We are coming into an age where not everything is tangible. More and more people are choosing a service rather than purchasing a product up front. Companies such as Freshbooks offer an accounting platform as a service as an alternative to paying outright for licensing. The tech and service worlds are colliding as more of these companies are appearing. Intellectual property is being created everywhere. This is a very different time from when our grandparents, or even parents, were our age. Today, there are so many tools, resources at our fingertips; and we may not be able to touch them all physically. This brings us to SaaS.

What is a SaaS?

Software as a Service, more commonly known as SaaS, is defined by Sales Force as “a cloud-based software solution in which software providers deliver applications to users over the internet.” With a SaaS you would pay a regular subscription fee, in return for a software or platform that adds value. Some well-known examples of SaaS that come to mind are Freshbooks, Quickbooks and Hubspot.

Team SaaS

With many companies changing their business models and joining the SaaS side, there should to be some clear benefits to the service that they are offering. Forbes says that one key factor when a customer is selecting a provider of a product or service is price. SaaS companies usually have a subscription-based business model. This way, there is little to no initial investment, compared to a licensing fee. Going back to our Freshbooks example, customers pay a flat fee on a regular basis for this platform, as opposed to paying hundreds or thousands of dollars in the beginning. This decreases the risk for customers that try out a service-based software, when they don’t have to invest the money initially and have the solution not fit. Companies generally don’t want to pay a large licensing fee in the beginning. The ability to scale a business is a big concern now a-days, with innovation being so much alive. With many levels of service and extra features, companies are able to have the software change with the customer. This also makes the service that customers are receiving, much more customizable, getting and only paying for the necessary features. SaaS companies can keep their customers up to date easier with a cloud-based system. This is a better option compared to being a step behind technology.

SaaS Solution on Roads and in Ports

The use of technology to increase efficiency on roads and in ports has taken off in the last few years. We are in the era of Big Data. People want to get as much information as they can about their customers but need a way to understand it. This is where software [as a service] like iNode™ come in. They take the raw data and turn it into information that is useful, actionable.

Software as a Service is becoming more and more common today, in this tech driven society. There are solutions for pains that were not imaginable 10 years ago. A subscription-based revenue model is good for companies starting out, with not having to lay out money for licensing fees. It is a model that can scale with your business, a customized approach, while staying up to date with technology. If data collection wasn’t already on your radar, the adoption of SaaS, makes the choice that much more obvious.