As 2008 winds to an end, the SaaS market is at a crossroads.
Although the SaaS market has experienced tremendous growth over the past year, the current economic crisis is raising a new round of concerns regarding the fate of many SaaS companies.
IT and business decision-makers within large-scale enterprises, as well as small- and mid-size businesses (SMBs), are taking a very careful look at the financial viability of their SaaS suppliers. They don't want to fall victim to a failed vendor, like many did during the dot.com bubble and post-9/11 period.
Venture and private equity firms are also taking a closer look at their current and prospective portfolio companies. They are telling SaaS executives to cutback on their day-to-day operations and hoard cash.
The SaaS Showplace has become the top-ranked online directory and resource center regarding these trends. The Showplace now includes over 950 companies with over 4500 listings in 80 Application, Industry and Enabling Technology categories!
This newsletter is now distributed to over 10,000 IT/business decision-makers, IT solution providers, press and investors!
The past year was a watershed period for the SaaS market. Demand exploded and the market expanded exponentially.
THINKstrategies' fourth annual SaaS customer survey, in conjunction with Cutter Consortium, revealed that SaaS adoption nearly doubled, jumping from 32% in 2007 to 63% in 2008! Customer satisfaction, renewal and referral rates were also well above 90% among our survey respondents.
The 'cloud rush' of 2008 in which we saw a proliferation of new SaaS and cloud computing players, will give way to an industry shakeout in 2009, as weaker players fail or are acquired.
These trends will put more of a premium on corporate customers selecting strategic sources for their SaaS solutions. In addition, SaaS/cloud computing vendors must work harder to strengthen their strategic positions in the market.
Contact me if you'd like to discuss the implications of these trends and our survey findings on your company, or to learn more about how our services can help you achieve your business objectives.
New Showplace Sponsors, Whitepapers and Benefits
NTRglobal is the latest sponsor of THINKstrategies'SaaS Showplace. NTRglobal delivers enterprise-grade, on-demand, remote support services for PCs, servers and Windows Mobile devices and remote administration.
QuickArrow, a leading provider of professional services automation solutions (PSA), is also generously offering free copies of the book entitled, "Tips From the Trenches: The Collective Wisdom of Over 100 Professional Services Leaders." Click here to obtain a copy of this book.
Despite growing customer demand for SaaS, THINKstrategies has found many aspiring providers of these on-demand services are still struggling to win a share of the market because of a variety of operational challenges.
In response, THINKstrategies offers a set of Readiness Assessment Services aimed at helping aspiring SaaS vendors develop and execute their go-to-strategies, service delivery capabilities, and sales processes. We also work with IT/business decision-makers who need help evaluating their SaaS needs and selecting the SaaS suppliers to satisfy their requirements.
The SaaS Showplace is attracting a growing number of IT/network and business decision-makers, IT solution providers, investors and the press who are discovering the value of our SaaS online directory and resource center.
Contact us at email@example.com if you'd like to gain greater industry visibility via our online directories and increasingly popular e-newsletter.
About THINKstrategies, Inc.
THINKstrategies is the leading strategic consulting services company focused specifically on the unprecedented business challenges facing IT managers, solutions providers and investors today as the technology industry shifts from a product-centric to a services-driven orientation.
The company's mission is to educate organizations about the on-demand services market, and help our clients capitalize on these trends to achieve their business objectives. We help enterprise decision-makers with their sourcing strategies, IT solutions providers with their marketing strategies, and VCs with their investment strategies.