Zoho’s offering raises the level for other SaaS companies

April 8, 2020

In response to COVID-19 Zoho has announced a new service providing free access for existing customers to all applications. The pandemic is having a significant impact on businesses worldwide and many software providers are offering their support. Recently, Zoho announced the launch of Zoho, aimed at existing and potential new customers to operate efficiently from home.

Zoho has expanded on this service and has shown its commitment to businesses over the next few months. The Small Business Emergency Subscription Assistance Program will enable 20,000 existing customers to sign up to free access for a three month period. Sridhar Vembu, the CEO of Zoho described the move as explaining that businesses are suffering and facing mounting pressure in terms of revenue and cash flow. The added uncertainty of when things will improve is creating further challenges for companies and Vembu believes that any support Zoho can offer will enable small businesses to continue, both financially and emotionally.

The offer is being regarded as a significant move by Zoho, one that provides free software for customers in a time when the business needs to ensure stability during these challenging times. The offer by Zoho may make the difference between a company surviving or failing. Many businesses rely on regular use of Zoho products and view their services as a critical part of their long term business success. The three-month offer will enable businesses to survive for longer and avoid additional layoffs of staff.

Other industry members are now looking to see if other enterprises make similar moves, if they continue to charge for cloud services or follow a similar path and adapt their products, albeit as a temporary measure. It creates a further challenge for other businesses as many will need the revenue to survive but may face further competition from other rival cloud services offering free or discounted alternatives. The larger SaaS businesses need to ensure they support their customers but at the same time ensure their business remains stable for the future.

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