Slowdown good for SaaS firms

As per the recent IDC report, the slowdown caused due to pandemic, wars and economic meltdown in North America and Europe has spurred the growth of SaaS firms handling applications and system infrastructure software.

Image source: Mint, IDC

Large enterprises in the process of cost cutting may look at digital transformation and automation in a big way. SaaS offers these companies flexibility of paying only as per the usage as against the large capital intensive on premise implementation of technology solutions.

Additionally, even Governments across the world have increased tech spending and are looking at cloud as a gateway to adopting new age cost effective solutions.

Many firms are planning to now relook at their tech architecture in order to reduce upfront capital spends.

Within these favourable environment for SaaS companies, Indian SaaS firms are at an additional advantage as their counter parts in Europe and US are far more expensive. Most Indian founded SaaS firms get their development done from India and sell in the international markets

As per Statista, Indian SaaS players would increase their revenue to over $116 billion by 2026.

Keeping the growth in mind, Indian SaaS firms have already starting ramping up their hiring to meet the forth coming demand.

LeadSquared recently announced that it is planning to double its headcount in the next one year. Similarly, startups such as Actyv.ai, Supplynote, Utkarsh Classes have also on hiring spree.?