The document discusses Software as a Service (SaaS) and cloud-hosted solutions. It provides an overview of SaaS business models, the growing adoption of SaaS in the UK midmarket, and considerations for SaaS providers. The key points are that most enterprise spending is shifting to SaaS, there are different types of SaaS models, and SaaS providers need to adapt business models to leverage customer cost savings and adjust to new revenue cycles from subscription-based services.

1. The Market for SaaS and
Cloud-Hosted Solutions
Phil Wainewright
Software industry analyst,
author/blogger and consultant

2. Agenda
SaaS
business
models
SaaS in the
UK
midmarket
SaaS: what
you need
to know
Tech in a
business
context
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3. Tech in a business context
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4. Business must connect to compete
Everywhere
Collaborative
Change-ready
On demand
In real time
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5. Extending enterprise automation
Conversation centric
Systems
engage
of
ment
Automating interactions
Automating transactions
Systems of record
Document centric
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6. Changing application landscape
Ecommerce
&
subscription
Digital
marketing
Collaboration
& social
Self-service
&
networking
Networks &
mobile
ERP
CRM
ECM
HRM
SCM
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7. New enterprise application stacks
Financials
and
revenue
Digital
marketing,
sales and
service
Collaboration
social and
docs
(Big) Data and analytics
/
People,
goals and
identity
Resources
and
spending
Integration and governance
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8. SaaS: what you need to know
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9. Most enterprise spend is on SaaS
Saugatuck Technology,
April 2013:
More than half of
IT budget
holders expect
50 percent of
their application
portfolios will be
in the cloud by
2015
Growing 23.5% annually – four times faster
than the IT industry as a whole
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10. There are two types of SaaS
Multi-instance
Single tenants
Single instance
Multi-tenant
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11. There are many tiers of cloud
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12. The hosted SaaS model
An existing app ported
to a cloud IaaS
Infrastructure
• Provisioning
• Virtualization
• Servers &
networking
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13. The native SaaS model
An all-new app
designed from scratch
for the cloud
Application
• User interface
• Business logic
• Objects
Platform
• Runtime
• Middleware
• Database
Infrastructure
• Provisioning
• Virtualization
• Servers &
networking
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14. Two decisions for developers
1. How much singletenancy do you want
to give your
customers?
2. How much singletenancy do you want
to own yourself?
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15. SaaS in the UK midmarket
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16. Midmarket IT
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17. Change is disruptive
User interface
Licensing & upgrades
Platform
Integrations
Security & governance
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18. The hosted SaaS model
An existing app ported
to a cloud IaaS
Infrastructure
• Provisioning
• Virtualization
• Servers &
networking
http://frictionlessenterprise.com/ | Arrow ECS London - November 2013 | © Procullux Limited, 2013

19. Cost benefit of public cloud
3 key factors:
• Cost amortization
• Resource pooling
• Multi-tenant shared
management
resources
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20. Combine the best of the cloud …
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21. … with what’s important to midmarket
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22. SaaS business models
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23. Where’s the value?
€
Business value
Time-to-market value
Implementation cost
Operational cost
€
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24. Leverage customer cost savings
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25. Adjust to new revenue cycles
100
40
Year 1
40
40
Year 2
Year 3
Year 4
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26. Build relationships
Strategic
guidance
Sourcing
Extensions
Trusted
advisor
Integration
Config &
delivery
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27. A final thought …
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28. Questions?
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