What relationships are you supporting?

Each SaaS platform has a unique set of customers, users and other stakeholders. The type of relationships you want to support will shape the type of platform you end up building.

Navigating the landscape of SaaS business models can be a complex endeavor, especially when you're trying to find the right fit for your specific needs or market. Whether you're a startup looking to launch a new platform or an established business aiming to pivot or expand, understanding the nuances of different SaaS interaction styles is crucial.

This guide aims to demystify these models, offering concise descriptions and real-world examples for each. From the widely-used B2B and B2C models to the more specialized B4B and C2S styles, we've got you covered. Dive in to discover which model aligns best with your business goals and customer needs.

Business to Business (B2B).

In the Business to Business (B2B) SaaS model, companies offer specialized software solutions aimed at solving specific challenges or enhancing functionalities for other businesses.

These platforms often focus on areas like customer relationship management, data analytics, or cybersecurity, and are designed to improve efficiency, reduce operational costs, and enable scalability.

The sales cycles are generally longer, involving multiple stakeholders and often requiring tailored solutions to meet the unique needs of each business client.

Examples:

  • Customer Relationship Management (CRM). Salesforce, HubSpot

  • Project Management Tools Software. JIRA, Asana

  • Enterprise Resource Planning (ERP). SAP, Oracle

  • Collaboration and Communication Platforms. Slack, Microsoft Teams

  • Marketing Automation Tools. Marketo, Mailchimp

  • E-commerce Platforms Software. Shopify, Magento

  • Data Analytics and Business Intelligence Platforms. Tableau, Power BI

  • Human Resources Management Software. BambooHR, Gusto

  • Accounting and Financial Management Tools. QuickBooks, Xero

  • Cybersecurity Solutions Platforms. Symantec, CrowdStrike

Business to Government (B2G)

In the Business to Government (B2G) SaaS model, companies provide specialized software solutions tailored to meet the unique operational and regulatory needs of government agencies.

These platforms often focus on areas like contract management, e-governance, and public safety, and are designed to enhance efficiency, ensure compliance, and improve public services.

The sales cycles are typically longer and more complex, involving multiple layers of approval and stringent compliance checks. Once approved by one, often others follow the lead.

Examples

  • Contract Management Systems: Jaggaer, SynerTrade

  • E-Governance Solutions: Granicus, CivicPlus

  • Public Safety Systems: Motorola Solutions, CentralSquare

  • Healthcare Management: Cerner, Epic Systems Corporation

  • Financial and Budgeting Software: OpenGov, Questica

  • Asset Management: Cartegraph, AssetWorks

  • Human Resources and Payroll: Workday, ADP

  • Cybersecurity Solutions: Palo Alto Networks, McAfee

Business to Consumer (B2C)

In the Business to Consumer (B2C) SaaS model, companies offer software solutions directly to individual consumers for personal use or for small-scale professional tasks.

These platforms often focus on areas like retail, entertainment, or personal productivity, and are designed for ease of use and accessibility.

The sales cycles are generally shorter, with straightforward pricing models, and the emphasis is on user experience and immediate value delivery.

Examples:

  • Streaming Services: Netflix, Spotify

  • Personal Finance: Mint, YNAB (You Need A Budget)

  • Fitness and Health: MyFitnessPal, Headspace

  • E-commerce: Amazon, Etsy
    Social Media Management: Buffer, Hootsuite

  • Travel and Accommodation: Airbnb, Booking.com

  • Language Learning: Duolingo, Rosetta Stone

  • Photo Editing: Adobe Photoshop Express, Canva

  • Job Search: LinkedIn, Indeed
    Cloud Storage: Dropbox, Google Drive

Business for Business (B4B).

In the Business for Business (B4B) SaaS model, the platform serves as a collaborative tool where both the service provider and the customer actively engage to achieve a specific outcome.

Unlike traditional B2B models, which primarily focus on providing a tool or service, B4B aims to facilitate a partnership between businesses to co-create value. The platform often includes features that allow for real-time collaboration, data sharing, and joint problem-solving.

This model is particularly useful for services that require ongoing engagement and customization, as it allows the service provider's team to "fill in the blanks" and adapt the solution in real-time to meet the customer's evolving needs.

Examples:

  • Outsourced CFO Services: ScaleFactor, Pilot

  • Employment Background Checks: Checkr, GoodHire

  • Managed IT Services: Rackspace, IBM Managed Services

  • Legal Services: LegalZoom Business Advisory Plan, Rocket Lawyer

  • Digital Marketing Agencies: WebFX, Disruptive Advertising

  • Supply Chain Management: Flexport, Freightos

  • Content Creation and Marketing: Contently, Skyword

  • Software Development: Toptal, Upwork Pro

Customer to Result (C2R)

In the Customer to Result (C2R) SaaS model, the platform serves as a facilitator for connecting customers with specific, often one-time, results through a service provider. Unlike ongoing service models, C2R focuses on discrete transactions for clearly defined outcomes.

The platform usually handles the entire transaction, from connecting the customer to the service provider to facilitating payment.

This model is particularly prevalent in industries where the service provider effectively becomes the product, and the platform's role is to seamlessly connect the two parties.

The emphasis is on ease of use, quick transaction times, and a clear value proposition for both the customer and the service provider.

Examples:

  • Ride-Sharing: Uber, Lyft

  • Short-Term Rentals: Airbnb, Vrbo

  • Food Delivery: DoorDash, Uber Eats

  • Task Services: TaskRabbit, Fiverr

  • Tutoring and Education: Chegg, Wyzant

  • Pet Services: Rover, Wag!

  • Freelance Work: Upwork, Freelancer

  • Event Planning: Eventbrite, Peerspace

  • Medical Consultations: Teladoc, Doctor On Demand

  • Legal Consultations: Avvo, LegalAdvice

  • Personal Styling: Stitch Fix, Trunk Club

  • Graphic Design: 99designs, DesignCrowd

Customer to Specialist. (C2S).

In the Customer to Specialist (C2S) SaaS model, the platform facilitates an ongoing relationship between a customer and a specialized service provider.

Unlike models focused on one-time transactions, C2S aims to create a long-term engagement where the specialist provides complex or multi-step services over time.

The platform often includes features for scheduling, communication, and payment, as well as tools that help the specialist manage their workflow and customer relationships.

This model is common in industries where the service provided requires specialized knowledge or skills and involves multiple interactions and transactions to achieve the desired outcome.

Examples:

  • Mental Health Services: Talkspace, BetterHelp

  • Personal Training: Trainerize, TrueCoach

  • Financial Advising: Personal Capital, Wealthfront

  • Business Consulting: Clarity, UpCounsel

  • Language Learning: italki, Verbling

  • Career Coaching: The Muse, Coach.me

  • Artistic Commissions: Artfinder, Saatchi Art

  • Real Estate Agents: Zillow Premier Agent, Redfin

  • Tutoring Services: VIPKid, Tutor.com

  • Medical Specialists: MDLive, HealthTap

  • Legal Services: Rocket Lawyer On Call, LegalZoom Business Advisory

  • Software Development: Toptal, Codementor

Additional models to consider

  • Business to Employee (B2E)

    This model focuses on providing solutions that facilitate internal operations within a business. The primary customers are the employees themselves, and the goal is to improve productivity, communication, or job-specific tasks.

    Examples: Slack, Asana, Internal HR systems

  • Business to Developer (B2D)

    Here, the SaaS platform is designed to offer tools, services, or data that developers need to build their applications. The customer is often a developer or a team of developers.

    Examples: GitHub, API services like Twilio, AWS

  • Business to Machine (B2M)

    This is more of an IoT-focused model where the SaaS platform interacts directly with machines or sensors, collecting data or sending commands.

    Examples: Industrial IoT platforms, Fleet management systems

  • Platform as a Service (PaaS)

    In this model, the SaaS company provides a platform that allows customers to develop, run, and manage their applications without dealing with the complexity of building and maintaining the infrastructure.

    Examples: Heroku, Microsoft Azure

  • Software for Software (S4S)

    This model is where the SaaS platform is designed to integrate with or improve other software platforms. It's a meta-layer that adds functionality or streamlines existing software solutions.

    Examples: Zapier, Middleware solutions

  • Government to Citizen (G2C)

    This is a model where the government uses a SaaS platform to provide services directly to citizens. It's like B2C but specifically for public services.

    Examples: Online tax filing systems, Voter registration platforms

  • Business to Network (B2N)

    Here, the SaaS platform is designed to facilitate network connections between businesses, often in a specific industry or vertical. It's a kind of specialized B2B model.

    Examples: Supply chain management platforms, Industry-specific marketplaces