Consider a particular service – a platform for creating an online store that provides a model of SaaS (software application that resides on the server, the company delivered as a service, the customer pays for its use, and available on the Internet via an ordinary web browser). Like other companies working on this model, every day we are confronted with fears customers about the novelty of this version of the software delivery. For example, one such “store does not belong to me,” “you can not handle the load when the store will become popular,” “My business can outgrow the capabilities of your service,” etc. All the same, why sell SaaS-Services in Ukraine Complicated?

Lack of knowledge

Such services have focused primarily on small business, as big players in the West (like Salesforce.com), whose services are bought big players. And we have most small businesses still work offline. Advertising on the Internet to reach them, so you need to go online and explain what it is and how it can be useful for them. Therefore, almost all companies that sell software have to act “old.”

Inertia

Small businesses generally people 30-50 years. They are a little inert, and not rely on services from the Internet, on which the company is theirs. Now of course difficult, but when it comes to replace the generation of 20-year-olds, the situation could change dramatically. In the better for this type of business (SaaS).

Security

As for the lion’s share of mistrust is the security of customer data: “This is our confidential information, which will be with you”, “we connect, and you then sell all the competitors.” And so on. Indeed, in theory, this is the case. But with the same probability as the option with the theft and resale of the information in the company client. But for the SaaS provider’s concern for security – Goodwill, which directly affects the flow of customers, and hence on incomes. Provider is interested in organizing a major security that small businesses can not afford and hardly begin to implement. Many do not realize that use e-mail, including the time when some services are not used encryption protocol, which even a schoolboy could intercept sensitive data examining a pair or two online articles.

On the other hand, place your data in SaaS-provider can be a big plus in our country. Attackers can not take away from the server information as well as a SaaS-providers are usually placed abroad. Take the example of one company that uses accounting and accounting software, servers that host this information is placed in a car that stands in the parking lot at an office building where your company is located, contact the office via Wi-Fi network. In any audit of the company or blocking its activity by removal of servers and data leaving the car remain in absolute safety and are available for further work.

Payment

The rent is unusual: “Before I paid once, when buying a box!” Customer forgets about the so-called cost of ownership. Buying a box of software, usually the one setting is not limited. Do you need another implementation, the cost of which can draw on ten of these boxes with licensed software. Extension of technical support also requires payment. In the market there is little software manufacturers that provide free technical support “for life”. The cost of renewal is usually 20-40% of the initial cost of a boxed license. In the case with SaaS you always have the newest software and additional costs for updating and debugging does not carry. In addition, the location on the server (hosting) and questions about the administration takes the SaaS-provider, end costs as a result, small.

Sysadmin

Another “stumbling block” against the SaaS-provider often comes from system administrators. They can find a lot of “arguments” but would not deprive himself and his assistants working on the installation, commissioning and support of enterprise software. But SaaS is not completely takes away jobs from administrators. The company is always “lots” of service jobs and the embodiment of corporate data security policies into practice.

Piracy

Theme of piracy at this point is very relevant, and SaaS-provider may be one of the drivers of this problem. It’s no secret that many companies do not want to work on legitimate software, or can not afford it. In Ukraine, it certainly slows down the whole IT-industry and the development of the software market as a whole. However, SaaS can not be stolen, copied, or “spiratit” as the user is not available to the application source code, because he uses it in the browser. However, many SaaS-model providers are working on frimium (Freemium = Free + Premium), this is when the customer provides the basic free service with limited functionality. For an additional fee it gets enhanced. In fact, he pays only for specifically what they need. You can agree otherwise, the client has not paid rent for the software, and listed only a percentage of sales. This model of cooperation is beneficial for those with a small margin, a small turnover or unstable income.

It is human nature to see some flaws in something new. Once upon a time people feared the engine, which comes down on them from the silver screen. Modern technologies are helping customers improve their business in those places where it is needed and when it is needed. That’s the philosophy of SaaS-services. Based on this thesis, the owners of Internet shops can get great benefits by using SaaS, thereby concentrating their attention on sales and not on the support of the online store. Despite all the fears, the development of SaaS is hollow pace. In 2009, IDC analysts estimated the market at only $ 4.8 million, the forecast for 2014 is quite solid – $ 161.5 million

Author – Director of Marketing InSales.