Originally published on SandHill.com. SaaS fundamentally changes the products, services and relationships between SaaS vendors and their customers. Likewise, SaaS changes the role and value added by the SaaS channel partner. Channel partners will need to work differently and more strategically than in the past. Read More
The majority of SaaS vendors will provide both a desktop and mobile application. While HTML5 is rapidly become de rigor on desktop, its use on mobile platforms is situational based on the application requirements. According to Flurry (April 2013), only 20% of the activity on Read More
Customer Lifetime Value or CLV (aka CLTV or LTV) is an essential SaaS metric for quantifying the present predicted value of a revenue stream from a customer. Understanding the Customer Lifetime Value is crucial for understanding how much is prudent to spending on customer acquisition. Read More
The SaaS subscription business model trades high upfront (license) payments for a greater Customer Lifetime Value. This increases the SaaS vendors overall value resulting company valuations over twice those of Licensed Software companies of the same revenue (Software Equity Group 2013). The transition from Licensed Software Read More
Building SaaS Programs Meeting the Enterprise’s Cloud Strategy Following the lead of SMBs, enterprises are moving to the Cloud at an increasing pace. Enterprises are formalizing plans for deploying new application, and in some cases, replacing on-premise applications with SaaS products. This migration has been Read More
SaaS success requires acquiring new customers, growing their account revenue, and retaining these customers – nailing these three areas leads to strong growth in a SaaS company’s reoccurring revenue. The tools provided by Marketing Automation and Customer Engagement Analytics software are essential to driving the Read More
The destruction done by Hurricane Sandy is another reminder of the vulnerability of maintaining an on-premise system. Businesses that had been running their business “from the cloud” didn’t experience the downtime and potential data loss of those with on-premise IT. While most SMBs (Small to Medium Businesses Read More
The primary financial goal of SaaS companies is Profitable Growth. That requires retaining existing customers and adding new sources of their SaaS revenue while keeping costs down. The focus of revenue generation is often placed on new customer acquisition, but to maximize revenue, the focus Read More
The Bad News Cloud Computing is just the latest computing model fostering the creative destruction of the prior dominant computing model: Mainframes to Mini Computers, Mini Computers to Local Area Networks, Local Area Networks to Client Server, Client Server to On-premises Browser Based, On-premises Browser Read More
Software development is different for SaaS companies. Product cycles are shorter, sustaining costs are dramatically reduced, and the technology used must be more current. Existing software companies with development staff more comfortable with client/server than modern web technology may need to assist their development personnel Read More
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