ted paulson

SaaS-Sourcing-a good option for your business?

Merrill Lynch predicts the market for SaaS and Cloud Computing to be $160B, including $95B in business and productivity applications. According to Saugatuck market researchers, a fifth of the IT tasks will be managed with Cloud Computing by 2013. In addition, recent predictions talk about 25 percent of business software which will be delivered under SaaSs models by 2011.

Obviously everyone is talking about SaaS models, but what actually is SaaS and what is it good for?
The concept of SaaS is often associated with application service providings (ASPs) of the 1990’s. However, these applications have not much in common with SaaS when it comes to licensing and architecture. Software as a service (SaaS) is software deployed as a hosted service and accessed over a network, usually the Internet. Thereby, the customer does not purchase the software but access the SaaS application by using a subscription model – paying an ongoing fee to use the application.

Thus, the software is not hosted on the customer’s computer, but within the network. This will also enable you as a customer to access the internal data in situations when you are not in your office.

One prominent example for this service is the company pulsed (pulsed.com), who provides the access to internal data of a company for their mobile users. The customer is able to access and provide data over the Internet by logging on to the software with the computer or the smart phone. The consequence is a fast and save data transfer between all members of the staff involved, no matter where they are located. In order to protect internal data, a variety of security mechanisms can be used to keep sensitive data safe in transmission and storage. Furthermore, SaaS vendors provide application programming interfaces (API) for their customers which allow them to access their data easily and to create composite applications.

How will I benefit from using SaaS?
The advantages of using SaaS application are clear. Especially small and medium-sized businesses benefit from Saas, because there is no need for additional staff or maintenance of the software, nor for the purchase of new hardware. Instead of updating every single computer, the customer is able to update and maintain the software within the network. That means you as a customer will save time and money by using SaaS! Without SaaS it can cost hundreds of thousands of dollars for license costs, IT personnel and maintenance for the software for companies of any size. In using SaaS, the risk for such investments is drastically lower. Companies are able to try SaaS models with the often offered 30 days testing period and in case their needs are not satisfied, they can just walk away and try a new path.

The use of SaaS will furthermore have impacts on the work of the IT department of a company. In using SaaS, the daily tasks of the IT staff such as testing and installing patches, managing upgrades, monitoring performance and ensuring high availability will be handled by the provider of the SaaS application. Instead, the IT staff is able to focus on high-value tasks which support the business goals of the company. Therefore, their role will shift from mainly being reactive towards being active technology strategists. This will create improvements for your company!

What do I have to consider as a customer before using SaaS?
Many prospect customers of SaaS application are afraid about the consequences when their internal data is located outside their firewall. It would be irresponsible to ignore the risk which comes along with these circumstances. On the other hand, there are no evidences that the use of SaaS applications is more risky than using in-house solutions. As mentioned before there are various methods to secure you internal data in storage and transmission. In order to protect your data, you may wish to consider the following for any software or managed service contract: http://www.ecommercetimes.com/story/61448.html?wlc=1276261149

By subscribing to a SaaS application, internal data will be located outside the local network within the “cloud”. The integration architecture frames how this data is integrated with other infrastructural components. In many cases, this means to create data dependencies which demand data to be moved from the SaaS application and other in-house applications. In consequence, a consistent strategy for the coaction of SaaS models and in-house applications has to be developed.

What happens when I realize that the SaaS application does not satisfy the needs of my company after I subscribed to it?
In case the customer outgrows the software there is the possibility to discontinue the subscription. In such cancellation the customer usually maintains ownership of the data entered into the SaaS application. In conclusion the use of SaaS applications can be very beneficial for companies of any size.

SaaS models can save time and money like the example of pulsed.com mentioned above and they are a good-business option for your company. However, the risks have to be well considered and the decision whether to subscribe to a SaaS application or not should be based on sufficient information about the topic. Nevertheless, the relativ risk should not prevent you from joining in to this new development and from integrating SaaS application into your software strategy. This will eventually lead to a great advancement for your business!

For more information what to consider before using SaaS, see this article
http://www.prudentcloud.com/cloud-computing-technology/migration-to-cloud-top-10-checklist-24042010/

Sources
http://msdn.microsoft.com/en-us/library/aa905332.aspx
http://msdn.microsoft.com/en-us/library/aa905332.aspx
http://www.ecommercetimes.com/story/61448.html?wlc=1276261149
http://blog.riskythinking.com/2009/02/risks-of-saas-software-as-service.html

Interesting interview with Scott Monty

Hey, found a very interesting interview with Scott Monty, head of social media at Ford Motor Co. He explains why Ford created the “Social Media” position. And what is so relevant of social media. Yesterday I had a wonderful chat with Martin Meyer-Gossner which we talked exactly about the same thing. Just listen!!!

Have a look behind the scene at youtube’s user

One of the most interesting but under-appreciated processes in building a web site is the amount of testing that goes on to figure out exactly what should go where. Many startups rely on A/B testing as they roll out new features, and the big guys — namely very popular sites like Google and Facebook — conduct extensive usability studies that can involve interviews, eye monitoring, and more. Today YouTube has revealed some of the action that goes on behind the scenes as it continues to tweak its all-important ‘Watch’ page — the site you see when you’re actually viewing a video on YouTube. (via techcrunch, by Jason Kincaid)

Graffiti + Stop Motion Video = Awesome

This is pure creativity. Some mates make art in their backyard. Moving graffiti from ground to wall over windows and back. Just awesome. Really great stuff.

(via blublu)

Ad Agencies And Social Media: A Culture Clash

Advertising agencies around the country are trying to figure out social media. How do we do it? How do we sell it? Do we have to?

The answer is probably yes, you do have to if you want to continue to offer a full range of marketing services to your clients, and bill appropriately. Some agencies are doing a good job adjusting, hiring smart social media thinkers and getting smart about social media quickly. Others are still cocking their head sideways like a puppy trying to figure out a vacuum cleaner.

Sadly, many ad agencies never figured out Interactive, let’s call it Web 1.0. Now you add a layer of Web 2.0 or social media on top of that and many agencies and their respective creatives (art directors, copywriters, designers) and clients services folks are rendered dumb struck at the thought of all things digital. (via ’socialmediaexplorer’ Sept 21th, 2009 | by Jason Falls)

Facebook, Twitter and Social Media Marketing

Facebook and Twitter see the highest adoption rate in social media marketing while customer reviews rank No. 1 for increasing sales and customer engagement, according to a study released Wednesday.

Retailers are revving up their social media marketing efforts as the past six months show aggressive adoption of the emerging trend with Facebook and Twitter leading the way, according to the report, “Community and Social Media Study,” conducted by the e-commerce consulting firm the e-tailing group and online customer review firm PowerReviews.

The findings come at a time when recession-strapped companies are increasingly looking to social media marketing as a more affordable way to promote their products and services as compared to standard online advertising, and as interactive marketing overall gains purchase on traditional offline advertising. (via www.internetnews.com’ Sept 17th, 2009 | by Michelle Megna)

The Three Spheres of Web Strategy

I hope this is one of those resources you print out pin to your desk, and share with others. This is the core theme of this blog, the balance needed for successful web endeavors in organizations.

I originally posted this diagram in 2006, then updated it in 2007, and it’s time to revisit the core structure of the goals and challenges of a Web Strategist, especially as I reset as I change roles.

Who’s a Web Strategist? In a company, they often are responsible for the long term vision of corporate web properties. At a web company where their product is on the web, they’re often the product manager or CTO. Regardless of role, the responsibilities are the same, they need to balance all three of these spheres, and make sure their efforts are in the middle of all three. (via ‘web-strategist.com’ Sept 14th, 2009 | by Jeremiah Owyang)

Innovative use of Web, social media creates desire for 2010 Mustang

Highly engaging, personal interactions between company and consumer don’t come naturally to the Internet, an inherently one-to-many medium. But Ford Motor Co., working with New York-based design and technology studio Firstborn and agency Team Detroit, may be poised to change that perception with a digital marketing campaign promoting the automaker’s 2010 Mustang.

The newest version of this legendary muscle car has been hailed as one of the most customizable vehicles in the world. In fact, the 2010 model features 9,224 possible accessorizing combinations, according to Ford. With its launch marketing, Ford sought to highlight this unprecedented customizability while making an emotional connection with consumers.

“This is about creating buzz and … a desire for the new car because of what you can do to make it your own,” said Scott Kelly, digital marketing manager for Ford/Lincoln Mercury.(via btobonline Sept 14th, 2009 | by Amy Syracuse)

5 Ways Banks Are Using Social Media

Many banks have started using social websites to help them with everything from healing the financial industry to promoting their latest credit cards. By embracing the most popular tools available, the industry has also been embracing the best of what social media culture has to offer, and smaller, community banks seem to be leading the charge when it comes to social media innovation.

This post profiles some U.S. banks that have used social media in their marketing and communications plans in some interesting and successful ways. These banks have tapped into the root of what social media means to the community, enjoying success in the way of returning real value for their institutions. (via Mashable Sept 11th, 2009 | by Lon S. Cohen)

The power of brand ambassador

The update web „2.1“

We see radical change in trade for the year 2009. One could easily get the impression that the advertising and media landscape are in for some serious trouble this year. Looking at the current numbers from studies of MediaEdge it is getting more and more difficult maintaining brand exposure via classical communication channels. At the same time there has been an immense increase in the usage of social platforms compared to the previous years.

The customers determine the selection of brands, which form of entertainment and which service they want to have. They thus force companies to become more authentic. Conversely one could get the impression the advertising world is dissolving into nothingness.  Therefore Social Commerce is experiencing a new dawn, not to a small degree because of social networks such as Facebook, Youtube, Twitter and CO. with all their power to connect to our consciousness.

And herein lies the very problem. Brands as well as media companies are in fact clueless as to how they can use the power of networks for their own benefit. A mere Facebook page here or a few Twitter notifications there, will not make the cash registers go wild! Social networking is a skill to be learned. Customers, (being far more street-wise) are way ahead of companies. Half-hearted attempts are immediately laid bare. The dreadful result being that a brand is disconnected from their target community! The whole process, while at first glance appearing to be simple, is not a quick, fast, slapped together solution, rather it needs careful planning and consideration.

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