The Parallel Benefits of SaaS and UCaaS

by Doug KramerOctober 31, 2018

Although most companies don't think twice about using Software as a Service (SaaS), many companies hesitate to see the value of switching to Unified Communications (UCaaS) even though almost all of the benefits of using SaaS for software applications apply to using UCaaS for business communications.  Learn more about the growth and parallel benefits of both SaaS and UCaaS. 

The Growth of SaaS

Almost all companies utilize some form of software as part of their everyday business operations. Today, the majority of software is now delivered by  SaaS.  SaaS allows software to be licensed, delivered on a subscription basis and centrally hosted, all by the provider. It is also sometimes known as “on-demand software.” In the not too distant past, much of the software was premised-based software that had to be installed, updated and maintained locally. The growth of SaaS can be attributed to the cloud, better overall technology and faster internet speeds. According to Yahoo Finance, 83% of the top-performing US businesses planned a SaaS strategy and considered collaborating with cloud service vendors in 2017. In fact, 70% of those businesses had no such intentions in 2016.

The Growth of UCaaS

In a similar fashion to software, this exact evolution of technology is influencing companies to adopt a Unified Communications as a Service (UCaaS) for their business communications.  Most businesses don’t think twice about using SaaS applications because of the many benefits it has for the company, IT Departments and end users. For almost all of the same reasons, more and more businesses are moving to Unified Communications as a Service (UCaaS) to improve their overall communications. According to Gartner’s Forecast Analysis for Unified Communications Worldwide, specifically the Quarter Four of 2017 update, “global end-user spending on unified communications will grow at a 3% compound annual growth rate from 2016 through 2021 to reach approximately $44.2 billion in 2021" (Gartner, 2018). 

The Parallel Benefits of SaaS and UCaaS

It should come as no surprise that both SaaS and UCaaS are both growing. One reason is that almost all of the benefits of SaaS can be found in UCaaS. UCaaS is really SaaS for your business communications.  See below for a comparison of some key benefits of both platforms:

UCaaS-SaaS Chart Design-1 

(1) Reduced Costs

Unlike onsite software hosting or on-site phone systems, SaaS and UCaaS do not require a huge upfront capital investment on hardware, such as computers, routers, servers, etc. All of these costs are incurred by the provider. Vendors may also provide a few different subscriptions to their services, allowing companies to decide what package best fits their needs. As a result, it has become easier for small start-up companies to make use of SaaS and UCaaS applications now and scale as their business expands.

(2) Scalability

Workforces come in many shapes and sizes, making their needs vary greatly.  Both SaaS and UCaaS is subscription based and can easily be scaled or reduced by simply adding or removing addition licenses or users.  During an increase or even a surge of employees, transactions, new data, etc., the last thing a company wants is a slowdown. Since SaaS and UCaaS applications don't rely on local hardware, slowdowns are rare occurrences that do not interfere with day-to-day business, no matter how large the workload is. 

(3) Accessibility

SaaS and UCaaS both make it painless process for organizations to allow their employees to work and operate remotely. At anytime and anywhere, the web-based applications can be accessed via any device with an internet connection and web browser, increasing productivity.

(4) Updates and Maintenance

Instead of having a company's IT department be responsible for most software installation and management, the responsibility lies on the vendor to keep the software up-to-date and maintained without any hiccups. This leaves more time for the IT department to worry about other pressing issues related to their own core services.

(5) Security

For any well-run company, security is always a concern. Using traditional systems can make valuable information susceptible to outside attackers. In addition, the chance of data loss increases when companies allow employees to bring and use their personal devices for work. This valuable data can be kept safe on the software as a service provider's servers, reducing the consequences of a security emergency.

➡️  Ready For More? Check Out Our "Ultimate Guide To UCaaS" now!

About Level365:

Level365 offers a complete Unified Communications as a Service (UCaaS) solution with enterprise voice that is customizable  and scalable for your business. Our service seamlessly integrates communication among your desk phones, computers and mobile devices to support remote teams and provides flexibility for on-site staff. The UC platform extends beyond voice communications with Unified Messaging, Presence, Chat/SMS, Cloud Faxing, CRM Integrations and more.