Rahul Motwani

November 25, 2022 802 Views
15 mins read Last Updated November 25, 2022
saas application development benefits

Quick Summary : The future of technology based on cloud and mobile application, Here the SaaS application development benefits provided to understand how it works, features and development cost from level 0 to deployment, maintenance. Read till the end to understand.

Many companies use products of SaaS (software-as-a-service) to carry out various organizational tasks. As per a recent study, companies nowadays say that SaaS applications comprise 70% of their whole software usage. The launch of SaaS software brings us back to the 70s. At that time, it became essential for organizations to employ SaaS products to get some systems onboard without immensely affecting the cost.

As technology advanced and the internet evolved with time, accessing various software solutions has turned much simpler. And as progressively more companies take a switch to SaaS solutions, it has become important to developing saas applications well. The global SaaS market is can grow to $270 billion by 2026. It simply means that the total market of SaaS is going to boost by more than 21% throughout the next few years.

It is also predicted that in the future, SaaS will also link with trendy technologies like artificial intelligence as well as machine learning within their products. Lots of people choose to utilize cloud technologies instead of installing them on their private systems.

What is a SaaS Product?

SaaS is a solution providing users leverage to ready-for-use software by a web browser or mobile application. The users never need to install or maintain the app. They only need to subscribe or rent to it & pay money to get access to use the app.

A stable connection to the internet is the only requirement to make the app work perfectly. Some tools we use in our everyday lives are SaaS-based. For instance, Windows, Google Docs, Slack, Canva, Azure, Salesforce, and others.

What is SaaS App Development?

SaaS-based application development emphasized optimizing the resources of users, through their exclusive development as well as a distribution model. All the operations like distribution, development as well as maintenance can be carried out more quickly and fluently just because it is completely cloud-based. It is also capable to offer lots of benefits to businesses.

The format of this cloud-based development and delivery also permits users to get access to exclusive and individual features as well as functions that are generally not available in more traditional software formats. If you also want to develop the SaaS application for your business then you can contact us and get an estimate cost to build SaaS Applcation.

Currently, it is one of the most experienced as well as trusted outsourcing companies in the field of web app development. The complete lifecycle of saas web development is covered in their services which permits the user to choose the complete software package or just a particular section.

The Growth of SaaS Market

In the modern world, there are lots of sectors which are acquiring the SaaS model just because it has become trendy technology. Around 20% of corporates are investing in SaaS research as well as development in the world. The regions which have mainly acquired this model are North America and Asia Pacific.

The most precious SaaS business is salesforce whose market cap crossed US $210 billion in the year 2022 on another hand there were only 15,529 active organizations working as SaaS providers in the year 2020 around the globe. The expected growth of the web-based solution market may be expanded at a CAGR of 11.7% from the year 2020 to 2026.

SaaS revenue


The businesses have known the value of the SaaS model. The companies are also updating with time and technology and this is one of the major reasons behind the adoption of SaaS product development.

Benefits of SaaS Software

This model offers lots of benefits which may be fruitful for entrepreneurs. Some of them are given below:

Benefits of SaaS Software

Affordable Cost

In most of the scenarios, the primary expenditures for cloud-based SaaS software are majorly less compared to custom software. It is not necessary to go with long-lasting and complex development procedures for your software at high rates. There is no need to buy the equipment or hire a technical specialist if you are using the SaaS model. This model reduces all the extra expenses which are not necessary.

SaaS Is Easy to Deploy

The major payback of the SaaS model compared to traditional software is that the cost of the SaaS model is lower as well as it can be delivered to the customer in a short period so it also saves time.

This model is beneficial for both subscribers and providers because the providers have already centrally fixed, update, as well as deploy offerings in the cloud, which supports reducing the maintenance cost of the software. It is not necessary to install the new software versions for the customers.

For instance, a SaaS provider can simply buy the services via the Google Cloud Platform (GCP).

This ensures to the customers that SaaS platforms will also get protected the same as Google services, so it will be convenient for the owners to make a website and scale the solution and they don’t need to worry about data leaks.


There is no need for any kind of maintenance if you are utilizing a SaaS app because suppliers take this responsibility. This feature will also reduce the downtimes and the supplier has a highly qualified and experienced team which can resolve any kind of issue in the shortest period so this is a very major benefit of the SaaS model.

No Specially Required Hardware

There is no additional hardware parts are required while you are using the SaaS models and users can easily access it without any device because these models are generally internet-enabled.

For instance, if you are using this model then you need only Windows 10 which is a common operating system with a minimum processor of 1 GHz to use Microsoft Word.

Although, a SaaS platform is quite similar to Google Docs because it permits you to write long-form texts without any support of hardware requirements.

Software Updating

You don’t need to worry about the software updating because all updates are carried out by the supplier of SaaS, this will be the supplier’s responsibility to deliver the latest version of the software to you.

Rapidly Scaling

Cloud-based solutions don’t take too much time in the scaling as well as you also don’t need to purchase additional equipment for it as we have told you earlier, these both things indicate that you don’t need to waste your time to purchase or establish any kind of IT infrastructure. With the support of the SaaS model, you can add more active users to your app which is appropriate for your business growth. Cloud-based systems are capable to fulfil your all needs with maximum productivity.

No Binding to a Concrete Workspace

You can easily access your SaaS software anywhere in the world if you have one active internet connection. The users can access their important data as well as work from any place more proficiently, which offers the opportunity to work remotely without any need for additional solutions.

What is the Cost to Build a SaaS product?

Almost every software can be made as a SaaS platform, to calculate a rough idea about the estimate of a SaaS application is difficult because its costs depend on some factors like its feature set, the major target behind the app, the development timeframe as well as the cost of your hired app development team — all these elements can impact the cost of the development of your product.

For example, A high-tech customizable white-label website which is built with too many templates, as well as built-in tools, the set of the feature of this website, will be completely different compared to video conference software like Zoom, Google meets etc.

The SaaS platform budget includes different multiple sections and there is deep research is also necessary before the development, testing and marketing of your product. You will also have to hire some specialists for this like a Server-side developer, the best project manager, and UI/UX designer, if you are making a mobile application then iOS/Android developers are also important, Quality assurance engineers, Frontend developers will also be needed for a web-based SaaS platform.

According to our experience, the SaaS development budget for a traditional (not white-label) web-based SaaS platform will start around $65,000 for an MVP and it can increase according to the feature you want to add. If you want to design in the form of a mobile application then the price may be varied around $70,000 and up per platform.

There is one more option is available a satellite mobile application for a web platform, it is just a small kind of application which have minimal functionality. Fitr is a web-based solution or platform which is generally developed for remote coaches, but it includes both Android as well as iOS satellites which are usually made only for fitness clients who can easily watch programs from their coaches. Twilio’s Authy application is also a great example of a small app which only offers two-step authentication. The price of these kinds of apps is around $15,000 or so it may be depended on their operations and functionality.

How To Develop A Saas Application From Scratch?

In the below section of this article, we are going to discuss the procedure of SaaS development trends. Stepwise procedure is given below:

How to develop saas application from scartch

Step 1: Study and Produce App Technical Specifications

Firstly, your major target should be collecting a much data about your potential clients, trends rivals as well as about recent and upcoming technologies. You will be able to develop a unique SaaS solution containing visions of consumer demands with knowledge about the disadvantages of rivals’ applications. It is essential to research the trends which are evolving in the targeted sector if you’re planning about establishing a vertical SaaS business application.

You will have to make a complete document after the initial stage of the application development procedure that must include the guidelines for product development and the functional and non-functional conditions for your application. If you are successfully following all these things, it meant you are on the right track because this stage will support creating a successful SaaS MVP.

Step 2: Define Revenue Streams

Profit planning is very much important if you are developing a SaaS product. You have to be aware of this step before starting a large-scale software development project because this is one of the major elements in the development of SaaS applications and it will be responsible for the architectural design of your software product. The software as a service (SaaS) revenue model is linked with the regular as well as ongoing payments over a definite period, in exchange for the utilization of a software app or other tool.

Freemium, Ads, and subscription-based models are the three most common methods to generate money in the SaaS model. Apart from these, you can also include transaction and/or selling charges if you are making a cloud-based marketplace.

Step 3: Pick A Cloud Infrastructure Provider

A reliable cloud infrastructure provider is very much essential for your product if you want to assist several customers and securely protect their data. You can select well-known as well as tested providers who are capable to keep the strongest encryption and data centre for your customers. A cloud service provider should also be capable to enable third-party integrations while offering a high level of scalability, performance, as well as dependability.

Step 4: Develop An MVP

Generally, a trial app version is called a Minimum Viable Product (MVP) which includes the very minimum set of features and this is not a completely functional cloud-based solution. Planning of MVP is very important. You must keep in mind what features would you like to put in your MVP. You can choose some smart feature which is less in cost but can create a great impact on the customers. An MVP development for SaaS can support different aspects like idea validation, quick launching of the product, concept representation, as well as initial cost reduction. After completing this stage, the start-up is ready for additional design and development, upgrades, and any important pivoting.

Step 5: Test And Implement Changes

After the development of MVP, you have to get feedback from your customers. You can also ask them directly what they like or dislike about your products. It will be the best approach to get the maximum number of feedback because you can do the modifications according to the feedback of your clients in this stage you can change any function or architecture so it will not be time-consuming but later it will be very difficult so you have to aware about this point.

SaaS testing contains system as well as performance testing, which evaluates a software solution’s functionality to control whether it can meet its objectives. The major purpose of this stage is to ensure that software solutions can achieve their full potential and can find their objectives.

Step 6: Development Of The Final Product To Begin

In this stage, your application development team will start coding with the help of tools, SaaS development framework, as well as programming language according to their choice or expertise. Some of the trendy methods are Kanban, Scrum, or Extreme Programming. It can be supportable to simplify and boost development while managing adherence to specification necessities as well as assuring quality.

The QA testing must be included in every part of software development. Apart from these, you must have to keep in touch all the time with your development team during the time of installation of your SaaS. Your objective is to nonstop evaluate if you are on a similar page as well as precisely adhering to product standards.

Step 7: Release And Maintenance

Your SaaS platform or online service will be ready to launch once all QA testing has been finished. The User acceptance testing is the final step in the quality assurance procedure which will happen after launching your application.

Your SaaS developers will provide you with consistent support as well as updates of application updates till the final release of the application. So, if you face any issue then the provider’s team will short out in a minimal period.

How to Choose a Company for SaaS Development Services?

There are different kinds of SaaS development services are available. The trendiest are ERP, CRM, accounting and billing, data, HR, b2b ecommerce trends, email marketing, as well as project management. You can choose the SaaS vendor according to your need but here are some major elements which will support you to select a trusted SaaS development company:

The variety of expertise and pool of talents

It is very important to test the skill and experts of the company which will be involved in the SaaS development procedure. Their evaluation is so much necessary. The appropriate team members or engineers will support you to cover all elements of SaaS development. You have to be aware of this that not all companies are specialists in all the latest technologies. In this way, you will be able to find and evaluate the appropriate partner which is an expert in the technology which you want in your product.

Experience in SaaS development services

It is vital to research the company’s previous SaaS business experience because it will ensure that vendors are capable or not fulfilling your requirements. You can discuss with the company’s SaaS development team and ask them for the portfolio so you will be able to know whether they are able or not for your project.

A company’s portfolio supports you know about their procedure of work as well as techniques for the project. This will permit you to evaluate whether they can align with your premises or not.

The budget

The budget matter in all sectors in all fields. A reasonable budget can boost the potential benefit of your product. If you want to develop a cost-efficient product or you want to manage your finance properly so it is essential to explore the different methods of payment that fit your expenditure plan before making any decision.

You should decide on the payment system at an earlier stage to avoid any kind of inconvenience later. A professional SaaS product development organization will be clear about its flexible payment plans, which usually contain full-time equivalent (FTE), dedicated teams, fixed prices, blended hourly charges, etc.

You can also save up to 30-40% of your budget if you choose the proper offshore engineering team because the budget will vary according to the country.


If you want to create a quality product then communication is a very important factor and it should happen between your in-house vs outsource team and the SaaS development organization. Optimizing conversation supports you in continually guiding engineers in the proper direction and reducing any risks found in the development procedure.


So, we have told you almost everything about SaaS product development according to our knowledge in this article. Although, you have to keep in mind that this saas development process will ultimately need a lot of creativity and management to become successful. You have to always be ready to try the latest ideas, and overcome challenges, as well as for team collaborations because you can use all of them as fuel for the growth of your SaaS product.

The SaaS market is growing very rapidly in the modern world. Lots of organizations including small, medium as well as large are acquiring this technology and SaaS is also getting fir in their requirements.

According to the survey of Statista, the overall global SaaS market cap can expect to hit USD 208bn by 2023. Therefore, to associate with this opportunity may be fruitful for your business.


Written by: Rahul Motwani

Rahul Motwani is an experienced Project Manager with a demonstrated history of working in the information technology and services industry. He started his career as a Backend developer and currently has his hands-on managing projects at Groovy Web. He is a strong program and project management professional with a Bachelor's degree focused on Computer Application.

Frequently Asked Questions

We hope these clear your doubts, but if you still have any questions, then feel free to write us on

You examined all of the advantages and disadvantages and chose to develop a Software-as-a-Service application. And now you want to know how much it will cost to construct a SaaS application and how long it will take. You can simply check out Groovy App Cost Calculator to get estimate of cost & timing

CRM System and Markting automation are the 2 basic components of SaaS applications.

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