The concept of software as a service has been around for a long time now. If implemented with precision by experienced app developers uk, it could be the best decision for a startup. It is the most recommended option because SaaS products do not need any hardware investments and are highly scalable.

In a more defining way, SaaS means you have to pay annually, quarterly or monthly fees for using a particular piece of software rather than getting a license. 

Overall, the difference between traditional and SaaS mobile app development services is beyond the pricing. There is no need to install a SaaS application on the system. Rather, you can access it through a web browser or mobile phone.

Benefits of SaaS application

No setup

In the case of a traditional application, you will have to configure it to run on the system. Besides that, the company infrastructure should have enough capacity to run on a particular software. With the increase in the workload, you will have to increase the network. 


The upgrade of a traditional application to an upgraded one is done through SaaS solutions. The efforts and costs of upgrades and release of traditional applications are lower in comparison and 


The features to be included in a SaaS application depend on the aim of your services. You just need to add simple and limited features in the beginning. You can add features later in the process. 

Analytics tool

If your services include charts, analytics, metrics, charts, and graphs. If your audience has an intelligence background, then there will be a need to put up new tools according to the requirements. 

Tech stack

Some technologies are faster and more feasible to work with than others. Therefore, the choice of technology will define the overall cost. Complex features are difficult to build 

The team is another important factor influencing the project’s final cost structure. Other than that, how you collaborate with the developers also influences the cost to a great extent. In-house is generally more expensive for companies, as they require taking care of expenses such as workspaces, equipment, sick leaves, vacations, etc. Therefore, it requires a lot of time and effort. 

Team structure: Your team structure and the collaboration with them can influence your project’s final cost. Hiring in-house is typically more pricey for companies because they need to take care of all expenses like taxes, vacations, workspaces, equipment, sick leaves, etc. Besides, finding a specialist takes a considerable amount of time, and hiring them for a competitive salary, so they don’t leave in a few months for another company. That is why many SaaS business apps develop faster and are more feasible to work with than others. You will have to attract users to your SaaS application and nothing else.  

Developer’s hourly rates

Of course, no doubt, the developers' hourly rates influence the final velocities of development. Again, this depends on the project specifications, such as what the project is about, how complex the interfaces are and other things. APIs are an integrated part of almost every software, including businesses using them to improve growth structures. In the case of a SaaS application, you will need an internal and external API. If we understand the basics of internal and external APIs, internal API works like a glue between the software components. On the other hand, external API allows the integration of software into third-party components. 

What issues can arise during the SaaS application development?

These challenges basically sum up the risks you need to contemplate while determining the budget for the SaaS product. Building a cloud-based service could be complicated; that is why the pitfalls Developing a cloud-based solution is complicated, so pitfalls are inevitable, and you should be ready for them. 

Let us move on and understand the challenges that can lead to enhanced development costs and how to avoid them and optimize the expenses.

Lack of trust

Selecting a SaaS product is not an issue that could be taken lightly. Therefore, the product should be rightly tested. SaaS applications substantially directly impact the business’s performance and revenue. Therefore, it becomes essential to put in considerable trust and apply the best practices. 

Less industry knowledge

The knowledge and industry of how a particular product reflects in the target market domain and the user's experience. Sometimes, the execution of the SaaS application is poor due to the lack of proper expertise and knowledge in the concerned domain. 


Product maintenance is highly important for any SaaS product, considering its importance regarding constant updates, optimizations, and adding new features. Furthermore, you will have to conduct constant security testing to keep the product running without any issues. 

Bad execution

The revenue can be significantly affected, so SaaS application development is highly scalable. With everything done, next, you need to focus on the targeted marketer industry as it can be hard to establish new businesses in the market. 

Key SaaS components

The SaaS business architecture components are often integrated and become a core part of the SaaS application:

  • Customer analytics: It helps SaaS companies analyze their reaction and behaviour. This module helps them analyze the demeanour of their customers concerning the application and potentially elsewhere to optimize the user experience. Also, the customers might need analytical tools and a dashboard with statistics, graphics, and reports related to the activities, for example, marketing and sales.
  • Customer Relationship Management (CRM) system: This is basically a warehouse of customers, accounts, and sales work. For example, associating the accounts with the salespeople, assigning roles, planning the features, etc. A built-in CRM system might also be available to the customers. 
  • Marketing automation. This part works with the management of prospects, customers, and leads. Being the primary offer through SaaS, this component has one of the major responsibilities. 
  • Billing system. Monetization strategy is a part that should not be skipped, and SaaS typically includes subscription-based, implying the recurring bill. For that, you might require tools for communicating with customers, communication, invoicing, and funds.
  • Infrastructure. SaaS applications can vary dramatically from time to time; the architecture can scale up and down in response to the user’s response to the application.  
  • Support. This module, largely referred to as helpdesk, generally includes core customer support tools, feedback forms, live chat, and traditional knowledge-base and self-learning tools that can help build robust communities of users and provide them with superb support.
  • Platform. This is precisely the web/software/system application you will market as SaaS and users will work with.


This article has addressed all the factors that should be considered to determine the overall cost of building a SaaS application. Each and every factor should be equally weighted to deliver a fulfilment concept. And, with the right set of information, it becomes easy to spend efforts in the correct way with guaranteed returns. 

It is possible to build the most phenomenal SaaS application with the right amount of passion, effort, quality work and consideration to operate the business efficiently. Furthermore, it would be essential to identify all the cutting corners. Lastly, we believe that you must have the most excellent out-of-the-box idea and consider the factors that have been discussed in the article.