Introduction to the SaaS family: Analysis of SaaS business model

Source: Internet
Author: User

1 configuration mode

Many Chinese enterprises are ruled by men, management flexibility is very large, the company's policies often change, management processes, business changes are very large, and development is very fast; a company this year is 10 people, next year is 100 people, the last two years may be 1000 people. Management mechanisms, methods are in a state of constant change, the requirements of the software is very large. and two enterprises in the same industry sell products, although the same, but the management methods, methods, processes a lot of different.

ASP starts with multiple leases and can be implemented quickly; It includes many modules, but the configuration of the parameters is relatively small, only to do some simple configuration, simple import, export. And SaaS adds a lot of large enterprise management features, such as workflow, business process development, has a strong self-customization function. Customers need to change something themselves to achieve "on-demand".

The software technology needed to achieve "on-demand" is very high, and it is not for anyone who wants to do it.

In the self-customization function, such as self-customized reports, the company's common forms, relying on ASP technology may only provide a few, more than 10, there is no more. And Chinese companies are demanding in this regard. So only a very strong self-customization capability from SaaS can meet this need, and that's the configuration pattern we're going to look at.

1.1 Configuration Mode Overview

L Definition of configuration mode

Configuration modes (software Configure mode, SCM) are software development methods that rely on custom tools, including custom forms, custom workflows, custom data structures, and custom reports, to create and configure interfaces without hard coding to quickly complete customer functional requirements.

• Development steps for configuration mode

We use graphics to express the configuration mode of development step 16:


Figure 1 Development process for configuration mode

1. According to the requirements of the source of materials for functional requirements and non-functional requirements, according to the functional components of the template written "Requirements Analysis manual."

2. According to the requirements analysis specification, the structure design function component, according to the function component template writes out "The design specification".

3. Configure the developer to find the component library based on the feature manifest.

4. Find similar business through analysis and then integrate into the business that meets the requirements.

5. If no such business is in the component library, draw the user interface through the custom form tool.

6. If business data is involved in the form, the table structure is established by using a custom data structure tool.

7. Configure the developer to associate the fields of the table structure with the form.

8. If the business involves a process, define the workflow through a custom workflow tool.

9. The workflow is associated with the form and matches the organization's person role defines the person who approved the approval.

10. Design the report by customizing the report tools if you need to have report functionality.

11. Repeat the above steps until all functions are satisfied.

Benefits of configuration Mode

1. Develop software efficiently, shorten development cycle and reduce development cost.

2. Fast response to customer needs, to achieve maximum customer satisfaction.

3. Quickly respond to business models and enhance core competitiveness.

4. Reduce or even avoid coding, reduce or even avoid system-generated bugs.

5. A wide range of sources of demand to reduce risk of system development.

L Lack of configuration mode

1. Only for small, less complex software

2. Developed software efficiency, performance has been reduced.

3. Full reliance on custom tools, poor flexibility.

1.2 SaaS software configuration capabilities

The main features of SaaS software are energy-tailored, custom-built, or two-time development, or project-specific development. In an environment like China, the self-customization or on-demand capability of SaaS software is the most important issue, because in the growth process, from 5 people to 100 people, the demand is constantly changing, so China's software SaaS software must emphasize the ability to customize, So that customers can get the maximum return on investment.

• Localized development team

Many foreign manufacturers to enter China, relying on their own technical advantages to join other development companies to do software, this is very clever practice. But do SaaS software service providers must have their own code, to quickly respond to customer needs.

L Two-time development

Now basically every enterprise has more or less used software, but these software are from different developers, there is no unified interface standards, integration has become a problem. The newly purchased software cannot share data with the old software, each software runs independently, the information island is the enterprise's most headache problem. Can SaaS software be integrated with previous ERP? This is not simple to integrate can be done, if the code of these systems are written by themselves, that can be modified at any time, not their own writing and no unified standard interface, to achieve integration is impossible. Therefore, can give the customer to do two times development, and after the development can be updated immediately becomes the SaaS software an important benchmark.

L Pack

Whether the software can be packaged is a concern in configuration mode. For example, now Beijing talks about a project, suddenly signed a contract in a branch in Shanghai, but also to buy the same SaaS software, it will face the previous use of the software process, the previous self-made system and the previous approval process can be directly ported to the branch system, which is also very need of SaaS technical support.

L Expandable capacity

If the enterprise's users suddenly increased from 10 users to 500, the speed of access can not keep up? is the search still keeping pace? Did the previous permission management be as tight as before? Can the server group withstand the stress? Therefore can not withstand the rapid increase of large-scale users is also an indicator of the SaaS operators.

A multi-tenancy architecture for custom or custom functions is another core technology of SaaS Software, and leading manufacturers ' products have been customized to the point of perfection. Customers can tailor the SaaS software to their business processes, custom fields, menus, reports, formulas, permissions, views, workflows, and approval flows, without the need for programming knowledge.

Custom-made technology is achieved by adding a database extension layer, a presentation layer, and a set of related development tools to the software architecture. At present, only a few manufacturers in the world have this core technology, in China, 800 customer companies can do that.

2 SaaS Marketing Model

SaaS Software is provided to the user through the service. The choice of which company the user chooses to use is determined by many factors. The SaaS model operator should have a full set of marketing technologies that promote and promote their products to form a brand. Constantly expand market share, and create better economic benefits.

2.1 Build Your own brand

L Definition of Brand

The concept of branding is rarely accurately defined and understood. Kotler, author of Marketing Management, believes that a brand is a name, noun, symbol, or design, or the sum above, to differentiate its products or services from other competitors.

A well-known advertising agency said: The brand is the image.

A consulting firm believes that the brand is the relationship between the product and the consumer, and that the brand's growth process is the development of the relationship between the product and the consumer.

We've also heard of a variety of different definitions, such as brand commitment, brand experience, brand awareness ...

So what exactly is a brand? My definition is that a brand is a set of information associated with a particular enterprise and product, and the brand exists only in the customer's mind.


Figure 2 Brand Awareness Map

Therefore, Roland Berger's brand view, customers throughout the brand strategy has always been at the core position.

Common practice Roland Berger's brand View


Figure 3 Product first Figure 4 customer first

Product first: In fact, production-oriented business thinking.

Customer first: The real market-oriented business philosophy.

L The role of the brand

The role of the brand is to identify differentiated products and services that help customers identify the source of products and services and to influence customer purchase decisions through trust creation.

² The value created by the design, development, production and delivery processes.

² objective performance and characteristics that can be measured.

² will continue to depreciate and depreciate for a limited period of use.

² added value created in the customer's awareness.

² The quality and value of subjective feelings.

² constant influence and constant appreciation.

L Brand Assets

Brand equity refers to the brand in order to build trust and create value-added means is the brand in the eyes of the customer's long-term formation of a unique image.

Three roles of brand equity

1. Creating differences

² differentiate a branded product from a commodity of general significance.

² make a brand product different from other brands, although the physical properties may not differ.

2. Transfer of brand information

Influenced by marketing campaigns and past experience, customers can immediately turn brand names into a range of products, businesses, quality, technology, and other information related to the brand.

3. Adjust the customer's psychological response

² Enable customers to obtain the satisfaction that the enterprise expects in the use.

² enables customers to change their perceptions of themselves by buying and using a brand and gaining a better sense of self.

Strong brand assets can not only highlight differences, improve customer satisfaction, but also can bring brand premium and other benefits to manufacturers.

Research on 2.2 SaaS marketing framework

The research of the SaaS marketing framework is to identify the carrier of the brand and how to combine the information to the target consumer for continuous and effective communication.

1. The need to understand and research marketing decisions and specific actions, and how they are combined and used together, is enhanced by the following two ways of working.

² be proficient in the skills and tools you need to work in your area of responsibility.

² fully Understand how your work is integrated with your brand's overall strategy and regional strategy.

2. Give market workers a good understanding of all aspects of the marketing area they need to reach

Marketing is the process of providing appropriate products and services to the right consumers at the right time and place, at the right price, with appropriate information communication and promotional means.

3. From consumer departure to end of consumer

² understand the consumer and serve their product needs, not just from a competitive point of view marketing activities.

² Respect customers and try to gain their trust.

² Let customers know how your brand is serving their lives, so that they can support your brand wholeheartedly.

² to cater to consumers in a variety of ways, making them happy in every aspect of the brand.

4. There is a strong value of sustainable brand

² Establish sustainable Brand Equity as a solid foundation for brand building.

² Branding is a bridge between your company and its customers.

² A reasonable brand behavior helps strengthen and consolidate your brand assets.

5. The means to invest in marketing in a profitable market share

² The combination of experience, intuition and financial responsibility can help your brand gain breakthrough profits.

² Learn from experience, competition, and the industry environment in which you are located, and use this knowledge to further consolidate your marketing strategy.

² It is important for the long-term success of the brand to carry out new tests based on the knowledge learned.

6. The purpose of establishing an integrated marketing framework is to develop a plan that will increase market share more effectively and to carry out successful strategic deployment.

The meaning of the marketing framework is mainly embodied in five aspects:

Help companies re-examine the most important strategic issues to prevent too much entanglement on small issues

• Combine history and reality in all ways and means to solve problems.

• Give guidance to every meaningful and valuable business choice.

• Avoid hasty plans for fits.

• Expand your thinking and help companies make mature choices to avoid paying too much attention to short-term benefits and ignoring long-term development.

2.3 SaaS Marketing Framework consists of four core issues


Figure 5 The composition of the SaaS marketing framework

Who are our clients: Research and Analysis market customer base, customer favorite, customer characteristics, discover and excavate customers, positioning customer direction, when necessary to cultivate the market, cultivate customers. Only clear who is our customers, can be more targeted to customers to promote products, sales products. At the same time, we have to analyze which are not our customers.

What are our products: what kind of products are developed, ERP, CRM or OA? This should combine the market's product distribution, brand effect, avoid the same conditions of the competition level, analysis of their own advantages, found to compete against the shortcomings of their strengths to fully play out, the product positioning, Identify what your product is. Those products that are unclear, unclear, and have a flawed interpretation do not attract the attention of the user.

Why customers want to use our products: analysis of the characteristics of their products, the characteristics of users, products attract users of the key factors, customers use their own products reasons.

How to use customers to continue to rent our products: temporary customers how to become a permanent customer, the user after renting their products are satisfied, not satisfied in what aspects, what causes, how to improve their products, improve service quality? and mining potential users, so that trial users become paid customers.

3 Brand Vitality Model

The Outlook assessment should demonstrate the vitality of the brand. Brand Vitality reflects the brand size and the overall strength of the brand grade, in the analysis model with the point covered by the brand area to represent 21:


Figure 6 Brand Business Vitality Model

The dominant brand can achieve the general balance of "promotion" and "popularization", while other brands need to be a key part of brand building in order to avoid being sucked into black hole 22:


Figure 7 Brand Building

4 Summary

This paper focuses on the business model of SaaS. Understand the value of SaaS business model and market development potential through the introduction of configuration mode and marketing mode. At the same time, through the establishment of their own brand, shaping the brand vitality model, through the business model to create a suitable SaaS business system is a key step.

Introduction to the SaaS family: Analysis of SaaS business model

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