As the SaaS industry continues to quickly grow, we continue to see new trends dominate the market in 2021. By the end of this year, the SaaS market is expected to increase to a worth of over $100 billion.
From shared workspaces like Microsoft 365 and Google Workspace to backup and data security tools and platforms, companies rely on SaaS tools to complete business every day. By the end of 2021, it’s predicted that nearly 73 percent of all businesses will rely mostly or solely on SaaS solutions.
As the SaaS industry continues to grow and expand, it’s key you stay on top of the newest techniques and strategies available to your business. Read on to learn about the latest trends in SaaS and Tech IT tools, and how they might benefit you.
9 SaaS Tool Trends to Know
- AI Machine Learning – With so much data to analyze and manage, SaaS companies are utilizing AI machine learning to help get the job done. Machine learning enhances how SaaS companies market and understand their client’s needs, concerns, and preferences. For example, you might see AI tools used to help customers filter out what products they’re looking for on a website, making their experience easier (and smarter). This kind of mass personalization is focused on improving customer experience and overall engagement.
- Integrations and APIs – In 2021, more SaaS companies will offer integrations and APIs options to customers. These shifts in how companies provide services will also help customers to better synchronize the systems and solutions their using. This keeps the flow of data smooth, consistent, and easier to connect tools together.
- Automation – Although some SaaS and tech companies already provide automated services, expect to see more players joining the game. Automation has become an incredibly useful tool to businesses looking to streamline their services, marketing and sales alignment, and data security. Automating services, like assigning old user inbox access and managing licenses, can take the workload off IT professionals and reallocate their time and efforts to other needs.
- Security – While the cloud brings a new level of accessibility and data gathering, it also raises the potential for data and security breaches. As a result, SaaS companies are beefing up their security protocol to mitigate those risks–especially as businesses continue to work remotely. Expect to see more transparent security statements and explanations from SaaS companies about how they protect data in the cloud. Additionally, we’ll also see more SaaS companies solely focused on data and security protection, offering a specialized and hyper-focus on the needs.
- Backup Tool – SaaS backup companies are becoming more present than ever, and are specialized in providing backup tools to clients. While many cloud-based platforms offer some security measures, like Microsoft 365’s shared responsibility model, a company’s data still isn’t fully protected or backed up. That why companies, like Backupify, have developed extensive backup and data security platforms that allow companies to effectively protect their data. With so many risks, like cyber threats, system outages, and human error, it’s essential for companies to invest in a reliable backup provider.
- No Code Tools – Coding isn’t for everyone–and SaaS companies are starting to cater to their users’ abilities (or lack thereof). Coding tools are a useful component of many SaaS platforms, whether you’re tweaking email preferences or handling customer data. This year, we’ll see an increase in no-code tools that don’t require coding or developer expertise to use them. Meaning, if you’re having a technical issue and don’t have an IT staff available (or can’t afford one), no-code tools make it easy for you to resolve the problem. As a result, helpful coding tools will be more accessible to businesses and even expand SaaS and tech companies’ user base.
- Micro-SaaS – Another interesting SaaS and tech trend we’ll see in 2021 is the growth of micro-SaaS. Micro-SaaS is exactly what it sounds like: SaaS on a smaller scale. These are smaller SaaS tools that provide a very specific function, such as a plugin or extension for Google or Microsoft 365. These tools might be created by smaller SaaS and tech companies, giving them a stake in the market and the ability to fill a niche need. Micro-SaaS can also ease the burden of work for a smaller company with tighter budgets and staff. Overall, micro-SaaS will provide both unique and convenient tools to enterprises.
- Vertical SaaS Applications – In 2021, the SaaS and tech industry can expect to see the rise of more vertical SaaS applications. Traditionally, most cloud providers have focused on providing companies a platform that can be used across departments, like IT, HR, marketing, and administration. However, a one-size-fits-all model isn’t optimal for everyone. For example, a company engineer may have different needs than an HR representative but is stuck using the same SaaS platform. Vertical SaaS applications create the potential for systems and tools specific to a sector or a company or an industry. As such, expect to see a rise in vertical SaaS applications that cater to a particular industry, which can create better workflows, productivity, and meet specific data needs.
- SaaS to PaaS – Many SaaS companies are now pivoting to offer PaaS, or platform-as-a-service. SaaS providers want to retain their customers with systems that are better catered to their needs. PaaS is one of those options. PaaS allows companies to build platforms based on their specific needs, often on a pay-as-you-go basis. PaaS can include everything from infrastructure (servers and storage) to development tools (database management systems and business intelligence services). With more SaaS providers offering PaaS, companies will be able to lower costs and avoid buying software licenses and any other tools not essential to their functions.