"The SaaS market is flooded with companies who are unfamiliar to SMBs, but those SMBs have long-established relationships with their telecom providers and VARs. I do think when it comes to technology adoption, those companies will go towards trusted advisors and established relationships to help navigate those purchases."

Erin TenWolde, SaaS industry analyst, IDC

Much like the role of traditional brick and mortar wholesalers and distributors, the underlying need is to have a federated ecosystem of solutions, marketplace operators, and resellers who can deliver on-demand.  Aggregating services delivery also benefits businesses by providing a single-point-of purchasing, provisioning, billing, sign-on, and support for a broad and growing array of best-of-breed solutions.

"As network retailers, the operator-as-software reseller model offers the best hope for SaaS. By using third party aggregation and collaboration platforms, CSPs will enjoy additional revenues from both software and network sales, along with “stickier”, more entrenched customer relationships.  Longer term, SaaS represents an opportunity for CSPs to remain solidly placed in the ecommerce value chain and even regain some level of customer intimacy by returning to a day when CSPs were considered a trusted source of advertising for small and medium sized business." Susan L. McNeice Global Program Manager, OSS/BSS Global Competitive Strategies Stratecast (a Division of Frost & Sullivan)