SaaS Adoption Challenges Facing SaaS Vendors and their Customers

Despite the  popularity of SaaS solutions and software,  many businesses are still finding adoption difficult.

SaaS solutions help organizations save time and resources. This allows them to move from investing in infrastructure to focusing on competitive advantage, getting to know the latest trends in technological innovation, etc. Despite the advantages that come with SaaS adoption, a good number of organizations still find resistance when it comes to user and customer adoption.

Below are some of the SaaS adoption challenges.

It Will No Longer Be Possible to Work Offline

SaaS users and employees must have a permanent, stable, and reliable internet connection in order to work. With SaaS, working offline will no longer be an option. Fortunately an internet connection is not a major challenge in the modern work environment. Whether working from home or from the office, access to the internet has become easier than ever.

Issues Concerning Data Security When Migrating to the Cloud

Migrating traditional software applications to the cloud may bring up data security concerns. If a computer or an app is compromised during the process, it could mean that the SaaS app supporting many clients may have become vulnerable to attack by hackers. When it comes to security, you have to ask your SaaS provider about how they handle security, including the infrastructure and application used.

Gartner Analysts echo this sentiment: “Business failure and client data loss are always unhappy events.  It is particularly distressing when it happens to a cloud-based service that advertises “redundant, high specification servers with guaranteed uptime and availability.” Guarantees are empty paper when the data is permanently gone because the vendor failed to adequately protect it from hackers, and failed to adequately back it up.  And if a vendor is no longer financially viable, service levels and contracts become moot.”

Available Data Control and Backup Solutions

While a majority of enterprises may be interested in adopting SaaS, they just cannot get the clear picture of how their data will be secured. They also do not understand data backup procedures. The best way to go about this is to find a SaaS provider with a solid reputation in data security and data backup, which should clearly be outlined in the Service Level Agreement Contract.

Customers are Concerned about Where Their Data is Located

Businesses will always want to know the exact physical location of their data. The problem is that even the US Federal Information Security Management Act cannot guarantee data security with respect to data location, and as a result urge consumers to make sure they keep their sensitive data within the US.

Cloud Standards are Not Well Developed

Completing a SAS 70 audit, which is an auditing standard determining whether a SaaS vendor has successfully taken the necessary measures to ensure total control over data, does not guarantee data security. Even though many SaaS providers claim they have completed this, customers are still skeptical because ethe standard model was crreated without considering cloud computing. In fact, it j is simply a placeholder for proper cloud standards yet to be crafted.

SaaS Vendors are Secretive

Even though SaaS vendors assure customers that they can handle security, they are rather secretive about how they are going to do it. They reveal scant information about their operations, security processes and data centers, citing a need to preserve security. Many enterprises are still not convinced why they should adopt SaaS.

While there are many advantages and disadvantages of migrating to the cloud, enterprises should carefully weigh the options before making a decision. They need to act in the best interest of the organization. Thorough research into the advantages and disadvantages of SaaS adoption is a good way to start.


Omri is the Head of Demand Generation, as well as the Lead Author & Editor of the SaaSAddict Blog. Omri established the SaaSAddict blog to create a source for news and discussion about some of the issues, challenges, news, and ideas relating to SaaS and cloud migration.