What is a subscription marketplace?
A subscription marketplace builds on the traditional online marketplace by allowing a vendor to sell subscriptions to their physical or digital products. A SaaS marketplace facilitates the sale and purchase of agreements for the use of digital software products and solutions for a set period, on a recurring basis. IaaS marketplaces are the same in that they sell solutions based around cloud infrastructure including cloud hosting, networking, storage, and data services, all through different cloud providers.
- What is a SaaS / IaaS / XaaS marketplace?
- What is SaaS / IaaS / XaaS catalog management?
- Why is a subscription marketplace important?
- Why is catalog management important?
- How can subscription marketplaces and catalog management help you?
What is a SaaS / IaaS / XaaS marketplace?
A SaaS / IaaS / XaaS marketplace is a marketplace that supports payments from customers for permission to use their products or solutions for a period, based on agreements from vendors. IaaS, or infrastructure as a service, includes hosting, data, storage, etc. SaaS, or software as a service, includes software solutions. XaaS, or everything as a service, includes quite literally everything – from software, to infrastructure, and physical goods, often bundled together.
Subscription-based marketplace agreements can be renewed on an ongoing basis, which generates recurring revenue for ISVs, tech vendors, IT distributors and resellers.
What is SaaS / IaaS / XaaS catalog management?
SaaS / IaaS / XaaS catalog management is the process of managing the exchange of SaaS / IaaS / XaaS solution delivery between an ISV, tech vendor, IT distributor or reseller, and the end customer. Catalog management involves several tasks, including maintaining product logos, product names and product descriptions in every language needed by the customer. Some other aspects of catalog management include:
- Managing your product groups that are required for the product catalog
- Manage the product group visibility for your business partners
- Enabling automated activation of your syndication contracts for your catalog
- Maintain reseller accounts associated with your product group
Why is a subscription marketplace important?
Building a subscription marketplace creates new revenue opportunities for the owner of the cloud platform marketplace on an ongoing, recurring basis. Because subscriptions are often digital rather than physical, overheads and expenses are reduced thanks to easier management and lower costs. However, there are contracts, delivery, pricing, and solution changes to manage, which can be done more efficiently with a subscription management platform that incorporates automation.
Why is catalog management important?
Catalog management is important in terms of keeping details up to date on each product and solution offered as part of a digital subscription. Using a catalog management solution or platform allows for easy organization of offerings, adding new ones, and keeping product and solution information up to date in multiple languages, including names, imagery, and descriptions.
How can subscription marketplaces and catalog management help you?
Facing a saturated market, telcos can increase ARPU by operating a subscription marketplace. With catalog management, telcos can ensure they can most efficiently keep their offerings current.
Rather that working with individual vendors, MSPs increase efficiency by quoting, procuring, provisioning, and managing processes via with an IaaS/SaaS/XaaS subscription marketplace that follows best practices for catalog management.
With margins under pressure, IT distributors can increase ARR by delivering digital solutions, following a lower cost and higher margin model. Proper catalog management ensures they can quickly find what they need for their customers.
ISVs can extend their reach and scale their business by making their solutions available for purchase on a cloud marketplace. Rather than going it alone, ISVs benefit from this one-to-many approach.
Tech vendors benefit from subscription marketplaces in the form of recurring revenue and easier distribution. For example, Microsoft sells it software largely through distributors and resellers.
Ready to learn more about subscription marketplaces?
Here are more resources about subscription marketplaces and catalog management for SaaS, IaaS and XaaS, including how you can build your own, white-labeled subscription marketplace with CloudBlue.