The Shift to SaaS: A high-value opportunity for ISVs

ISVs who developed a SaaS version of their software were able to deliver additional value to their customers:

  • New customer segments open thanks to lower adoption costs and operating costs: ISVs were able to sell to customer segments who were previously unprofitable due to the reduced cost to serve enabled by operating SaaS on public cloud
  • Customer TCO drops as infrastructure complexity falls under SaaS: ISVs who adopted SaaS were able to reduce the overall cost of software use for their customer by eliminating the need for customers to build out and maintain supporting infrastructure
  • Integration of value-added cloud services improves ISV product offering: Capabilities that previously would have been time and cost intensive for ISVs to develop are available through cloud platform ecosystem with minimal integration and support requirements
  • Aggregation of usage data through SaaS model and data scale effects drive product improvements: Collecting customer usage data provides ISVs with detailed insight into customer needs and pain points, while aggregated data sets enable benchmarking and rapid improvement of products and ISV algorithms

Resource Details

Microsoft Corporation logo
Provided by:
Microsoft Corporation