The appetite for cloud-based software options over the past few years has been remarkable, although not unexpected as companies look for quick returns on their investments during the tough financial climate.
According to research firms like Gartner and Forrester, SaaS is one of the fastest growing segments in the IT sector. Gartner expects the enterprise SaaS market will peak at $10.7 billion this year, a 16.2% increase from 2010. It's reported that content, communications and collaboration (for example, web conferencing) solutions are the top selling type of SaaS.
SaaS is hugely attractive for enterprises as they can enjoy the luxury of enterprise ready software without the expensive upfront license and upgrade fees. As the software is hosted remotely, users don't need to invest in additional hardware. SaaS removes the need for organisations to handle the installation, set-up and often daily upkeep/maintenance.
For enterprises looking to stay abreast of competition in the fast changing technology environment, you can't ignore the cost saving and flexibility benefits from adopting SaaS. The recession served as a catalyst for the rapid uptake of SaaS as firms looked towards cost saving strategies to increase their financial stability. Also, because all of the data you use within the software is stored on servers in secure, resilient data centres this gives you the freedom access your data instantly anywhere in the world, whilst enabling disaster recovery/business continuity contingency planning.
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