5 SaaS Business Models
In the past, most startups emerged because a new technology emerged that provided a solution to a previously unsolvable problem. For example, an unmet need was the pain of creating and editing documents. The solution was word processing, and the technological trigger that made this possible was the availability of low-cost personal computers.
However, a different phenomenon has recently occurred. Rather than technological innovation being the driving force behind entrepreneurship, it is business model innovation .
The Web is creating entirely new business models that australia mobile database are unlike any business that has come before. Think of companies like Google, PayPal, Gilt, OpenTable, SurveyMonkey, Second Life, eLance, 99Designs, and many more. These businesses are using the power of the Web to acquire customers at low cost and to make money in interesting new ways.
New business models are disrupting existing businesses, such as e-commerce Amazon disrupting brick-and-mortar retailers, open source e. JBoss disrupting an existing market dominated by BEA WebLogic and IBM WebSphere, and SaaS e. Salesforceom disrupting a market dominated by Siebel and others.
The purpose of this article is to understand the various new business models that are being developed, as this seems to be the area of innovation leading to some of the most exciting startups.