What Is SaaS?

What Is SaaS?


The rapid development of technology and the Internet has deeply ingrained in people’s lives and completely changed people’s behavior in daily life.

This explains the growing position of SaaS in the market. Not only attracting big players in the world such as Google, Amazon, Microsoft… but even other businesses are gradually oriented towards this platform.

So what is SaaS that can make a difference between the large world market and fierce competition? Let’s find out through the article below.

What Is SaaS?

SaaS stands for Software as a Service.

SaaS is a cloud-based software solution. Where software vendors program and maintain applications over the Internet instead of having to download the software to your local PC. When customers need to use any feature, they just need to visit the website and pay depending on the service package they need.

SaaS companies will often provide access to their software directly via a website or app. Commonly used cloud computing solutions today include PaaS – Platform as a Service and IaaS – Infrastructure as a Service.


SaaS products are specialized and used in almost every department in the business from human resources, finance – accounting, administration, business planning, etc.

Even specialized services require technical skills. techniques such as analytics or software to manage posts on social networking sites.

Difference Between SaaS And Traditional Software



Traditional Software




Customers will only need to purchase once

Depending on the service needs to buy the appropriate service package


Spend extra cost to add

Partially included in the subscription package


Software administrators use security measures themselves

Users only need to protect their login information, the provider implements advanced security measures

Backup data

Users need to back up data themselves to avoid software problems

The provider guarantees the storage and backup of the database for the customer


Manager or IT department

Neither the website nor the app requires manpower

Infrastructure and storage requirements

Programs and related files are stored on the user’s server

Use the hosted program on the app

File location

Save on user server

Save on the cloud


Available on computers with the software installed

Available on any Internet-connected device

Globalization Trend Of SaaS Model

SaaS is no longer a strange thing when you hear about software like Google, Amazon Web Services, Dropbox, IBM… This has proved the monopoly position of SaaS to dominate the technology market.

The world’s leading B2B Tech (business technology) along with a strong wave of technology, SaaS will definitely become a trend and also a common choice for businesses in the future.


Advantages Of SaaS

⇒   Accessible Ability

One of the outstanding advantages of any SaaS application is its ability to run through an Internet browser regardless of the operating system. So whether you are using the application on Windows, Mac, Linux… even on Android or IOS Smartphone, the application or website can be accessed. This has made SaaS flexible in a variety of ways.

SaaS is designed to be flexible to bring optimal convenience to users. Businesses when using the software just need to create an account for their employees to help them access and search data in any case and perform assigned tasks.

⇒   Ability To Update And Fix Bugs

Another advantage of SaaS is that they are run on cloud computing. So whenever the service provider wants to update the application, it will not affect the user’s business. This is in stark contrast to on-premises installed media software that requires endpoint compatibility and security checks before applying periodic updates or patches.

The SaaS model avoids slowing down the development cycle and gives users access to new features to avoid software being hacked while the IT department runs a beta.

⇒   Hardware

Instead of requiring server PCs and other computers to have compatible hardware and software. With SaaS, even the smallest businesses can access software tools through a cloud application. cloud.

Besides, you can choose a service package suitable for the number of people accessing the software.

⇒   Market Access

For vendors, this means being able to offer software services to most markets, rather than just a limited and targeted market segment. At an affordable cost, it’s more accessible to businesses of all sizes.

For users, this means being able to access services that are not normally available. Thus both expanding and improving business services, productivity, and general opportunities.

⇒   Storage Capacity

Storage is a factor that administrators choose to invest in backups to ensure to minimize the possible risks with software causing serious data loss.

With SaaS, all data is stored in the cloud. So it’s not just about the backup aspect. SaaS can help employees switch between devices without affecting work and data. Just log in to a single account, no matter on any device, it can be used.

⇒   Data And Analytics

Everything on SaaS runs on a centralized platform, the data is organized and logically made available for analysis.

SaaS allows businesses to access reporting tools or provide information in the form of images that bring value to business operations, streamline work efficiently and economically.

Challenges For SaaS

⇒   System Security

The SaaS model is aimed at flexibility, compactness, and ease of deployment, so it has not really focused on security.

The server will be located at the provider instead of the user’s server like when using traditional software. Saving data on cloud computing will bring a sense of insecurity, fear of leaking business information.

However, in order to gain the trust and reputation of users, solution providers have paid more attention to data encryption. With the strong development of technology to bring higher security measures.

⇒   Use Only When There Is Internet

SaaS depends entirely on the Internet. So when the system loses network connection, the user’s use will be interrupted.

Users will be completely passive when going to areas where the Internet cannot be used. Or even if there is a network with poor connection speed, it also affects the operation of the business.

Software vendors are also working to add features to support offline use.

⇒   Many Inadequacies When Updating To The New Version

Even when updating to the new version, the provider does not disrupt the business operations of the enterprise. But the inconvenience comes from the fact that employees will feel surprised by the new features and interface, it takes time to get used to it.

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