How to Fail Miserably as a Cloud Software Provider: A Business Perspective

Jesse Kliza (11.Sep.2010 at 10:30)
Talk at Vermont Code Camp (English - US)

The supply side economics of the software business have changed. While many cloud solutions and services can provide a lower capital investment in moving applications to the cloud, the ongoing costs of operating as a SaaS provider are often overlooked. Software companies still face many challenges today in moving to the SaaS business model, and transforming their business to one of ongoing service delivery. This session will explore the key business and technical ingredients for success as a SaaS provider, and you’ll learn why architecture still reigns in the Cloud.

Quicklink: https://joind.in/1964

Track(s): Room 3: Platform Agnostic

Slides: How to Fail Miserably as a Cloud Software Provider: A Business Perspective

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13.Sep.2010 at 15:46 by Brian Hunter

Thanks Jesse! It was a great discussion on the topic and gave us a lot to think about for our planned move -very informative!!

Thanks for putting the slides up as well.

14.Sep.2010 at 01:49 by Bill Wilder

Jesse - I enjoyed your talk which gave us all some good take-aways to ponder. A couple of examples from my notes:

You are assuming the operational burden for your customers - so you are always on their mind - and you have to (or "get to"?) prove yourself to every customer every day. In this model, 100% gross margins (after the software is built and delivered) is a thing of the past as "you now own a RELATIONSHIP with your customer, not a REVENUE STREAM" - a model that is great for those who can execute.

Enable multi-tenancy, metering, and ability to sell incremental features. Provisioning is CRITICAL. It must be EASY to start and stop using your software, such as free trials which are automatically and INSTANTLY provisioned at customer request via your web site. Otherwise, you add unexpected friction which annoys customers and kills margins.

-Bill

How to Fail Miserably as a Cloud Software Provider: A Business Perspective

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