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If you’re still deliberating between a cloud-based and on-premise sales rep app, here’s a rundown of what you should know.

Cloud is the huge trend, because it offers so much more. Businesspeople, however, can be (understandably) concerned about three issues: privacy, data security and a reliable Internet connection. To mitigate these risks, a cloud-based sales rep app must apply stringent security procedures to protect users' data and also work in offline mode. Pepperi responds to all these critical requirements, utilizing the most advanced security technology and enabling data to be accessed and orders processed offline, regardless of connectivity.

Know your TCO

Both types of solutions have their up-front expenses: for on premise, it’s investment in new hardware/software, and for cloud, the recurring monthly service expenditure.  Then there are other incidentals, often overlooked, which together with the up-front expenses make up total cost of ownership (TCO).

When looking at TCO, cloud generally works out to be less expensive, particularly for SMEs, since there is no heavy investment in hardware and software or ongoing costs inherent in an on premise solution, such as electricity, IT staff/consultants, downtime due to maintenance, etc.

However, SaaS is not always the better choice.  For instance, if you have excessive bandwidth requirements because of big file shares and your pipe is insufficient, your operation may be better suited to an on premise server due to slowness and loss of productivity.

Betanews delves into this subject in an article by Derrick Wlodarz titled Comparing cloud vs on-premise? Six hidden costs people always forget about. Wlodarz focusses on SaaS (software as a service), which is considered to be part of the nomenclature of cloud computing along with other acronyms such as PaaS, IaaS and DaaS.

You can analyze and compare the TCO involved for an on premise vs. SaaS solution for your business using this online calculator from Software Advice, which lets you enter data based on pricing information you receive from software vendors.

Beyond TCO – the Intangibles

Besides looking at TCO when deciding whether cloud-based SaaS or on premise is best for your sales team, there are other considerations to keep in mind:

  • With SaaS, time to market is faster, since these systems just need to be installed and it’s usually a quick and easy process. No other infrastructure is needed.
  • Flexibility is key, either way.  Your business needs will change over time, so you want your solution to be highly customizable and scalable.
  • With multitenancy SaaS, end users don’t have to pay maintenance fees to keep their software up to date. New features and updates are included with the subscription and provided automatically by the vendor.

Pepperi customers get all of the above. Regarding the last point, they benefit from the feedback Pepperi receives from thousands of users. New versions and features are released on average every six weeks, so the catalog, order taking and CRM capabilities just keep getting better.

On premise vs. Cloud: Which way to go?

The bottom line is: it depends on your company and the size of financial investment management is willing to undertake.  Together, the Cloud and SaaS enable businesses to test available solutions with very little risk and at low cost, and then make the choice based on their needs and resources.



Ofer Kfir Loves to talk about technology & tools for sales people. Evangelist at Pepperi and the #1 user!  Father, a professional skier and traveller.

About The Author

Stacey Woods
Stacey Woods
Stacey Woods is the Senior Business Development Manager at Pepperi. She has extensive experience in B2B sales and understands the many benefits that can be gained by automating and syncing the different sales channels in a company.