Proven Advantages of Using a B2B SaaS Business Model

Are you planning to choose a B2B SaaS model but you aren’t sure whether it’s the best model for you? In this article, you’ll learn the advantages of a B2B SaaS model.

B2B SaaS is a business model that enables software companies to develop software programs that enable businesses to purchase a subscription to use the programs.

B2B SaaS

Businesses that choose this model offer a wide range of pricing plans tailored to different kinds of SaaS customers with diverse needs.

This type of model is used by businesses that offer subscription management and other solutions. Subscription management is important for recurring businesses. Read this Younium article to understand what is the subscription management model and it benefits.

That said, here are the benefits of this model.

1. Convenience 

The greatest benefit of the B2B SaaS model is the convenience to use by businesses.

Since the solution is delivered via the cloud, businesses don’t necessarily need to install software on their devices. This makes the software easy to use and portable.

All you need to do is to log into the software through your web browser either via a desktop computer or laptop and start using the software. This makes it suitable for both technical and non-technical teams.

READ MORE: B2B Customer Portal: What is It, Benefits and Examples

2. Cost-Effectiveness

Another amazing advantage of the B2B SaaS model is cost-effectiveness. Gone are the days when businesses had to purchase costly licenses to install on-premises software. This was a huge limitation for small and medium-sized businesses with smaller budgets.

Fortunately, cloud computing enables businesses of all sizes to pay for SaaS solutions without making a dent in their budget. Besides, these cloud-based software solutions use subscription-based models which have fewer financial risks than installing physical servers on-premise.

3. Flexible Payment Options

In today’s uncertain economic times, flexible payment options help businesses pick plans based on their set budget. 

Besides, unlike in the past when businesses had to install software on-premise, SaaS products allow customers to pay for the product only when they use it.

For instance, customers can purchase a monthly subscription for subscription management software and cancel the subscription once they are done using the software. Attrock has compiled a detailed guide the subscription management software with monthly or annual subscriptions.

Some B2B SaaS companies offer customized plans with varied tiers for businesses of varied sizes and financial abilities.

4. Provision of Automatic Updates

The best thing about the B2B SaaS model is that updates are handled automatically by the provider. You don’t have to suspend work to update the software. All you have to do is schedule updates to happen in the background as you continue with your daily work.

Generally, SaaS companies update their software solution and products every six months or yearly. Some have shorter scheduled updates—to ensure the product remains effective and accommodates the ever-changing software needs.

Additionally, almost all SaaS companies offer comprehensive and 24/7 support. This means that whenever you experience challenges when using the software, you can always get all-time support. Another highlight is the ability to try the software for a given period before you purchase your subscription.

5. Data Security

All SaaS companies enable customers to back up customer data in the cloud. Customers can access the data from different devices from anywhere. Another provision by SaaS companies is high-quality data security including anti-phishing software and multi-factor authentication.

6. Scalability

Due to the flexible pricing options and varied aspects that the SaaS model provides, you can easily scale your business and accommodate increased software demands.

For instance, if your business comprises 10 team members, you can purchase licenses for the 10 members. Once your team grows, you can upgrade to a higher subscription plan or purchase additional features to keep your business running efficiently.

Here are examples of applications and platforms that use this model:

  • Video conference platforms. B2B SaaS software solutions enable business professionals to attend conferences and meetings virtually.
  • Marketing tools and platforms. Most digital marketing tools that help businesses and marketing professionals implement effective social media, email, and other digital marketing campaigns use the SaaS model.
  • Customer relationship management platforms. According to a SmallBusinessHQ article, the right type of CRM software enables business leaders, and sales and marketing teams to monitor customer activities, analyze user behaviour and deliver better customer experience.
  • Cloud-based messaging applications. Messaging applications like Slack enable people to connect and work as a unified team thereby transforming the way businesses work. Effective communication is key to efficient business operations.
  • File storage platforms. Storing massive amounts of data isn’t only costly but is also a challenge for small-to-medium-sized businesses with limited budgets. The SaaS model provides businesses of all sizes with more quality data storage resources as well as high levels of security.


No doubt, there are many benefits to using a B2B SaaS model. With the ever-changing business environment and technological needs, this business model is undoubtedly the saviour of the present and the future.

Using a B2B SaaS model, you can improve your employees’ productivity, and enhance relationships with your customers as well as your team’s workflow.