“New research shows that over the past year, SaaS company valuations grew twice as much as valuations of legacy software companies rooted in the client-server world.”
An article from GigaOM highlights, with astonishing clarity, how SaaS companies have continued to show incredible resilience and pronounced strength in terms of valuation, in relation to the rest of the technology and broader market. According to the article, “SaaS valuations tower head-and-shoulders over…other…categories”. Those who follow the SaaS market know that this is not a passing fad, but a sustained strength that has been maintained for many years in a row.
Looking at the graphs in this article – we are happy with this massive public market validation for the decision that Irad and I made when we founded TOA and considered which technological and business path TOA should take. TOA is now the only provider of enterprise-SaaS solutions for mobile workforce management, serving tier one customers worldwide and processing over 65 million appointment annually, setting us apart from the field of legacy software providers with whom we compete.
We know that delivering Software as a Service is not easy or simple, and those companies who have exhibited the ability to do so and continue to grow aggressively over the years deserve the valuations that they are getting. We also know that there is no way to masquerade as a SaaS provider – you either are, and know how to do it and have all your DNA wrapped around it…or you’re not. There is no hybrid. Delivering value in this context is very black and white.
We are gratified that the long-term value that we know our solution delivers to our customers, translates directly into long-term value for shareholders.