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August 21, 2007
How to Be a Smart Buyer of Software As A Service

Buying software as a service for your business, instead of traditional software is the "in-thing". However, you shouldn't jut buy SaaS in a knee-jerk, un-thinking way.
It should be carefully planned and thought out.
Search SMB gives these tips:
- Define the Business Process
- Compare Apple to Apples
- Check the Competition
- Negotiate
- Think of the future
This is some of the best advice I've heard about SaaS and I highly, highly encourage you to consider it.
If you have bad business processes and your company is in shambles - don't just think you can add SaaS to it to make it better. Adding technology to a bad business product won't make it sell better. Internet-izing a sucked up customer support system - won't make this better.
If you're trying to compare a SaaS solution to a traditional application make sure you're comparing similar systems.
As best you can, consider the systems your competitors are using. This does not mean you've got to copy off of them, but you should at least consider what they are using and how you might implement it in your own business.
Thinking of the future of your SaaS provider is a smart thought. Maybe they're a small startup and will be out of business in 6 months...right while you are trying to grow.
Maybe they're a HUGE company and decide to cancel the SaaS service as it's no longer making enough money.
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