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According to a recent report by Forrester, marketers trying to sell SaaS to SMBs could be looking at road bumps throughout 2008. Analyst Michael Speyer writes in the report that some forecasts of 2008 SaaS growth in that market might be unrealistic and that the majority of non-implementers are skeptical of SaaS hype.

"SaaS marketers now face more skeptical buyers, and the market's low-hanging fruit has been picked," the report states.

Pointing to research, the report correctly points out that SMBs tend to prefer on-premise solutions by wide margins and that concerns about SaaS such as TCO and integration are still prevalent in the marketplace.

That's not news; more importantly, the report offers tips that marketers might be able to use in order to more effectively sell the benefits of SaaS applications. He also emphasizes that marketers can get out in front of the problem by responding to companies' concerns and offers specific tips, such as emphasizing TCO when selling the product.

All of the points brought up in the report seem quite valid. It makes a lot of sense that companies trying to make a case for why someone should implement SaaS products should have real examples to illustrate success in specific disaster scenario. Certainly good food for thought for anyone considering selling a SaaS solution.

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Posted by: friarminor at March 2, 2008 03:25 AM | Permalink