Feb 08
2009
SaaS Beyond Tipping Point
Very good interview in eweek by Renee Boucher Ferguson with Ann Winblad, a co-founding partner of Hummer Winblad Venture Partners about SaaS trends and its point of being beyond the tipping point of customer adoption.
“With SAAS no longer the domain of small companies that cant afford on-premises software implementations, users extend across a broad swath of small, midsize and enterprise companies, according to Winblad.And adoption is continually on the rise. Winblad points to several recent analyst reports to underscore her point: a survey by AMR Research that says 40 percent of companies are using hosted CRM (customer relationship management) applications, while 49 percent intend to use on-demand applications on an incremental basis; an IDC report that shows SAAS growing at 29 percent annually; and an Aberdeen Group report that said 70 percent of 631 companies surveyed are looking at or planning to use SAAS.”
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“Whats driving adoption of SAAS is the ability for customers to choose best-of-breed software and look at the way their businesses really operate, according to Winblad. “Thats why youre seeing new categories like spend management [that represent] business processes that can bring a very, very rapid ROI to a corporation,” she said.
