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SaaS is regarded as the SaaS market is now one of the fastest-growing markets, with an annual growth of 20%. Based on this growth rate, the SaaS market will reach around $832 billion by 2025. The majority of businesses use at least one SaaS product:
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Cloud storage (Google Drive, Dropbox)
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Software for video calls (Zoom)
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Software for collaboration (Slack, Google Workspace, Office 365)
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Creative software (Adobe Creative Cloud, Figma, Canva)
The SaaS model isn't an entirely new concept on the market as it appears. The background of the SaaS market dates back to 1999, i.e., the introduction of Salesforce CRM. But, the rapid growth of the SaaS market in the enterprise market is new and has grown because of the rapid development of the internet and cloud computing.
What is a SaaS Application?
The definition of SaaS software is software that runs on the internet and can replace offline software. The subscription-based on-demand feature frees developers from the hassle of downloading and installing it manually onto the local device and keeping them updated and maintained regularly.
The first SaaS applications were developed in the early years of the new century. The software applications we use daily include Dropbox, Canva, Slack, and Google Docs are, in essence, SaaS platforms.
To understand what makes SaaS products from other software, look at these specifics:
Payment
There is no necessity to purchase a license to use an application on a software-as-a-service basis. Instead, app developers charge a monthly cost for the full set of their capabilities.
Access
As the name implies, cloud-based applications are made available within cloud infrastructure and can be accessed via a website interface or mobile device.
Updates
Customers don't have to purchase the latest SaaS application every time the development team releases changes. The team of developers works to develop apps continuously and has no impact on the user experience.
Types of SaaS Applications
SaaS software is used for a range of functions. However, SaaS apps are categorized into several distinct subcategories.
Below are the most commonly used SaaS applications, highlighting some of the most prominent SaaS trending markets.
ERP software
Software for resource planning that is enterprise-grade is also available as SaaS. The latest cloud-based ERP systems incorporate sophisticated data analytics tools and help enterprises in processing huge quantities of data.
SaaS solutions such as Oracle ERP Cloud use ML and artificial intelligence to provide companies with a complete overview of their business.
CRM software
SaaS applications for managing customer relationships help companies in maintaining and updating their database of customers, tracking the marketing and leads forecast sales, offering reports and dashboards for sales actions, and automating marketing campaigns.
Salesforce and HubSpot are among the most striking models of SaaS CRM software.
eCommerce apps
As more brick-and-mortar stores go online, demand for SaaS software to manage online stores grows.
Shopify, for example, provides everything you need to build and launch eCommerce websites, which includes supply chain and product management and integrations with payment systems.
Vertical SaaS apps
Vertical SaaS applications are specific to niches; they help market players within certain industries or segments simplify and improve their processes and effectiveness.
Hotschedules, for example, is an application for restaurant management that provides restaurants with a full set of tools for labor and workflow management and training of staff and inventory management as well as scheduling.
Marketing software
Software as a Service became popular in marketing, and there are many famous SaaS tools to help marketers improve and analyze their strategies for promotion.
It's exactly that's what Hootsuite does. It's a SaaS product suitable for all kinds of marketers and creators of content with a wide range of functions to manage communications and publications through Facebook, Twitter, Instagram, YouTube, LinkedIn, and other popular platforms. A complete dashboard lets users plan posts, engage with their followers, learn about their preferences, and more.
Billing software
SaaS solutions for billing are a profitable niche in SaaS application development. Cloud-based software such as Tipalti can assist businesses in handling multiple transactions online and help digital marketplaces in making large-scale payments to vendors and suppliers.
Software for project management
SaaS software is already an industry standard for managing workflows and projects. Cloud-based PM software like Asana, Jira, and Trello can be accessed from anywhere and can be a great asset in the age of remote working.
Benefits of SaaS Applications for Businesses and Organisations
Despite the rising popularity of SaaS, however, people aren't all familiar with the tech. It is not surprising that questions such as "what is a SaaS app" or "what are SaaS-based solutions" continue to pop up. However, the truth is that most users use SaaS solutions regularly, regardless of whether we realize it or not.
Microsoft Office 365, Dropbox, Salesforce, Slack, Adobe, and other popular services are widely used SaaS solutions that assist us in maintaining our workflows smoothly and effectively. The distinctive feature of on-demand software is that it's not just an easy-to-use solution that helps save time, but it is also free of hardware expenditures since the provider provides the hardware.
Available to any device from any location around the globe, SaaS customers can just download an app or visit a site and begin working. It's easy. The increased accessibility is a major benefit, but this isn't the sole reason for switching to SaaS technology. Here are a few additional advantages of SaaS:
No Setup Needed
If you are using traditional software, you need to install it and set it up to work on your gadgets. In addition, businesses need to have an infrastructure with enough capacity to run specific software. If the load increases, companies will need to purchase additional storage networks, computing, and network capacities. Compared to traditional software, SaaS software does not require any configuration to set up and requires fewer resources.
Flexible Payment Model
The purchase of an enterprise software license typically falls into the Capital expenditures (CAPEX) class and is an expensive venture. The cost of monthly subscriptions to a SaaS software platform can be considered an operational cost (OPEX) that will not take a huge toll on your business's budget.
In addition, it is possible to stop payment of subscription fees when you're not going to use the application.
Quick Upgrades
Technologies are constantly changing, and software updates or newer versions of the software are often made available. Before SaaS, we had to purchase a compact disk that contained an updated version of the software (Adobe Photoshop as an example) and install it on our personal computers. However, SaaS removes the need. Instead, frequent and instant updates are accessible on the cloud server hosted by the company, and users can download the most recent version of the software quickly and quickly.
Adjustable Scaling
Most SaaS companies allow their customers to alter their plans as their needs change. This makes it simple to upgrade or decrease the plan as needed. This flexibility could help customers stay for a longer time, and, in turn, the service earns more money. Additionally, SaaS is low cost and makes it easy for a SaaS development services provider to expand their business by creating a digital presence in the new markets and reacting swiftly to market shifts.
SaaS's many benefits easily be a reason to justify its rising popularity. Let's now get familiar with the most recent trends and developments that you must consider when designing a useful SaaS application.
Top SaaS Providers in The Market
We've picked the best seven SaaS businesses to help you create a SaaS product. They offer their software to numerous companies across the world. This list was compiled from user reviews, social media, and other online sources.
Google has 137 products in its portfolio that provide Internet-related services such as digital analytics, document production, etc. Google offers a variety of tools such as Google Drive, Google Document, and Google Sheet.
Salesforce
It is an established SaaS business that assists online retailers. The service provides a range of options for marketing automation, CRM, email marketing, and many more.
Adobe Creative Cloud
Adobe is a huge marketer of innovative products that allow for creating breath-taking images. Photoshop is a Photoshop editor that includes video and audio assembly tools accessible through the annual payment. The Creative Suite is software allowing the creation of graphic design, editing videos and photos, web development, and much more.
Slack
Slack is one of the most popular chat rooms that let coworkers communicate. It provides messages, audio, video calls, and a plethora of helpful bots. Many companies make use of Slack to communicate internally between employees.
Shopify
Another SaaS service provider for e-commerce and retail businesses. There are three top solutions: Shopify, Shopify Plus, Burst by Shopify.
Amazon Web Services SaaS
SaaS from Amazon provides a platform for you to develop the SaaS software and then resell it to customers. Variety of SaaS products provided by third-party sellers, a portion of which this list includes.
HubSpot
HubSpot is an efficient CRM platform that allows you to manage customers. Solutions like HubSpot Sales, CRM HubSpot Sales, HubSpot Academy, and many more.
Crucial Steps to Build a SaaS Application to Beat the Competition
Here is a guide for readers to the SaaS product development process. You will understand the step-by-step process of developing cloud-based applications.
Research and Create App Tech Specification
Your objective is to gather the most information you can about your potential customers and your competitors, trends, and new technology. In conjunction with the weaknesses of your competitors' applications, knowledge of customers' requirements will allow you to develop a unique SaaS product. If you're considering creating vertical SaaS software for business, research the emerging trends within the field you'll be using.
UX/UI Design
Designing UX/UI for the SaaS product is comprised of the phases in user-experience design as well as the design of user interfaces:
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UX is all about the development of an outline for the platform,
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UI is the name given to the appearance and experience of the next platform.
It is important to remember that every icon, button, or layout is an additional function on the website.
Drawing buttons is much quicker and more affordable than designing one because the buttons behind them conceal an astonishment of logical connections to different entities such as calculations, integrations, and calculations.
Development and Testing
The primary goal in SaaS development is turning the design into a functioning platform. What does that mean:
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The designer will provide the UX/UI design files
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The developer at the backend creates the necessary code for the features to work,
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The frontend developer connects the design to the server and then connects the frontend with the backend.
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The QA tester designs and tests to identify and report bugs and then manage changes,
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The project manager is responsible for all the processes from A to Z. They organize and manage everything.
In truth, it's not possible to describe the development process in detail because various companies have different methods and standards.
Some companies, for example, use a fixed-price system that has a fixed job scope and fixed structure for teams.
Find SaaS developers
The choice of SaaS developers isn't a decision to be handled lightly. SaaS cloud technologies are complex, and SaaS platforms usually must adhere to national and local standards.
You may employ in-house developers or contract your application to a SaaS application development firm or freelancers. You'll also have to consider the location you'll need developers since experts in software development are found throughout the globe. Finding specialists can be difficult.
Make Prototypes
To ensure you and your team members see your SaaS platform in the same way, Designers will design a variety of prototypes:
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Navigation concepts are the basis of the UX
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The prototypes that are low-fidelity were the very first UI concepts
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Prototypes with high-quality resolution -- often interactive and in full-color
Testing a prototype at every phase of the design process is essential to determine how the platform functions and fine-tune it for the most optimal user experience.
SaaS MVP Development
Minimum viable products (MVP) are applications with minimal functionality you can offer to the general public. An MVP has many reasons:
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It can help you determine the interest of your audience.
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It lets developers test their products with real users who could provide real feedback
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It can help you identify features you want to develop in the future stages.
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It opens up opportunities for building brand recognition and getting your first customers who are loyal to you
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In some examples, an MVP can allow you to make a profit
The extent you can use for MVP development will vary based on the type of SaaS software you're developing. An MVP generally requires basic features and a distinctive value proposition, and its design could be quite straightforward.
A different option for the MVP could be an MLP- an item that the users at least love. An MLP also comes with basic functions and a distinctive value proposition. However, typically, it is more refined in its design of UI/UX that is aimed at creating the ability to be recognized and a strong emotional bond with the users.
App Maintenance and Further Development
After your MVP is made available to users, concentrate your efforts on testing its performance. In this phase, you need to collect customer feedback, study it, and determine what could be improved and what additional features your users require. While you're at it, SaaS developers on your team can assist you in fixing the bugs that are in place and help you plan for the future of future features.
The Key Takeaway
Cloud applications may not be the right answer for every situation. However, the SaaS model is rapidly growing in popularity because of its benefits to users and developers of applications. If you decide to develop a SaaS platform, be prepared for a six-step journey to launch your product with a top-quality product.
Assembling a team of experts with extensive SaaS development expertise could take months, risking losing the competitive advantage. This is why choosing a pre-vetted SaaS development company with a track record of success in developing SaaS applications is a feasible alternative to creating an internal team for SaaS development.
With lower subscription costs and increased accessibility and accessibility, as well as 24/7 tech support and on-demand, scaling SaaS apps offer a host of unique advantages over software that are not available in traditional.
