"Software-as-services vendors have run into many of the same obstacles that other technology vendors have faced in selling to the sprawling and highly fragmented SMB market"
Software-as-a-service vendors like NetSuite, OpenAir, and Salesforce.com are finding that small and medium-sized businesses are not easily sold on the idea. As reported by Tekrati, AMI-Partners took a close look at software-as-services solutions in the SMB market recently and found that while interest and acceptance is growing, adoption is not as fast as vendors would like.
Among the key inhibitors are scarce IT resources. According to the report, "the typical small business averages a 0.60 full-time IT headcount, while the average medium business has five full-time IT staff. At the same time, SMB requirements for and reliance on technology-based business solutions are rising."