It has been another hectic month keeping pace with the rapid growth of the SaaS and cloud computing market.
Compounding this challenge has been the unprecedented rainfall that has flooded the Boston area, and tested many of the ancient roadways in the region.
The legacy software industry and traditional data center models are also being tested by a flood of SaaS and Cloud Computing alternatives which are threatening to wash away many established players who refuse to recognize the significance of today's 'on-demand' services tsunami.
THINKstrategies recently teamed with Datamation to gauge IT/software decision-maker interest, adoption and satisfaction with SaaS solutions. Approximately 85% of the current SaaS users reported they are very satisfied with their solutions and only two respondents said they were dissatisfied. Sixty-one percent said they would expand their use of SaaS, and nearly 70% said they would recommend SaaS to others. Most legacy software vendors can't match these numbers and face series competitive challenges as a result. (You can read more about our joint survey below.)
Despite the success of SaaS and cloud computing alternatives, there are still many aspects of this rapidly evolving movement which need to improve in order to win greater acceptance among large-scale enterprises before they rely on these web-based services to support their core business processes. In addition to the ongoing concerns about the reliability and security of these solutions, you can read below about contracting issues which have recently become the focus of attention.
Another complicating factor is the role of channel organizations in the SaaS and cloud computing market. I'm speaking and writing often on this topic, and you can read about our views below.
Although the economic downturn has undercut the appeal of the mega-conferences of the past, growing interest in cloud computing and SaaS has fueled a proliferation of events dissecting these markets. You can see which events THINKstrategies is supporting and where I'll be participating below.
The SaaS Showplace continues to be a focal point for showcasing the best companies in the industry, as well as industry best practices. In the past month, we have added 43 new companies to the Showplace and recognized four more Best of SaaS Showplace (BoSS) Award winners.
Based on the success of the BoSS Awards program, THINKstrategies has launched a new Cloud Computing Business Value (CCBV) Awards program to give similar recognition to companies which are delivering Infrastructure-as-a-Service (IaaS) and Platform-as-a-Service (PaaS) solutions producing measurable business benefits for their customers.
The SaaS Showplace best practice resources, including dozens of whitepapers and webcasts, on the also continue to grow, and we have added a new set of videos and narrated presentations powered by Brainshark.
We are also proud that the SaaS Showplace remains the largest and highest ranked online directory of SaaS and cloud computing solutions and best practices on the Web!
And, we want to thank the over 12,300 IT and business decision-makers, solution providers, technology investors and press who subscribe to this newsletter to stay abreast of the latest SaaS/cloud computing industry trends.
This update includes our latest perspectives on the SaaS and cloud computing market, as well as industry events and other resources to help you capitalize on the exciting opportunities in this industry.
Contact me if you'd like to learn more about how you can leverage the SaaS Showplace, or THINKstrategies' educational and consulting services to achieve your business objectives.
Last month, Pacific Crest Securities unveiled its latest CIO survey results at their Emerging Technology Summit in San Francisco which found that SaaS is expected to equal upwards of 30% of the CIOs' 2010 software budgets, up from just 10% in 2007 and well-ahead of Gartner's forecast of 25% in 2012!
THINKstrategies' joint survey with Datamation also uncovered strong indications that SaaS adoption is on the rise and is market growth is being fueled by solid customer satisfaction, expanded useage and a growing cadre of 'net-promoters'.
Click here to read more about our survey findings.
The success of business-oriented SaaS solutions has opened the door for a new wave of SaaS-based IT service management (ITSM) solutions aimed at helping IT professionals do their jobs better and economically. The growing acceptance of these SaaS solutions among IT professionals will remove another obstacle for greater SaaS adoption among a broader population of organizations. Click here to read our views about the SaaSification of IT management.
As a result of the growing success of the SaaS and cloud computing movement, a growing number of traditional channel organizations are trying to determine how they can participate in this market. And, a wide array of new players are also entering the market to offer SaaS solutions to their customers. One of the latest examples is Bank of America which recently launched a new MyBusiness Center online marketplace of SaaS solutions for its customers, developed by THINKstrategies' strategic partner, Renovatix Solutions. Click here to read more about this trend.
Despite growing acceptance and adoption of SaaS solutions, many SaaS vendors fail to clearly define their contractual obligations and often mislead customers regarding service levels. Earlier this month, RightNow issued a "Cloud Challenge" to the SaaS and cloud computing industry in response to these contracting issues. Click here to read our perspectives regarding RightNow's initiative.
Click here to read more perspectives about the SaaS and cloud computing market, and view our new series of online presentations to help IT and business decision-makers within enterprise organizations, as well as IT solution providers, better understand the forces driving trends. The first two presentations are,
The presentations are powered by Brainshark, an easy-to-use online presentation creation and distribution platform.
Contact me if you'd like to discuss the implications of these trends, or to learn more about how THINKstrategies' services can help you determine the right way to leverage SaaS or cloud computing to achieve your business objectives.
THINKstrategies began recognizing SaaS companies that are generating measurable business benefits for their customers via our Best of SaaS Showplace (BoSS) Awards program in January 2009. The goal of this ongoing program is to promote the tangible benefits which organizations of all sizes are gaining from SaaS and cloud computing solutions, and showcase these SaaS vendors on the SaaS Showplace.
Since launching the BoSS Awards program, we have announced over forty-five (45) winners and have more identified for recognition in the coming weeks. Click here to read more about the BoSS award winners, and to learn more about the ongoing awards program, the nomination process and selection criteria.
The success of the BoSS Awards have encouraged us to initiate a new Cloud Computing Business Value (CCBV) Awards program to recognize IaaS and PaaS vendors who are also producing measurable business benefits for their customers. Click here to learn more about this new awards program or to nominate a cloud vendor.
Contact us if you have any questions about the awards program or if you would like to obtain a copy of the nomination questionnaire.
SaaS Primers for CIOs and IT Solution Providers
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 challenges.
The primer is based on THINKstrategies' extensive experience working with vendors making this transition. We have offered Readiness Assessment Services since 2007, aimed at helping aspiring SaaS vendors develop and execute their go-to-strategies, service delivery capabilities, and sales processes.
Since the launch of these services, we have worked with a wide array of aspiring SaaS companies, ranging from start-ups to major software vendors migrating to SaaS. Click here to see a partial list of our vendor clients.
We also work with IT/business decision-makers within large-scale enterprises, as well as small- and mid-size businesses (SMBs), who need help evaluating their SaaS needs and selecting the SaaS suppliers to satisfy their requirements. Click here to read our primer for CIOs considering SaaS.
Contact us to explore how THINKstrategies' services can help you achieve your business objectives.
Upcoming SaaS and Cloud Computing Events
The SaaS Showplace and THINKstrategies are pleased to be participating in and supporting the following SaaS and cloud computing events during the coming months,
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 firstname.lastname@example.org 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--including SaaS, cloud computing and managed services--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.