{"id":245,"date":"2007-03-20T06:50:12","date_gmt":"2007-03-20T14:50:12","guid":{"rendered":"http:\/\/www.formtek.com\/blog\/?p=245"},"modified":"2007-03-20T06:50:12","modified_gmt":"2007-03-20T14:50:12","slug":"saas-gartner-predicts-saas-will-grow-to-193-billion-by-2011","status":"publish","type":"post","link":"https:\/\/formtek.com\/blog\/saas-gartner-predicts-saas-will-grow-to-193-billion-by-2011\/","title":{"rendered":"SaaS: Gartner predicts SaaS will grow to $19.3 billion by 2011"},"content":{"rendered":"

Gartner is predicting that the worldwide SaaS market\u00a0will grow from $6.3 billion in 2006 to reach $19.3 billion by the end of 2011.\u00a0 In 2006 the growth rate was 26 percent and the prediction is for growth to continue at 25 percent a year through the end of 2011.\u00a0 But Gartner sees big-name vendors like Oracle, SAP and Microsoft as missing out on the trend.<\/p>\n

Ben Pring who wrote the Gartner report sees customers as rejecting a software + services model based on traditional software that ends up costing customers bug bucks and often includes functionality that may not be used or needed by the\u00a0customer.\u00a0<\/p>\n

Large software vendors are not inclined to introduce SaaS products that may compete with their standard software offerings.\u00a0 SAP, Oracle and Microsoft have all attempted on-demand CRM, but Pring says that their attempts have been half-hearted and haven’t gotten much traction.\u00a0 Because of that smaller vendors are stepping up to the opportunity.<\/p>\n

To address the SaaS market, Gartner\u00a0gives the following advice\u00a0to those smaller vendors:<\/p>\n