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Noam Tamarkin

Why to choose SaaS application?

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During my day job, I read some internal report about a company that looked for CRM solution and chose Salesforce.com over an on-premise solution.

I looked into the reasons that make people choose Salesforce and it is very interesting.

I took the list from "Explaining Salesforce.com to the CIO" by David Taber.

The reasons are similar to what I read in the internal report.

Now I will take the 5 top reasons from a different angle. My angle is: Is the reason a SaaS advantage or can it be enabled by on-premise application?

  1. Increased sales productivity, improved profitability

  2. Better visibility and control
  3. Less waste in marketing, sales
  4. Business agility, competitive responsiveness
  5. Make your priciest business process more reliable

Well, 1, 3 and 5 depend more on features and business logic, so the SaaS advantage is not obvious. On the other hand, 2 and 4 could be a clear SaaS advantage because of the support for distributed organization and better mobility to the sales personnel.

My conclusion is that as always, applications sell functionality first. The reason to choose SaaS will never be just pricing or technology.

If Salesforce.com had poor functionality, it would never sell.

Before you depart, I recommend the other part of "Explaining Salesforce.com to the CIO" about misconceptions.

Yours once more,


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In this blog, Noam Tamarkin provides ideas for improving and better integrating your applications.

Noam Tamarkin

Senior software architect and CTO. Experience in solution design and implementation. Holds the ability to understand complex business processes and translate them to technology. Expert in Enterprise applications, integration, SOA, SaaS. Experienced in project management, technical infrastructure, procurement and manufacturing.


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