Understanding the Deployment Options for your new eCommerce solution
Introduction
When deciding to implement a new eCommerce solution, there are many factors that need to be considered. Choice of deployment options – delivery of a solution may be an important one.
Nowadays, most evaluations of software include the question of whether to implement the solution “SaaS” or “On-Premise.” However, at the end of day, deployment is a “how” and a “where” rather than a “what,” and competing eCommerce solutions are separated by a broader range of considerations than just the choice between SaaS and On-Premise. Additionally, the relative advantage or disadvantage of one deployment type over others is dependent on each company’s individual objectives and circumstances.
Ultimately, you need a solution that does what you expect it to do: automate key business processes, solve important business issues, and minimize impact on operating procedures. The solution needs to provide you with functionality that meets your requirements, and it also must be flexible enough to satisfy your unique business processes today and tomorrow. Understanding that, it is important to define your functional requirements clearly up front in order to identify the solution that will provide you with the best fit over the lifetime of your implementation.
In a Webtelligence SaaS deployment, North49 Business Solutions provides ongoing use of the application as a service. All aspects of infrastructure management, Internet connectivity and application delivery are handled for you. The customer does not need to maintain software or hardware on site. Although paid for on a subscription basis, the depth and breadth of Webtelligence functionality is comparable to that of the on-premise model.
Traditional on-premise solutions are installed and run on hardware on the premises of the customer. The customer is responsible for maintaining the technology infrastructure, and the software licenses. Typically much higher than those of Webtelligence, license fees are paid for up front and annually through maintenance fees. The customer has a continuous license to use the software provided annual maintenance fees are paid and software compatibility is uninterrupted.
IT Resources & Ongoing administration
The availability of internal IT resources is a key factor to consider when selecting a potential eCommerce solution. Initial project rollout and ongoing support and administration will require IT expertise, sourced internally or externally. Your choice of deployment model should reflect the availability of in-house IT staff.
Webtelligence SaaS deployments remove the need to install software locally or carry out hardware and software installation, upgrading and configuration in-house. Webtelligence, therefore, is particularly suited to organizations with limited internal IT budget and resources.
On-Premise deployments require the customer to incur the costs of purchasing, configuring, upgrading, and maintaining an internal technology infrastructure, although, some on-premise systems may be able to fit into the already existing environment, which may help to reduce some of the initial infrastructure investment.
Security & Service uptime
In most circumstances, Webtelligence SaaS deployments provide greater security and protection when compared to On-Premise deployments. For small-to-medium-size businesses (SMBs), hosting in a highly secure, purpose-built data center with high levels of redundancy, backup, and monitoring may deliver a level of security and protection that could not be achieved internally in a cost-effective manner.
Service uptime is also an important consideration, especially when your company’s success is, in part, built around the ability to service customers around the clock. Customers not being able to access your eCommerce site leave you vulnerable. Webtelligence hosts your solution at a Tier 1 data center where the threat of Web server, hardware and software failure is minimal. With on-premise system, the application is housed on the company servers on-site and under the control of the internal IT team. Service uptime will rely on internal monitoring and emergency response of your internal IT team. The desire to have control should be countered by the costs and risks associated with housing the application on-site.
Key considerations
Investment timeline & Total cost of ownership (TCO)
Arriving at a clear understanding of the likely total cost of ownership (TCO) associated with any new system is an important consideration in any selection process. Deployment choice influences this area, and companies should compare the initial and long term investment and cost structures of all models thoroughly before making a decision.
On-Premise systems often require higher upfront capital investment. Webtelligence SaaS solutions, by contrast, involve fixed, periodic subscription charges over the solution’s life cycle. Webtelligence SaaS, therefore, can provide several advantages to companies with limited budgets, as it does not require the same substantial upfront expenditure on software, hardware, or IT staff to support internal technology infrastructure
When viewed beyond the near-term, Webtelligence SaaS solutions may result in higher costs when compared to their On-Premise competitors. This is due to the fact that the SaaS monthly subscription fee is charged for as long as the system is in use. In the case of the On-Premise system, there are no obligations to pay for software usage beyond the initial license purchase provided annual maintenance fees are paid and software compatibility is uninterrupted but hardware maintenance and upgrades continue.
Conclusion
When selecting an eCommerce solution, deployment type is an important choice, but it should be made in the context of a broader variety of considerations. Companies should be mindful of the expected lifespan of a prospective eCommerce solution and ensure that their requirements will be met across a variety of criteria, including: functionality, cost, ease of maintenance, ability to customize, ability and level of integration to Adagio, and ability to earn a return on the investment. Both Webtelligence SaaS and On-Premise deployments have their own particular benefits. Webtelligence SaaS manifest them in the near and mid-term while On-Premise solutions may come into play at a much later stage in the solution life cycle.