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Yep, SaaS software is hard to get right, even as it gets better, faster and even easier to adopt.

16 March 2021
1 minute read

Software continues to eat the world. And while it does, software products are getting more advanced, more valuable and more complex.

The direct impacts are palpable - businesses operate more efficiently, serve customers more attentively, hire, train and retain team members better than ever.

Indirecty, the ecosystem value is outsized, too.

Somewhere between $5 and $7 in incremental business spending is generated off the back of each $1 in software costs.

And, where does the majority that incremental spending go?

To professional services providers.

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Yep, software is hard to get right, even as it gets better, faster and even easier to adopt.

For example, in a Cloud Software Association Q&A between Forrester's Jay McBain and Sunir Shah (link below), Jay points to the Salesforce ecosystem generating $5.80 in incremental value for every $1 captured by Saleforce (by 2024), 64% of which going to professional services providers.

Now, IDC is offering up similar numbers out of the HubSpot ecosystem. For every $1 captured by HubSpot, $6.16 will be earned by ecosystem partners and participants (by 2024), slightly edging out its competitor above, 57% of which will go to professional services providers.

Ecosystem-based valuations are here.

Links to check out:

- Cloud Software Association Q&A

- IDC & HubSpot news via Scott Brinker


James Sandoval, MeasureMatch Founder & CEO

Founder & CEO of MeasureMatch

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