Time To Add Some SWAG To Your SaaS

The next time you renew your Netflix subscription from the cozy confines of your living room remember the convenience factor that makes SaaS models customer friendly. This feature in combination with others makes the SaaS model a preferred option over the large chunky, expensive option--enterprise Software.

Welcome to the subscription economy a term coined by Zuora. At the heart of this model is the shift of customer behaviour from an “era of ownership” to the emerging “experience era”. Stated another way most digital natives prefer temporary versus permanent ownership of the product.

Stop and think for a moment, why do leading SaaS brands across categories seem to be tasting unprecedented success?

Here are some differentiating facts:

1. Model:Unlike in the enterprise software business where the vendors and clients are locked post the sales irrespective of outcomes the subscription economy allows their customers the flexibility to either pay as they go, or pay per subscription monthly or via a long-term contract. The point is it offers clients much needed flexibility. Marketers, need to bear in mind that the power has now clearly shifted from the brand over to the client/customers. Successful subscription economy firms lay more emphasis on the customer.
2. SaaS…