Trends Report

Forrester's SaaS Maturity Model

Transforming Vendor Strategy While Managing Customer Expectations

August 14th, 2008
With contributors:
John Rymer , Reedwan Iqbal

Summary

Software-as-a-service (SaaS) is the hottest trend in both CRM and the small and midsize business (SMB) market in general. While SaaS appears to be a threat to software vendors with traditional perpetual-license models, it is also an opportunity for competitive advantage. The question is how independent software vendors and service providers can capitalize on this opportunity. Forrester's SaaS maturity model provides an assessment of the solutions and underpins our guidance on realistic strategy transformation for those software vendors and services providers considering a SaaS business model. Targeting the highest maturity level is not necessarily the best fit for every vendor.

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