What Is SaaS and Why Is Everyone Building One?

Ever use Zoom? Google Docs? Canva?

Then congrats, you’ve used SaaS.

But let’s back up. If you’ve ever heard someone say “SaaS” (and then say it again like it’s totally normal), you might have wondered:

What is it, exactly?

Let’s break it down, in plain English.

SaaS = Software as a Service

That’s what it stands for.

But what it means is this:

Instead of buying software and installing it on your computer like we used to, you now access software through the internet, like a subscription.

You don’t own it. You just log in and use it.
And it’s usually paid monthly or yearly, like Netflix, but for tools and apps.

Real-Life Examples

Here are a few popular SaaS products you probably know:

  • Google Workspace – Docs, Sheets, Gmail

  • Spotify – Streaming music = software you don’t install

  • Canva – Design tools right in your browser

  • Dropbox – File storage and sharing

  • Notion – Notes, tasks, wikis, all in one place

You didn’t install anything heavy. You didn’t buy a disc. You just made an account and got started.

Why Is SaaS So Popular?

For users, it’s convenient:

  • No setup hassle

  • Use it from anywhere

  • Always up to date

  • Pay only while you need it

For businesses, it’s smart:

  • Predictable recurring revenue

  • Easier to scale and update

  • Serve more people with less overhead

It’s no wonder startups and tech companies are constantly saying, “We’re building a SaaS.”

So… Is SaaS Just for Tech Companies?

Nope.
Plenty of non-techy people use SaaS, and even create them.

Let’s say you:

  • Teach online courses

  • Build templates or planning tools

  • Run a booking system for your service

  • Offer paid memberships or digital access

If you build something that runs online, solves a problem, and people pay to access it, that could be a SaaS.

You don’t have to code it yourself. You can team up with a developer, use no-code tools, or license out features.

The point is: SaaS is just a way to deliver value through software.

Bottom Line

SaaS stands for “Software as a Service”, but really, it just means using apps online instead of buying and installing them.

You probably already use SaaS every day.
And if you’re building a business, it might be a model worth thinking about.

Because in a digital world, sometimes the best product isn’t a thing.
It’s a service you can log into.

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