SaaS development vs. traditional software development: Key Differences

A brief understanding about SaaS Development

As we explained in our previous article, SaaS (Software as a Service) is a cloud-based software delivery system that allows you to access data from any device and web browser with an Internet connection. It offers a flexible and customised feature set based on the needs of the user groups.

SaaS development meaning

The main characteristics of SaaS development are that it’s on-demand and subscription-based, so your clients won’t need to upgrade their hardware or install it locally on their devices. SaaS solutions are often used by clients from connected devices using various APIs or an Internet browser, with all maintenance handled by the software vendor, making them accessible for everyone as long as there’s an internet connection.

The thing about a SaaS application is that it gives you the opportunity to transform your idea into a marketable product, as we have done with DTangle, which requires a much smaller budget than building a customised application from scratch.

Basically, the primary factors driving the SaaS platform’s popularity are its affordability and flexibility. As per Statista, the SaaS market is anticipated to grow at an annual growth rate of 14.4% from 2023 to 2028, reaching $282.2 billion in 2024 and $374.5 billion by 2028. 

Because of this, developing SaaS applications for your clients and company can be a long-term, future-proof strategy to gain a competitive edge.

SaaS development process

The SaaS development process is also referred to as the SDLC (Software Development Lifecycle), and this structure represents the stages through which a SaaS application is built – from the original idea and concept to the deployment of the app. These can include: research, planning, designing, developing, testing, and deploying the app, with the last being continuous maintenance and updates to improve the product.

But here at BEECODED, we like to keep it simpler and easier to understand. So our version of SDLC is the following: 

To capture the essence of the project, we begin by outlining the users, the business sector, and the app requirements. We simply draw out the project’s objectives, schedule, and vision while communicating with you at each milestone to ensure that our concepts and ideas are appropriately aligned.

Next, we start crafting a Sprint Plan, collaborating with you. First, we look over the product backlog and decide what the next sprint’s objectives should be. This establishes a system for our daily scrum meetings and focused development efforts. Every sprint concludes with an in-depth review done together with you to help us decide how best to move forward with testing and deploying upgrades.

We take the release stage very seriously, since it is clearly an important part of software development. We carefully test the software to ensure that it meets security requirements and is fast, accessible, and free of version control bugs. Our dedicated teams (maintenance, security, and DevOps) assist you during the application release phase by ensuring that everything is operating as it should. 

Though this may be the conclusive stage, we prefer to think of it as an ongoing process that persists throughout our partnership. All of the continuous iterations and changes made to products to ensure they reach their full potential during use are handled in the refining phase. Basically, you have an idea for an upgrade based on the data gathered from users? Let’s see how we can put that into practice.

A brief understanding of traditional software

How has software changed over time?

Traditional software involves installing the application straight onto the user’s hardware. This could be installed on servers for network-wide access, on individual PCs and laptops, or on your mobile phone/tablet. Traditional software usually comes with a one-time license fee; however, you may have extra charges for support or maintenance.

There are more types of traditional software development, depending on the hardware you’re installing the application on, or the medium in which your information is stored. These are mobile app development, web app development, and on-premises development.

Mobile app development

Developing a mobile app means creating software that runs on your smartphone or tablet. These apps usually need a network connection to interact with remote servers or resources. 

The process starts with building installable software packages, which include all the code, binaries, and assets. Next, you need to set up backend services, like APIs, to handle data access and other functions. Finally, the app gets tested on the devices it’s meant to run on to make sure everything works smoothly.

We followed this process when building MiM – Money in Motion, a user-friendly budget-tracking app for financial education.

Web app development

All SaaS are web-based software, but not all web apps are SaaS. The way they are accessed, deployed, managed, and scaled makes them different from each other. Differing from SaaS, web apps are independent of third parties and are more prone to customisation. 

So, if your idea requires a specific amount of customisation, you should consider building a web application.

Check out our process of developing a web application for Promo Saga!

On-premises software development

On-premises software apps are hosted on your own servers or devices. This traditional method involves buying a certain number of licenses, which gives you full ownership of the software. Keep in mind, though, that this route can be pricey upfront since you’ll need to purchase the software all at once. But it does mean you have complete control over the software and your data. 

Which is better: SaaS Development or traditional software development?

As you may know, there are several key differentiators between developing a SaaS app or a customised, traditionally developed software solution.

To figure out what’s the best option for you, you need to see which method better suits your business model, needs, and costs. 

Key difference between SaaS & traditional software

To sum this up, if your business focuses on flexibility, low upfront costs, and ease of use, and if you’re willing to trust a third-party provider with your data, then SaaS might be the right choice. On the other hand, if you want to be hands-on in the project or if your product requires very specific customisation and you’re willing to invest in the necessary infrastructure and expertise, then traditional software could be a better fit.

The software delivery industry is not a one-size-fits-all environment. Knowing the main differences between SaaS and traditional software can help you make an informed choice that will suit your company’s particular requirements and set you up for success.

And who knows, maybe you’ll find a mix of both much more fit for your idea. 

How to choose the right software partner

Picking the perfect partner for your development project can make all the difference. Our advice is to first look for someone with a solid track record, check out their website, and dive into their case studies, client reviews, and portfolio. These will help you decide whether or not you would consider working with a specific team. 

Don’t forget to ask the right questions.  You want to make sure you have some clear agreements in place. And, of course, discuss the post-deployment support they offer. A successful software application needs continuous support, so ensure your partner is ready to provide the technical support you’ll need after launch.

Lastly, consider starting with a Minimum Viable Product (MVP). It’s a great way to validate your concept before diving into full-scale development. This approach can save you time and money and help you tailor your product based on real user feedback. 

Let’s build something great together – Get in touch with us!