable to this person who makes use of very little features additionally ends paying more. One other problem is as a lot of the users are technically navies the vendor needs to provide assist at customer places for installation and breakdowns, which increase his operational cost.
SaaS and its advantages
SaaS model enables the vendors to launch the product as a service. The seller has complete management over the product as it is hosted by him at his server and used by the purchasers by means of their computer systems remotely. User can use the software as a service, either by paying a periodical subscription or by paying as per usage. A Vendor provides varied service standards such as Gold, Silver, Bronze, and so on according to the requirements and capacity of the customer. Consumer also can select the features which he needs and pay only for the options he uses.
The seller has complete management over the product; he installs upgrades and sets the features at customer desktop by distant managed procedures. This reduces the distribution cost and likewise saves a tremendous quantity of time. One other advantage is because the buyer uses the software on real time he can instantly log the errors, bugs and drawback immediately and this helps the corporate fix them quickly. Though SaaS appears to be related with its predecessor ASP, both are not the same. ASP model provided the organization to move their application to a third party server, the place as SaaS provides shared applications which can be accessed by completely different customers from their desktops. The ever rising demand for SasS among the users is due to its simplicity and the fee effectiveness drives more and more vendors in to this domain with higher products. This heralds a paradigm shift in the software delivery and changes the game completely.
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