Saas app

SaaS Application Development: Everything You Need to Know

SaaS is a method of delivering software and applications over the internet that allows data to be accessed from any device with an internet connection and a web browser via the subscription model. In the Saas app, you don’t need to worry about complex hardware and software management.

In the traditional packed software model, users need to purchase, evaluate and install the software on the system. Also, need to maintain and protect the software from security threats regularly. For example company A wants to use a Microsoft Office application for the company’s business purposes. In this case, firstly company A should purchase software and install its own system, and maybe the company should hire some technical experts to set up, install, upgrade, and maintain the software. This should consume more time and cost. However, in the SaaS model, Company A can directly use software without considering these issues. SaaS applications are also known as on-demand software, Web-based software, and hosted software.

SaaS provides Document management, social network, business, and mail services.

Popular SaaS Vendors 

  1. Microsoft Office 365
  2. Salesforce
  3. Adobe Creative Cloud
  4. Google Workspace
  5. Paychex
  6. RingCentral
  7. ServiceNow
  8. GitHub


Cost-effective compared to other models

Users can purchase SaaS services based on different subscription plans ( monthly or annual basis) from vendors. Some of the popular vendors provide a free plan or free trial plans for a few days. This will help organizations run business functionality at a low cost. The SaaS app runs remotely and most SaaS services doesn’t required any special hardware and software, so we can reduce hardware costs and maintain costs.

Customization and Scalability

Most SaaS app offers a pay-as-they-go subscription method, so users can adopt and customize their requirements as per the number of users who are going to utilize the system, the volume of data, and the functionality demanded by your firm.


You can access SaaS applications directly from the SaaS providers using an internet connection. All users will get the same latest version of the application and that can be accessed from any device such as desktops, laptops, and mobile devices.

Always get a new version 

SaaS providers collect feedback from their customers and also they analyze the digital trends and latest technologies day by day to improve the performance and scalability of their SaaS app. Also, check and provide Automatic, frequent security updates of the software with zero downtime

API Integration

Most SaaS providers offer API services that will help you to integrate SaaS services on your local systems.


Data security and latency issues

Saas application is not suitable for applications that demand very less response time. This is because the application and its data are stored in the cloud in different regions, sometimes the application is stored long distances from the end user, which leads to a possibility of latency issues when the user interacts with the SaaS application compared to other models.

Internet Dependency

SaaS applications are completely dependent on the Internet. So, without an internet connection, you cannot access the SaaS application


Commonly SaaS has two architectural models


A single-tenant architecture is also known as one to one model. SaaS vendors provide a dedicated service (infrastructure and database) for each subscribed customer. So all customer data are stored in different databases. This architecture is providing more data security and privacy but the cost of service is higher than other models and it is very difficult to manage and maintain the application. If a SaaS vendor needs to do a security update, they need to do it for each customer.


Multi-tenant Architecture means a single instance of the SaaS service that runs on the remote host server. This single instance provides a SaaS service for each subscribed user(One to many). For example, company A and company B purchased Multi-tenant based SaaS applications. Both of them are getting the same version of the application every time. If there is any Security or feature update of the application then both users will get it at the same time. So, architecture can manage maintenance, security updates, and bug fixes faster, cheaper, and most effectively.

You can learn more about single-tenant and multi-tenant architecture here.


Stands for Infrastructure As A Service (IAAS) Stands for Platform As A Service (PAAS) Stands for Software As A Service (SAAS)
High customization options Medium customization options Limited customization options
Maintenance and setup cost are High Less maintenance and setup cost compared with IAAS Low maintenance and setup cost
Data is secure Data is not secure It has data security and privacy concerns
More scalable and flexible, also support dynamic workloads Flexible and portable Less flexible and highly scalable
It require more technical skill for the setup It require less technical skill for the setup Not require technical knowledge, SaaS vendor will do it
Used by very experienced developers to develop individual applications. Used by less experienced developers Used by end users, it gives access to end user
User can control Operating System, Runtime, Middleware, and Application data User can control only data of application Nothing

Final Thoughts

SaaS is one of the most popular software delivery models and it is used by startups and large companies. The Annual growth speed of the SaaS market is around 18%.In the future, improvement of cloud computing technology and artificial intelligence (AI) will increase the popularity and accelerate the growth of SaaS Technologies.

Are you looking forward to develop a SaaS application?

If yes, then contact us. Perfomatix is one of the top SaaS Application development company. We provide SaaS application development services at affordable price.

To know how we helped our clients from diverse industries, then check out our success stories section.

Perfomatix | Product Engineering Services Company