Secret Sauce of the Business Cloud–SaaS


Why SaaS is the secret to success in the business marketplace

The next wave of the Cloud is well on its way. For a good time, SaaS models focused on inevitable Cloud disruptive factors – Subscription, Billing, Hosting, Zero Legacy etc. Disintermediation proved a big success mantra for upcoming SaaS companies. But the middleman took note and turned the tide against itself, defeating the objective of having the Cloud in the first place. Transactions started happening directly. Its now the turn of the new SaaS model – SaaS becoming the System of Record as opposed just a low cost line item. Businesses take note, it may well be the tip of the iceberg!!

I came across an excellent article along the same lines:

By serving as the access portal to the marketplace, the system of record and most importantly, the paywall that drives predictable revenue, SaaS can revolutionize the marketplace model to offer modern advantages the failed B2B marketplaces of the early 2000s never had. These include revenue predictability, favorable unit economics and a barrier to disintermediation.


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