London, 09 June 2014: A recently released report from TechNavio, the independent tech-focused global research firm, shows the Global SaaS-based Enterprise Content Management (ECM) Market is projecting healthy growth, with a CAGR of 31.11 percent from 2013-2018.
While on-premise ECM held a 90.73 percent share in the Global ECM market in 2013, its share is expected to decrease by 2018.
Traditionally, the biggest advantage of on-premise software is that it gives businesses complete control over their critical data, as opposed to SaaS-based models wherein the solution is hosted in the cloud and accessed via the web. The solution is deployed and managed by cloud service providers, and end-users are able to use the service on a pay-per-use model.
Popularity of SaaS Enterprise Software Will Affect Demand for On-Premise Applications
The growing need to easily access data and reduce the total cost of ownership will start to drive enterprises towards adopting SaaS-based models over the projected period, say lead TechNavio analysts.
“SaaS-based ECM provides all the benefits of on-premise ECM systems in a trouble-free environment so that customers can focus on their core business activities while achieving a significant reduction in the total cost of ownership,” says Faisal Ghaus, Vice President of TechNavio research.
With the cloud-based model, the risk and resource requirements associated with the responsibility for continuous operation, backups, updates, and infrastructure maintenance are shifted from internal IT departments to vendors or service providers.”
To determine these market scenarios over the next 3-4 years, TechNavio analysts have conducted in-depth analysis of the impact of market drivers, challenges and trends featuring data on product segmentations, vendor shares, growth rate by revenue and an evaluation of the different buying criteria in the order of importance.