/ 4th October, 2022

Software as a Service (SaaS)

What is Software as a Service?

Software as a Service (SaaS) is a way for users to operate applications via the Internet. Users can purchase a subscription to utilize pieces of software instead of buying the product and installing it on their devices. SaaS applications can be accessed on any mobile device or via browsers as long as a user has an account.

People can also choose the preferred period for a subscription (monthly, quarterly, annually, etc) and the type of subscription (limited, premium, etc.). Such a method is similar to buying a service, hence the name.

How does Software as a Service work?

SaaS works only with an Internet connection. A Software as a Service business model relies on cloud services for hosting and completing operations. Users find the service they need, pay for subscriptions, and open the application on their devices.

Benefits of SaaS

Software as a Service solutions have many benefits that make companies choose the latter over traditional applications.

  1. Easy setup and low infrastructure. Users don’t need to setup new software on every computer or spend time configuring the program. Moreover, it doesn’t require much computing capacity.
  2. Accessibility. Users can access the service from any device with an Internet connection at any moment. As such software requires no installation, users only need a browser (or a mobile device) and a subscription.
  3. Scalability. Work processes in SaaS applications can accommodate large numbers of users. Meaning, an app’s infrastructure can grow in parallel with the business’ increasing needs and expansion.
  4. Automatic updates. Frequent, automatic updates are among the main Software as a Service advantages. Such upgrades can improve apps’ operations without interfering with work processes. They don’t require long installation time and setups as in traditional applications.
  5. High security. All SaaS applications prioritize security needs. Service providers understand the shared nature of these pieces of software. Thus, such services have strong data protection for their users as well as platform cybersecurity.
  6. Market reach. SaaS applications can serve a wide variety of businesses, despite their diverse natures. Consequently, the advantages of Software as a Service spread across different business niches, their scale, and their purposes.

Software as a Service examples

Any Internet user will be familiar with some SaaS examples even if they don’t recognize those platforms as a Software as a Service model. Any email platform is representative of a Software as a Service solution, and certainly the most commonly used online.

Microsoft Office 365 will be another common example. Recently, many traditional applications have also chosen to shift towards SaaS solutions.

Here are popular examples of Software as a Service:

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