SaaS vs SaaP – A Chillingly Honest Analysis of Building(or)Buying a Communication Platform

Published On May 3rd, 2023 Product News & Updates

So, you’re in need of chat platform whether to build one or integrate, but initially, you need to figure out which is much better? – SaaS (Software as a Service) or a SaaP (Software as a Product).

Now I’m pretty sure you might have enquired several chat solution providers in the market, a more of SaaS-based and few of SaaP-based chat solutions for your business or internal communication needs.

Let’s take a look at the extensive, thorough analysis, comparison of SaaS and SaaP based chat solution (I promise it’ll be super interesting and clarify your long-lasting doubts of Build vs Buy concepts of the chat application, includes enterprise as well).

The Real Difference Between SaaS and SaaP

The biggest noteworthy difference between the two platforms is that SaaS users access the chat platform on the provider’s cloud. To access it, you pay a recurring cost (usually monthly) to use the third-party chat platform. The cost that you’re referring, subscription not only covers the usage of the chat platform, but also the maintenance.

On the other hand, when it comes to the SaaP chat solution, You would probably buy the entire platform with a license with a one-time payment. Here, the chat application is hosted on your own servers for authenticating the data, managing the infrastructure and features.

Think of these two solutions like Nail-Clipping, here there are two ways to trim your nail whether toe or hands;

  • Go to a Nail spa, take an appointment and have trained manicure professionals to trim it.
  • Buy a set of clippers and trim it yourself based on your design wish.

SaaP is like buying a set of clippers to trim your nails anytime as you wish.

  • Here, Software as a service is like going to a Nail-spa salon (Cloud server) every week/month (subscription) to trim your nails on salon’s (Third-party platform) preferred time.
  • Software as a product is like buying the entire set of homemade(on-premises) nail clippers. You store them at your own house and trim it all yourself with different styles (features).

The Detailed Outlook on the (SaaS vs SaaP) Comparison Based on Parameters


100% Customization of features, communication channels & in-app integrations

SaaS Chat PlatformSaaP Chat Solution
Available with limited integration to native platforms, periodic features update, communication channels, and UI/UX designs. Chat platform with endless (100%) customization of upgradable features, communication channels (Text, Video & Voice) and application design for utmost experience.

Platform Support

APIs and SDKs support all native platforms and uncomplicated integrations

SaaS Chat PlatformSaaP Chat Solution
SaaS APIs support few native components such as Android, iOS, Web and complex to migrate from one platform to another – Complex integration. SaaP based chat API solution is integratable with any native application Android, iOS (SWIFT), Web, React Native, and Java. Effortless integration and platform migration.

Hosting Possibilities

Dedicated hosting servers to manage chat infrastructure effectively

SaaS Chat PlatformSaaS Chat Solution
SaaS chat application is hosted on cloud infrastructure and running on third-party cloud servers with the risk of data loss. Higher vendor dependency. Offers flexible hosting on-prem and cloud to take control, overseer the entire chat app infrastructure and customize the components based on business needs.


Experience autoscaling of users and data

Saas Chat PlatformSaaP Chat Solution
Limited to user’s base and cloud storage. Complex to handle concurrent users count and media storage. SaaP solution offers unlimited scalability to host chat platform with Million+ concurrent users and conferencing capability.

Pricing Model

Scale unlimited users with one-time payment

SaaS Chat PlatformSaaP Chat Solution
SaaS APIs are subjected to pay-per-use model where the addition of features, customization, and communication channels are based on subscription. SaaP offers one-time payment for all customization, integration of platforms, features upgrade, and app functionalities.

Source Code

Buy the script, modify, customize & improve chat platform

SaaS Chat PlatformSaaP Chat Solution
The source code is basically of open source and limited to infrequent code updates, and limited to lack of communities. Buy the source code, let the client’s in-house team can take care of the customizations, bug fixes, testing and adding of features and functionalities.

So Which is better?

SaaP based solutions are built with a specific range of hallmarks to leverage small scale businesses to Enterprise. Coming to the point, a SaaP based Chat solution shows the flexibility, versatility of communication features and extensive support for diverse use cases to scale interactivity across any platforms.

Alexander S

Alex Sam is a digital marketer by choice & profession. He munches on topics relating to technology, eCommerce, enterprise mobility, Cloud Solutions and Internet of Things. His other interests lies in SEO, Online Reputation Management and Google Analytics.

One thought on "SaaS vs SaaP – A Chillingly Honest Analysis of Building(or)Buying a Communication Platform"

  1. chiragviays says:

    Hi, thirdEye is a SaaS platform that helps enterprises in optimizing their logistics operations. We are looking for a messaging solution for our platform which can enable communication between different types of users on the platform. We would like to discuss the possibilities of the same with Mirrorfly. Thanks

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