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Why B2B SaaS StartUps are on the Rise?

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SaaS is a core model of cloud computing that allows companies to build and deploy their own SaaS application and services. The software-as-a-service (SaaS) market is competitive, and so are the B2B SaaS marketplaces. But the emergence of B2B SaaS startups may be about to make a splash in the market. B2B SaaS is a type of software that allows businesses to sell their products or services directly to customers where they pay for the product or services they use.


Benefits of SaaS

SaaS apps are among the easiest to implement and install, which is why SaaS prospects are becoming a larger portion of organizations' IT budgets. Subscription-based SaaS apps and licensing make it possible to use such data while scaling. SaaS providers manage upgrades, and modifications are performed on the backend, enabling your staff to focus on the business at hand. IT can minimize the time spent on installation and configuration using SaaS and cloud-based apps, making deployment faster and easier. Learn more about SaaS.


The following are the most popular SaaS applications: CRM, E-commerce, Collaboration, Customer Service/Support, HR/Talent Management, Procurement/Spending/Sourcing, Manufacturing/ERP/Supply Chain, Management, Software Development/QA Testing, Business   Intelligence, Finance/Accounting Analytics,  Budgeting/Reporting/Planning,  Governance, Risk Management, and Compliance.

Organizations that encourage citizen development will increase productivity and operational efficiency in today's business world, which is undergoing a revolutionary transition. No-code SaaS gives them a much-needed lifeline, enabling business agility, boosting growth, and improving creativity by driving automation throughout the business.

SaaS market growth predictions

There are too many reports to count, but the trend is clear. SaaS companies are moving at a rapid pace. The report from Business Research Company in early 2021 is the most promising. It is noted that the SaaS market will reach $272.49billion in 2021 (20.8% compound annual growth rate) and will continue to grow to $436.9 billion by 2025 (CAGR 12.5%). CAGR is the indicator most used by investors to measure the potential of a company or industry.



According to Gartner's forecast, SaaS industry revenue will grow to $120billion in 2021 (considering a brief slowdown due to the impact of a pandemic). It is anticipated that by 2022, 78 percent of organizations will be running simply on B2B SaaS.

Why recurring revenue model is appealing to investors?

  • Recurring revenue is a key metric that helps to determine how much money u spend on marketing, sales, and other activities. It is also an important metric to consider when evaluating the value of a product or service.

For entrepreneurs, SaaS is an attractive business model because the revenue stream is predictable as end-users pay monthly, quarterly, or annually. In the recurring revenue model, the end-user will pay for the service within a certain period of time, which is called the customer life cycle. If the customer is satisfied with the service, he will keep it for a long time, and over time, the seller will get more benefits from the customer. However, if customers are not satisfied with the service, they will quickly stop paying and quit. This may result in losses for the software provider because the cost of acquiring customers is usually very high. Acquiring customers and retaining them are the two factors that are critical to the success of any SaaS business.

  • Scalable Because they generate predictable cash flow to invest in business growth, the recurring revenue business is easier to scale. With the insights from the data provided by the subscription model, companies can understand their cash flow and invest effectively in business growth with minimal risk. When the product/service achieves standardized quality and subscription value, you can be confident that it will minimize customer churn and maximize recurring revenue from existing satisfied customers.

  • Visible you can make business decisions in advance. In case of unexpected changes, there will be sufficient warnings and time to reschedule.

  • Durable For recurring monthly income, you will never start a month from scratch. With accurate predictions and deep insights, you can use the information gathered to reduce risk when making important decisions about how to start a new business or reduce customer churn.

  • Flexible If your need changes, u can expand or reduce the subscription, speed up or slow down the subscription. This is beneficial to both customers and your business.

Recent funding stories

"The Indian business ecosystem, which produced 53 unicorns in June 2021, made considerable progress in the April quarter. From the most registered financing transactions to the most increased unicorns in a quarter, investors’ confidence in high-quality digital businesses has increased like never before,” PGA’s Director of Competitive Intelligence told PTI Labs, Abhishek Maiti.

Fintech firms incorporate technology (such as AI, blockchain, and data science) into conventional financial sectors to make them safer, quicker, and more efficient. Fintech is one of the fastest-growing digital industries, with businesses innovating in nearly every aspect of finance, from payments and loans to credit scoring and stock trading.

Fintech is the industry with the most financing, representing 27% of the total value of the transaction in the reporting quarter. This is followed by food technology (13%), business technology (11%), educational technology (10%), and media and entertainment (8%). Approximately 100 startups received funding in the early stages, representing 9% of the total funding.

An Indian SaaS-based startup announced on August 19, 2021, that it had received $225 million in funding. This funding round is Round D, led by Insight Partner. The investment fund is based in New York and is also an existing investor in this startup. Postman was founded in 2014 as an API platform for creating and using APIs. This startup is committed to simplifying every step of the API process and helping collaboration so that better APIs can be built quickly without wasting too much time.

An AI-supported voice-over startup founded by IIT Kharagpur alumni in October 2020 has raised $1.5 million in seed funding, headed by Elevation Capital. This startup aims to provide high-quality dubbing by placing a simple online voice studio in the hands of every content creator. The Murf technology platform is available in 15 languages and has a customer base in more than 80 countries. The startup claims that its revenue has increased 12 times, 80% of which comes from the United States and the United Kingdom.

B2Brain, an early stage B2B SaaS startup that announced on August 26, 2021, that it had raised $1 million through its Ideaspring capital seed fund and Arka Venture Labs. B2Brain made it easy for sales teams to gain contextual knowledge of target customers' manuals. B2Brain provides relevant and personalized publishing topics for the sales team, all of which are integrated into their CRM system. Integration with leading CRMs such as Salesforce, HubSpot, Outreach, and SalesLoft can help sales teams realize the value that B2Brain brings to their businesses in the first few hours of using it.

To be competitive, businesses must keep up with the newest SaaS app development trends. They'll have a better chance of creating a lucrative software-as-a-service offering this way.

The Latest SaaS Technology trends

  • Artificial Intelligence

Advances in AI technology open many SaaS opportunities. Many recently launched startups use AI-based technologies. It is expected that this will increase 14% from the present until 2030 of the AI GDP. This indicates that early birds will be a significant advantage in the coming years.

Grammarly, a pioneer in AI-based language detection and improvement technology, combines deep learning and natural language processing into its SaaS business. It provides great real-time language and grammatical advice to the user using the AI-enabled text editor.


  • Augmented reality

Augmented reality (AR) is an enhanced version of the real physical world, which is achieved through the use of digital vision, sound, or other sensory input transmitted through technology.

Oniric is the flagship product of Neosentec, a software development firm located in Asturias, Spain. AR is a sophisticated technology that often needs software development to fully realize its potential. Onirix provides creators with a fully scalable cloud platform that takes them from scene creation to uploading their own AR experiences without requiring them to write a single line of code.

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VR Vision Inc specializes in 360-degree video production, web and mobile application development, and AR and VR application development. They developed training and health care, education, and other types of applications and experiences.

vr vision

  • Distributed cloud

Distributed cloud technology brings public clouds closer to private networks and specific locations, making the process smoother, with lower latency, and requiring less bandwidth and storage components. That is why artificial intelligence and robotics are applicable to almost any business or organization, regardless of size or budget.

Thanks to cloud products provided by Google, Microsoft, Amazon, and more and more start-ups and spin-offs, pioneers in various fields could implement cutting-edge technologies with no early investment in tools, equipment, or professionals.

Zoom Cloud Meetings (Zoom) is a video conferencing software program developed by Zoom Video Communications. The free plan allows up to 100 people to participate at the same time, and the time limit is 40 minutes. Users can choose to upgrade by subscribing to a paid plan. The maximum plan supports a maximum of 1,000 concurrent participants, and the meeting duration is up to 30 hours.


During the COVID-19 pandemic, the use of Zoom in remote work, distance education, and online social relationships has increased significantly. This growth makes Zoom the fifth most downloaded mobile app worldwide in 2020, with 477 million downloads.

  • No code tools

    The distinctive feature of these no-code saas platforms is that they eliminate most of the manual coding that takes up an engineer's time. There is no code that permits an automation layer to compress time and speed up the ability to develop software up to 100 times faster than it is now. They may use cloud computing services like AWS, Google Cloud, and Azure to build apps and push them into the market faster and for less money.

    Undaku, a robust no code application development platform allows developing software that improves customer experience, automates processes, and delivers workplace innovation quickly and easily. Their software products line-up includes websites, web applications, mobile apps, CMSs, CRMs, web services, and more.
    Embrace technology, offer genuine value to customers and prioritize client retention. Keep an eye out for these emerging trends in SaaS development which will help you thrive in your business.

New SaaS marketing model that succeeds

  • Digital channels

Using multiple digital channels is an effective way to grow your SaaS business. Invest in paid and organic acquisition strategies, such as paid advertising on Google, Facebook, or public relations activities to accomplish some fast traffic wins. Create different varieties of promotion content, research a lot of keywords to target, and monitor metrics so that you can gear up things up and explore until you track down your ideal blends.

  • SEO

Understanding and fulfilling clients’ search is Google's ultimate priority. According to HubSpot, 75% of searchers never go past the very first page of indexed lists. Your page title and meta description are two of the most significant meta labels on your page. Optimize your images, page speed, and configure your site. An SEO best practice is to add internal links from high-ranking pages on your site to pages that need a boost. You should focus the entirety of your efforts on building top-notch backlinks that can work on your odds of positioning higher for your targeted keywords.

Google analytics, Google  Search Console, Semrush, Screaming  Frog, and Ahrefs are some of the top SEO tools.

  • Referral marketing

It's a viable SaaS promoting procedure, as it builds the odds of getting qualified leads. Even your most fulfilled clients might require a little push to allude you to friends. That is the place where a reference program with shrewd motivating forces or rewards enters the timeline. Offering access to an additional feature or a more significant level of your product as a trade-off for a reference is a genuine model. Dropbox gives clients additional extra storage space if they refer friends. Referral advertising transforms your present clients into brand advocates. Referred leads convert 30% better and have a 16% higher lifetime esteem than leads got through different channels.

  • Analytics

According to Gartner, 75% of all databases will be deployed on cloud platforms by 2022, largely for analytics and as part of popular SaaS services. Organizations are seeing more and more cost and productivity savings because of their cloud database investments.


The analytics shows where user traffic is coming from and where it is on your website. They show the pages users are most interested in, the pages they ignore, and the pages they browse but leave. Analytics can identify areas in the sales funnel that slow lead generation and hurt conversion rates; The analysis highlights new opportunities to increase customer acquisition strategies and expand your SaaS.

  • SaaS automated workflow

Once you have clarified your life cycle and metrics, it is time to create an automated workflow for your SaaS. You need to customize your marketing automation plan to suit your SaaS and the unique needs of your customers. For example, automate your social media posts to run at the time of day when they are most likely to reach your audience. By automating sales, marketing, and customer service departments, you can free up staff time. They will focus on more complex tasks and provide better customer support. Ultimately, this will provide your customers with a better branding experience.

  • Content marketing

SaaS content marketing is competitive-it's about creating and distributing valuable, relevant, and consistent content that not only attracts but also retains a clearly defined audience. When you create valuable, useful, and interesting content, your audience will learn that they can trust you, and they can see that you understand your topic. Not only that building credibility also allows them to understand your personality and how it feels to work with you.



The ultimate goal of B2B content marketing is to increase brand awareness and attract the target audience.

Generate leads from content by adding CTAs and forms to each of your blogs and landing pages. Deals and discounts are also critical for upselling and cross-selling. Offers can assist with showing targeted clients they can get higher worth with you. The exclusive anchor text and positioning of the CTAs are vital.

  • Video marketing
    As we enter a new decade, video content has never been more shareable or trends as fast-moving as they are now. We saw the rapid ascent of YouTube and the first viral videos in the 2000s. Demand on social media is another key element that has fueled the growth of video marketing.

    Since customers prefer the visual experience, videos can engage viewers more effectively than text-only information. A video bridges the gap between a demo and an email. You must determine who you are attempting to target, where they are in your sales funnel, and why video content will have an impact on them. Product demo, brand stories, and case studies, on the other hand, serve as social proof and build trust for your brand, which can drive conversions.
    video marketing

According to Cisco, online videos will account for more than 82 percent of all consumer internet traffic by 2022, a 15-fold increase from 2017.

  • Free trials and / Freemium model

With organizations like Dropbox, Zoom, Hootsuite, Trello, WordPress, and Slack going public, the freemium model is clearly on the rise, While their freemium business model undoubtedly aided widespread adoption, these products may have been successful with a different business strategy, perhaps not as rapidly.

The commercial industry has seen ups and downs in the interest in the freemium model, where a company gives away one version of its product for free in order to upsell consumers to a more feature-rich paid version. Make the process of upgrading as simple as possible. That means making the paid version upgrading process straightforward; don't confuse consumers with a variety of payment options - for a subscription, provide monthly or yearly payments. Make them easy to signup. Ensure your onboarding cycle is clear and proficient. Try not to request data that isn't basic to getting a new client enlisted. Delivering outstanding services to clients is also very important for customer retention.

  • Industry exposure

It's basic to get your SaaS business industry exposure on one of the many SaaS review sites, forums. Getting a positive review on a review site will drive traffic to your site. It is a splendid effort to get a listing on whatever number of review sites could be allowed. You may not get included by every one of them. Having a presence across sites gives social verification and persuades target clients of the reasonability of your business.

Future of SaaS market

The sudden shift in global trends and the rise of "remote everything" from learning to work will promote the software and service industry. And funding to help maintain and grow its business, Indian SaaS companies are now more focused on deepening into the international market. By 2025, the total turnover of the Indian SaaS market segment is likely to reach 75 billion U.S. dollars.

"By 2030, India's SaaS ecosystem may be worth $1 trillion, which will be one of the largest value creation opportunities we see in the next decade. It is touted as growing at a compound annual growth rate of 18%," Noshir Kaka, senior partner at McKinsey said.

IT Companies, IT Services, SaaS Companies, Freshworks, Nasdaq, IPO: The  Charge Of The Great Indian SaaS Brigade | Forbes India

The software accounts for 20% of total technology business expenditures, but the value it creates is close to 50%. The SaaS industry is worth US $2.6 billion, has approximately 40,000 employees, and is expected to increase revenue by 20 times by 2030. This story goes beyond this tremendous opportunity.

According to a PwC India study titled 'Startup Perspectives - Q3 CY21' issued on October 19, 2021, Indian entrepreneurs raised a total of $10.9 billion across 347 agreements between July and September. This is more than double what they raised in the same three months in 2020, and 41% more than in April-June. Fintech, edtech, and software-as-a-service (SaaS) accounted for over half of the capital raised during the three-month period.
SaaS Marketing Challenges

saas saturation                                                                                                             Source

Gartner predicts that by 2021, public cloud revenue will reach $278 billion. The challenges of SaaS also include the fact that the market has become very competitive. Some of the growth challenges of SaaS include competing with other SaaS companies, the need to prove value (when the return on investment may be uncertain), and having to sell during tough economic times. These are the most important reasons leading to the difficulties and challenges of SaaS today.

Identifying the market and developing a product that meets its needs is critical when it comes to building a successful SaaS business. SaaS founders have to be drilled down into their target to truly get it to their market. Who are the buyer personas and how will you get them? What issue is your target looking to solve? How do they compare and select items? How will your clients advantage from your benefit? If you have solutions, you can achieve faster growth.

Managing SaaS can be a problem if you don't have a solution for managing SaaS applications. False SaaS stack can risk your long-term SaaS adoption. And in the age of automated reporting, you can fly blind on a mind filled with SaaS.

Integration issues have been a key factor in the growth of this market. There are self-evident concerns about security, backup and storage, and how to fit these apps into an existing model. As far as integrations are concerned, the quicker and simpler they are the way better!

Establishing a doable business model

SaaS is now utilized by almost every enterprise and maximum consumers. As long as the client turnover(churn rate) rate is higher than the client acquisition rate, the startup will fail. This is why SaaS startups must focus on maintaining control over churn rate, not just maintaining their growth as speedy as possible.

Undaku is an excellent solution for the above challenges.

The relevance of digitization in business has been proven repeatedly in recent years. Native applications have all had substantial downtimes, which is now more than ever unacceptable. It's for this reason that companies should consider moving to cloud-based apps that don't require in-house servers or traditional development methods.

Build Enterprise SaaS Apps using Undaku no code Platform. Some of the features include multitenancy, multi-region support, flexible payment methods, managing subscriptions and invoices, report growth statistics, risk-free and disaster recovery management to protect your data. Undaku helps you to build MVP faster and deploy within no time.

Switching from on-premise to entirely cloud-based development might boost your SaaS company's overall efficiency. Undaku SaaS Business Manager has all the rich business features to manage day-to-day SaaS business operations. The rich platform backed it to make it as customizable as leads, campaigns, client forms, and more and integrates with any leading CRM, quote, billing. , renewals, customer service, analytics, churn rate, planning and implementation, revenue, and more.

Undaku Solutions aid in the streamlining of development cycles and the removal of roadblocks to innovation. They also reduce the learning curve and bridge the skills gap, transforming corporate users into citizen developers. As a result, it's safe to predict that no code will play an increasingly important role in software development in the future.

Try our free trial and make innovation, intelligence, and growth of your priorities in 2021 if u are ready to seize the future of SaaS by the digital horns and profit from your own data-driven SaaS business.