Types of SaaS applications [Guide]

What is a SaaS application?

Ever wondered how modern businesses stay so agile and efficient? The secret often lies in SaaS – In basic terms, Software as a Service (SaaS) is a cloud-based service that allows easy & quick software product deployment, increases scalability, and doesn’t require any hardware use from customers.

SaaS applications are accessed via web browsers on any internet-connected device using a username, password, or one-time generated code, contrary to traditional software applications that must be installed on your device.

There are many advantages to using SaaS rather than traditional apps, and the following statistics according to Around Agency prove why:

• Digitalization is in, as about 45% of small and medium-sized businesses use various SaaS solutions, up from 24% in 2017.
• Corporate shifts organizations with over 10,000 employees use an average of 447 SaaS applications, while companies with up to 750 employees use about 59 SaaS products.
• The global SaaS market, valued at over $130 billion in 2021, is projected to reach $717 billion by 2028.

Types of SaaS applications

B2B SaaS

What is B2B SaaS?

B2B SaaS is the term for cloud-based software applications created to assist companies in solving specific operational issues, simplifying procedures, and increasing productivity. CRM programmes like Salesforce, project management software like Asana, and marketing automation platforms like HubSpot are a few examples of B2B SaaS apps.

Businesses of all sizes, from startups to huge enterprises, are supplied by B2B SaaS providers, as they offer flexible, scalable solutions that are able to expand with the company, negating the need for an extensive first investment in IT infrastructure. This model’s subscription-based pricing, allowing firms to better control their budgets, makes it especially appealing.

Market Ratio & Trends

One major player in this market is B2B SaaS. The global software as a service (SaaS) industry is projected to grow 20% to total $247.2 billion in 2024, according to Gartner.

The increasing need for organisations to use data for decision-making, remote working habits, and digital transformation projects are all contributing to the growth in demand for B2B SaaS.

Companies are choosing B2B SaaS models because they offer dependable, expandable, and reasonably priced solutions that boost output and operational efficiency. Plus, B2B SaaS apps are extremely beneficial in a linked digital ecosystem due to how well they integrate with other business systems. 

B2C SaaS

What is B2C SaaS?

B2C SaaS (Business-to-Consumer Software as a Service) refers to applications that are provided directly to consumers via the internet. Rather than being built with profits in mind, some applications are developed to fulfil actual needs or wants. B2C SaaS applications include fitness apps like MyFitnessPal, personal finance apps like Mint, and streaming services like Netflix.

B2C SaaS providers prioritise offering intuitive user interfaces, engaging user experiences, and easily accessible services that improve everyday living. These apps’ success frequently rests on their capacity to lure in and maintain a large number of users via clever layouts, regular updates, and dedicated customer service.

Market Ratio & Trends

Despite being a smaller market than B2B SaaS, B2C SaaS is growing quickly. The B2C SaaS industry is driven by the increase in mobile internet usage and the need for cloud-based services.

As more people turn to digital services for communication, entertainment, health, and finance, Statista  shows us that the consumer SaaS industry is expanding more, one quarter at a time.

B2C SaaS solutions are chosen by users due to their price, accessibility, and ease of use. More customers can access premium services due to the lower entry barrier provided by subscription models, which often come with free levels or trials.

B2B2C Saas 

What is B2B2C SaaS?

Both B2B and B2C concepts are merged in B2B2C SaaS – we know it sounds complicated, but let us explain – and according to this model, a SaaS provider supplies software to a business (B2B), which then provides the software to its clients (B2C).

Creating value is the goal of B2B2C SaaS models for both companies and their clients. They assist companies in developing new revenue streams, enhancing existing customer offers, and increasing consumer engagement.

Market Ratio & Trends

The market for B2B2C software as a service is starting to grow significantly. With this technique, companies can effectively expand into new areas and grow their product offerings. Businesses using B2B2C models can increase their growth rates by using their partners’ wider reach and more advanced skills.

The B2B2C model appeals to businesses because it gives them a means of improving their value proposition to clients while using the know-how and infrastructure of a SaaS provider. This approach is particularly popular in sectors including healthcare, financial services, and e-commerce.

E-commerce SaaS

What is E-commerce SaaS?

E-commerce SaaS refers to cloud-based software solutions created especially for online shopping. These apps give companies the resources they need to launch, run, and expand their online storefronts. Shopify, BigCommerce, and WooCommerce are a few examples of SaaS platforms for e-commerce. 

Features like payment processing, marketing automation, inventory management, and customer relationship management are available on these SaaS platforms. Also, because of their user-friendly and scalable design, they enable businesses to expand their online presence and easily adjust to shifting market demands.

Market Ratio & Trends

With SaaS platforms playing a critical role in enabling firms to access and compete in the online world, the global e-commerce market has been seeing tremendous growth. According to Business Research Insights, the global e-commerce SaaS market size was USD 6.100 billion in 2021 & is expected to reach USD 26.22 billion by 2031.

E-commerce SaaS solutions are used by businesses because they provide extensive features that make managing online stores easier. These platforms are the go-to option for companies wishing to start or grow their online presence because of their scalability, user-friendliness, and integration capabilities.

SaaS application examples

B2B SaaS companies

• DTangle – data visualisation and visual analytics;

See how we converted DTangle’s innovative ideas into a tangible and marketable SaaS product

• Socialinsider – Social media analytics;
• Ahrefs – all-in-one SEO toolset.

B2C SaaS companies

• Spotify – Music streaming platform;
• Canva –  cloud-based design platform;
• Animaker – cloud based Do-it-Yourself animated video making app.

B2B2C SaaS companies

• Amazon – online marketplace;
• Brevo – email marketing tool;
• Glovo – food delivery.

E-commerce SaaS companies

• BigCommerce;
• Prismatic;
• PrestaShop.

To sum everything up – for businesses that are looking to stay ahead of the curve, investing in SaaS apps is a strategic move that not only promises significant returns but also increased customer satisfaction. So, whether you’re a startup or a large enterprise, embracing SaaS is definitely worth thinking about.