SaaS Pricing Model Expands as Economy Tightens

As more and more businesses are tightening their belts and preparing for more economic uncertainty in the near future, software providers are increasingly moving to provide SaaS (software as a service) solutions and pricing models. Fewer companies are budgeting for the capital expenditures needed for enterprise system purchases or upgrades, and are instead opting for Web-based platforms that are easy to integrate and don't require the purchase of additional hardware.

Another recent SaaS pricing model announcement:

Sunrise Software, a leading independent provider of IT Service Management software, today announced a new subscription pricing model designed to help organisations budget for ITIL in a tougher economic climate. The offering combines the benefits of on-premise, hosted software and Software as a Service (SaaS) models for Sunrise's range of IT Service Management (ITSM) and ITIL software solutions. The introduction of Sunrise Software's subscription pricing model means that although customers will rent the appropriate software, it will remain hosted and maintained at the customer site.

Under the terms of Sunrise Software's new subscription pricing model, customers can benefit from the lower capital expenditure of a SaaS model, but still enjoy the complete control and configurability of an on-premise model. There is just one upfront payment for project and training costs, followed by an annual subscription to the software.

Tom Weston, Chairman of Sunrise Software, commented: "We believe this new pricing model represents a particularly attractive package for those organisations under pressure to improve their IT cost/performance ratio. With the new subscription model, it is now even easier for potential customers to reap the rewards of ITIL, without having to compromise on functionality and flexibility to meet stringent cost requirements."

Read the full story: "Sunrise Software's New Subscription Pricing Model Broadens Reach For Best Of Breed ITIL Tool."

Does your company provide or use an SaaS solution? If so, do you feel that the pricing models are fair? Do they make it worth the investment vs. purchasing new in-house systems? For providers, how are you modifying your pricing structure in the current economy?