Product based businesses and service based businesses have fundamentally different structures, needs, resource needs, cashflow structures, marketing, sales models etc. This is why it is difficult to use your ‘Service’ based business resources to create a ‘Product’ based business.
Based on my own experience and that of many participants in the www.SoftwareCEO.com forums it seems that the ‘Slow but steady’ is winning the race against the ‘Wham, bam, thank you M’aam’ software co’s springing up. It’s the classic age-old debate of ‘Experience vs skills/speed’.
Continue reading about Is there another .com (or .saas) Bust coming?
Published on Zdnet: http://blogs.zdnet.com/SAAS/?p=105
Just as an ‘out of interest’ note, ProActive Software has an SAAS modeled solution called ProWorkflow.com. We’ve been of the opinion that it’s better to have more servers, and less users on them. We’d run about 50-100 customer accounts to a server. The upgrade and maintenance is a little more overhead, but [...]
With traditional software selling, you make the sale, turn your back on the customer and move on to the next – “Accountability=noneâ€. The on-demand model is great. If the customer fails, we fail, and vice versa. There is great reason to ensure the service works, not just for the customer, but for the future of the SAAS business too..
