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SaaS: Huge Growth in Asia Pacific
20 percent of companies in the Asia Pacific are using SaaS, and software specialty areas like ERP are set to grow from $35 million in 2008 to $193 million in 2012.
Balaka Baruah Aggarwal, senior market analyst of Emerging Software at Springboard Research and author of the report said that “We expect this market to experience faster growth, given the relatively low current level of on-premise ERP application penetration in the region, particularly in the growth markets of China and India. The increasing
availability and reliability of broadband across the region and the overall dynamism of the emerging markets in the region will also drive increased demand.”
SaaS ERP has been limited to date because SaaS typically offers less opportunity to customize software. But SaaS offerings are becoming more flexible in the customization options that they are able to offer. And that added flexibility is attracting more customers.
The SaaS ERP market also has a limited number of vendors outside the US. Netsuite is one of the few exceptions. Local players in these markets are attracting a lot of attention, like Ramco in India and Kingdee in China.
