SaaS is an ever-growing industry that has several applications in every domain. From agriculture to banking, to apparel, SaaS is everywhere. As someone in business, in any domain or vertical, you need to know the types of SaaS products and companies.
There are mainly two types of SaaS companies based on industries:
Vertical SaaS Companies.
This type of SaaS solution targets a specific industry. Be it retail, manufacturing, medical industry, etc. This software is developed for specific industry verticals. Therefore, they are niche software solutions. This means that you can only use it for the industry they designed it for and no other. Additionally, this type of solution can cover all levels of an industry and the services a niche business needs. However, vertical-based SaaS solutions are a rather recent trend. And therefore are not considered an expandable software solution. A few examples would be Guidewire (insurance industry), BioIQ (health-testing) and Health Assurance Plan (dental software), Fleetmatics (inland logistics), etc.
Horizontal SaaS Companies.
This type of SaaS solution offers services across industries and businesses. This means that you can use this type of SaaS solution in retail, medical facilities, and bookstores. A few examples would include HubSpot (digital marketing), Salesforce (customer relationship management), Slack (project management solutions), etc. Since the audience of this type of software covers a wide range of industries, one can consider it to be a mature distribution model. Moreover, the increased scope of application (when compared to vertical SaaS) improves its chances of adoption. Plus, the scope helps lower this type of SaaS customer acquisition costs (CAC).
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Types of SaaS products:
Customer Relationship Management (CRM) SaaS Products
All businesses run on customer data, which is an invaluable resource. Therefore, Customer Relationship Management software aid a business in collecting and managing their customer data efficiently and securely. Moreover, the software lets you segment and filter customer data with the help of filters and parameters. It is a cloud-based software that helps a business track customers through their funnel and improves customer relations. Plus, it is an excellent way to grow revenue by improving customer experience with customer data.
Such SaaS solutions are ideal for medium to large-sized organizations. It helps you build sales pipelines, track leads, and streamline processes, all on one platform. Most companies that use CRM software are B2C businesses since they engage directly with customers the most. Moreover, departments such as marketing, sales, and customer support use it the most.
Human Resources (HR)
HR departments manage and support tens of thousands of employees. In recruitment, training, and through their tenure with the company. Therefore, they are required to keep records of all employees through the years and have the current employees’ directory at hand. HR SaaS software allows the HR department to manage employee work schedules, holidays, and leaves. And the projects they have and are working on.
Moreover, the department can use the software to keep track of performances, and employees’ experience with the company. Additionally, improved employee experience leads to better job satisfaction and low turnover rates.
Communications SaaS Products
Due to the pandemic and travel limitations in the past few years, platforms like Zoom and Slack have seen a sharp rise in their usage. Such communications platforms have replaced traditional methods of work communication. Such as emails, calls, chat messages, etc. And has provided its users with a condensed platform that includes the same functionalities.
Finances (Accounting and Billing).
Accounting software is the best way to keep track of all finance-related information on one platform in a secure way. There are several advantages to using financial SaaS to run a business. From tracking cash flow through the organization, monitoring transactions, and creating and managing budgets. You can use this type of SaaS solution across industries. However, businesses related to finances, manufacturing, retail, and the government use it the most. The data recorded by the company is secure and can only be accessed on an authority level basis. Moreover, it aids in reducing errors and cuts down on the time taken to document financial records.
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Content Management Systems (CMS) SaaS Products.
CMS aims to help the user create websites or mobile apps for their business in a low code method. These are usually web-based software that does not need technical coding knowledge. It is excellent for people looking to create an e-commerce business without having to invest a lot of capital into website design and building. Moreover, the creator will be able to create, manage and change the website how they like, by themselves. While it requires time and resources to initially set up a website using CMS. It has allowed several people to launch their e-commerce businesses with little to no upfront capital. Additionally, CMS is easy to maintain and has a plethora of services, such as SEO. Plus, they are a scalable solution and allow for quick deployment.
Enterprise Resources Planning (ERP)
An ERP SaaS solution aims to integrate several business functions into one system. This means this type of system runs all organization data on one platform. This improves efficiency and improves data management techniques. You can access such data through the internet for off-site work. Moreover, it allows you to easily integrate business data and financial data for better decision-making. Additionally, businesses can easily manage inventory, payrolls, financial reports, and business documents all in one place.
Project Management SaaS Products
This type of software aids in managing several projects at the same time. Additionally, it helps in increased efficiency, project tracking, and documents an employee’s work and contribution. It is a cloud computing solution, which means that all data is stored in the cloud and can be accessed remotely. Moreover, the platform gives a comprehensive list of services and tools to boost work efficiency.